 Re: Selling A Business - How To
There are a few different ways to sell your business - the most cost effective is to engage an independent valuer to firstly value the business based on current market demand etc.
Secondly is to appoint either a broker, or an agent (in some cases this can be your accountant ... sounds funny, but for instance my accountant works primarily with small / medium businesses, and can act as an agent).
The cost base is generally;
1. Preparation of paper work / accounts etc - 5-10k
2. % of sale value - anywhere from 1.5 - 3%
From previous experience brokers usually charge around the 3-5% mark, depending on industry and experience.
You can always bypass the above by obtaining the valuation, and then negotiating directly with potential buyers (ie: if you're in real estate and looking to sell your rent roll, you can draw up a confidentiality agreement, and approach the principals of the main agencies etc).
The golden rule is a water tight confidentiality agreement.
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