I talk to a lot of company owners who have sold their business using an investment banker or business broker. I always ask them how their experience was. It seems the answers are always either extremely positive or negative. It's either "we could have never sold our company without the help of our broker," or "it was completely useless, I could have done it myself."
As a buyer, I feel the same way. We have worked with business brokers who are extremely good at managing the transaction and ensuring their client gets the best deal possible. We have also worked with some that seem to disappear after the letter of intent is signed, or worse yet, get in the way of getting a deal done. Business brokers are an important part of the transaction process, and we have done more broker-represented deals than not, but it can be downright painful for the buyer and the seller when the wrong broker is selected.
So what's the difference?
What makes the good ones so valuable and worth their success fee?
Here's the top 10 things that the great brokers always do: