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December 17th, 2013

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Miami Business Brokers

November 26th, 2013

James E. Parker Boss Group Intl. Fl. Lic. Real Estate Broker

James E. Parker
Boss Group Intl.
Fl. Lic. Real Estate Broker

Miami Business Brokers

If you are looking to sell your Miami based business or buy a Miami business you will need to interview  a few Miami Business Brokers to see who is best to assist you with the purchase or sale of a business.

I have provided a list of Miami Business Brokers below to assist you in your search for finding the one that best fits your needs.   Before you begin your search, you need to know what you should you be looking for in a business broker.

Business Brokers of Florida Member

The largest business broker organization in Florida is the Business Brokers of Florida.  The Business Brokers of Florida organization allows its members to share vital information about businesses for sale in Florida.  So far this year, over 60% of the small businesses sold in Florida have had two business brokers involved in the transactions.  That statistic alone should convince you that you should only work with a business broker that is a member of the Business Brokers of Florida organization.

A Business Broker that Specializes in Business Sales

It is required by the State of Florida that Business Brokers are licensed Florida Real Estate Agent/Brokers.  For this reason, many residential real estate agents will “dip” their hand in business sales.  Just because they are licensed and they are legally allowed to sell small businesses, does not mean they should be.  You should hire a business broker that specializes in the sale of small businesses and does not do residential or commercial.

Most of the time when a person specializes in business brokerage they have far more experience, knowledge, tools and connections to sell your business.  You not only want the individual to be a specialist but the company that they work for to specialize in business sales.  When the company specializes in Business Sales, you know that the company’s full weight and resources are behind the agent and business sales is not just some side project.

My recommendation for the most part is to stay away from large name residential real estate companies.  One tip off to know if a company is more of a residential real estate company is that they may use the word “realty” in their name.  That is a term reserved mainly for residential real estate agents.

Honesty and Integrity

Make sure your Miami Business Broker is up front with you and honest about the sale of your business and what you can sell the business for.  Many Miami Business Brokers will promise you that you can get “Top Dollar” and sell in a very “quick” time period.  They just want your listings.  If you are serious about selling your business you need to know the hard fact that 80% of small businesses for sale nationwide will never sale.  To make things worse, 50% of all small business sales will fall apart and will not make it to the closing table.

Get advice from a Miami Business Broker that is not so interested in “listing” your business as they are in “selling” your business.  Of course your Miami Business Broker will need to officially list your business, but they should do so by talking to you about the realities and hurdles that you will face as a seller so you can both work together to set price and terms required and plan out strategies so that your business will be part of the 20% of small businesses that do sell.

Miami Business Brokers with an “International” Reach

You will want to have a local Miami Business Broker that can easily set up meetings and appointments.  However, you need to make sure that the business broker has access and capability of working with Buyers from all over the United States as well as Internationally.  There are many people looking to acquire small businesses from other states (mainly northern states) with the intention of moving to Florida.  There are also people living in South America, Canada, UK, Europe and other countries that want to live and work legally in the U.S..  There are special Visas such as the E-2 Visa and the L-1 Visa that allow people from certain countries to buy small businesses and live and work here legally.  These buyer tend to be all cash buyers and tend to be some of the most motivated buyers we see.

Below is a list of business brokers that are members of the Business Brokers of Florida (BBF).  We are providing this list for your convenience and you will need to do your own homework/investigation to decide which company best suites your needs.

Miami Business Brokers You Should Contact

Of course there is much more you should examine when it comes to looking at Miami Business Brokers, but the above information should be a good start.   You need to consider other things like experience of the individual agent, the Companies the business brokers work for, the personality and other attributes.  You are a small business owner and are probably experienced with interviewing.  Take the above pointers and use your gut feeling when interviewing.

The list of  Miami Business Brokers who are members of Business Brokers of Florida are listed below.  I nor does Boss Group endorse any of the below business brokers.  It is a complete list of all Miami members with links to their websites.  We are providing this for your convenience.   You need to do your own investigation and due diligence with the Miami Business broker that you ultimately decide to work with.

We hope that you include Boss Group International in your short list of Miami Business Brokers to speak with.  We feel confident that after you do all your homework that you will find us, Boss Group International, as the best choice.

Please contact a Boss Group Miami Florida Business Broker by calling 786-472-3872 or you can email me personally on our contact page.

 

Miami Business Brokers List:

BOSS GROUP INTERNATIONAL   Please Call us First 786-472-3872

1ST WORKING CAPITAL REALTY

ABSOLUTE INTERNATIONAL REALTY

ACQUISITION EXPERTS

AMERIBUSINESS

AMERICAS REALTY

AMERIVEST BUSINESS BROKERS

ATLANTIC BUSINESS REALTY

AVANTI WAY REALTY

AVISTAR REALTY & BUSINESS ADVISORS

AWARD BUSINESS BROKERS LLC

BARCINO GROUP

BARONE REALTY

BEACHFRONT REALTY

BERGER REALTY GROUP

BERKOWITZ ACQUISITIONS

BIZ BROKERS OF AMERICA

BLACK DIAMOND REALTY SERVICE

BOSS GROUP INTERNATIONAL     Please Call us first 786-472-3872

BRENNER REAL ESTATE GROUP

BRICKELL REAL ESTATE SERVICES

BUSINESS BROKERS NETWORK OF FL

BUSINESS PLANNING ADVISORS

BUYERS SELLERS BUSINESS EXCHANGE

CAPITAL BUSINESS SOLUTIONS

CENTURY 21 UNITED PROPERTIES

COLDWELL BANKER COMMERCIAL NRT BOCA

COLDWELL BANKER WESTON

COMPASS REALTY PARTNERS

CONNORS ASSOCIATES

CONTINENTAL PROPERTIES COMMERCIAL & BUSINESS BROKERAGE

CORAL SHORES REALTY

CORPORATE INVESTMENT INT’L OF SE FL

E.A. DONAHUE

EC REAL ESTATE INVESTMENT & RENTALS

EMPIRE GLOBAL FINANCIAL SERVICES

EQUITY TEAM REALTY

ESSINGLER WOOTEN MAXWELL KEY BISCAYNE

ESSLINGER WOOTEN MAXWELL

EXIT RYAN SCOTT REALTY

EXIT TEAM REALTY

FIDELITY REALTY & TITLE

FINKEL BUSINESS & R E BROKERS

FLORIDA CAPITAL REALTY

GAS STATIONS SOLUTIONS

GRAND REALTY OF AMERICA

GREENTREE INVESTMENTS GROUP

INTERINVESTMENTS REALTY

INTERNATIONAL BUSINESS GROUP

JZ BOCA BROKERS

KELLER WILLIAMS OF THE PALM BEACHES

KELLER WILLIAMS PROPERTIES

KELLER WILLIAMS REALTY OF JUPITER

KELLER WILLIAMS REALTY PARTNERS SW

KELLER WILLIAMS RLTY TREASURE COAST

KORES CORP

LORD VILLEJUST REALTY

LUXURY PARTNERS REALTY

MC2 REALTY

METRO REALTY CORP

MLR REALTY

MURPHY BUSINESS & FINANCIAL

MURPHY BUSINESS & FINANCIAL CORAL GABLES

MURPHY BUSINESS & FINANCIAL DELRAY

MURPHY BUSINESS & FINANCIAL SERVICES

MURPHY BUSINESS & FINANCIAL SERVICES

MURPHY BUSINESS & FINANCIAL SERVICES DAVIE

MURPHY BUSINESS & FINANCIAL SERVICES HOLLYWOOD

NEXUS INTERNATIONAL RE

OPTIMAR INTERNATIONAL REALTY

OWN REALTY

PALM BEACH BUSINESS BROKERS

PARADISE INVESTMENT REALTY

PATRICIA BURNSIDE REALTY

PFS REALTY

PREMIER BUSINESS BROKERS

PROPERTIES AND INVESTMENTS FLORIDA GROUP

RE/MAX COMMERCIAL ASSOCIATES

REAL LIVING ALL FLORIDA REALTY

REALTY ASSOCIATES FLORIDA PROPERTIES

REMAX 1ST CHOICE

RESTAURANT SALES GROUP

ROYAL CROWN GROUP

SEAWINDS INVESTMENT REALTY

SEAWINDS REALTY

SOUTH FLORIDA REALTY GROUP

STEBBINS BROKERS

STERLING EQUITY REALTY

SUNBELT BUSINESS BROKERS SE

SUNBELT BUSINESS BROKERS OF SF

THE KEYES COMPANY CORAL GABLES

THE KEYES COMPANY

THE KEYES COMPANY BOCA

THE KEYES COMPANY MIAMI

THE MAKEN GROUP

THE PRS GROUP

THE VENTURA GROUP OF FLORIDA

THREE DIAMONDS REALTY

TRANSWORLD BUSINESS ADVISORS FORT LAUDERDALE

TRANSWORLD BUSINESS ADVISORS PSL

TRANSWORLD BUSINESS ADVISORS WEST PALM BEACH

TRANSWORLD BUSINESS BROKERS MIAMI

UNITED REALTY GROUP

US1 FLORIDA REALTY

USA LENDING & REALTY

VR BUSINESS BROKERS BOCA RATON PALM BEACHES

VR BUSINESS BROKERS CORAL SPRINGS

VR BUSINESS SALE MERGERS & ACQUISITIONS

WELLSTONE GROUP

WINSTON WHITEHILL FINANCIAL

BOSS GROUP INTERNATIONAL    Please Call Us First  786-472-3872

 

If you are looking for business brokers in other parts of Florida, you can check out the Orlando Business Broker list and the Tampa Bay Business Broker list.

 

Tampa Business Brokers

November 22nd, 2013

James E. Parker Boss Group Intl. Fl. Lic. Real Estate Broker

James E. Parker
Boss Group Intl.
Fl. Lic. Real Estate Broker

Tampa Business Brokers

If you are selling a small business in the Tampa Bay, Clearwater or St. Petersburg area it is imperative that you find  Tampa Bay Business Brokers to assist you in selling your business.

Some people ask why they cannot sell their business on their own.  The reason that most people hire a business broker  is because a professional business broker will usually do a much better job and be more effective than if the person tried to do the services on their own.

According to national statistics, eighty percent of small businesses for sale do not sell.  Fifty percent of small businesses that go under contract with a buyer fall apart and never close.  Approximately one out of every twelve people that express interest in buying a small business are actually serious and qualified, therefore they will buy a business, usually not the one they initially called about.

These are not the best of statistics for  sellers of a businesses.  This is why it is extremely important to hire an experienced professional local Tampa Bay Business broker.  When I say “local” I mean business brokers that are working and living in the Tampa Bay area.  Any professional business broker should have the capability to reach potential buyers for your business anywhere throughout the United States and internationally.

I do highly recommend that the Brokers that you interview are members of  the  Business Brokers of Florida (BBF) organization.  The BBF is the largest business broker organization in the State of Florida.  The BBF allows Florida Business Brokers to share information on the businesses they have for sale and their buyers (MLS System) with other BBF members.   The BBFMLS system is so effective that  about 50-60% of the small businesses that sell in Florida are co-broke between two business brokers.

Below I have listed all the Tampa Bay Business Brokers that are members of the BBF and links to their websites. (Most of these companies would service Clearwater, St. Pete and Sarasota as well).  Like any large organization, some business brokers of the BBF are more qualified/experienced than others.  I do not endorse  any of the Tampa Bay Business Brokers on the list.  You will need to do your own due diligence on any of the business brokers listed.  I just wanted to make it simple for you in your beginning stage of finding the right Tampa Bay Business Broker.

As you set up interviews for business brokers, please keep Boss Group International in mind.  After interviewing other Tampa Bay Business Brokers, I do feel confident that you will find us to be one of the best business brokerage companies in the Tampa Bay area.  Hopefully your company and ours will be a good fit for one another and we will be able to work together to get your business sold.

We have tried to include all the BBF Tampa Business Brokers,  of course sometimes new members are added.  If you come across a Tampa Business Broker that is not on this list, please contact us and we will add them.

Remember, please put us on the list of business brokers to call.   The Boss Group  Tampa Bay number is 813-438-7934 or you can email me personally.

Good luck with your search for Tampa Bay Business Brokers!

James E. Parker

Boss Group International, LLC

Florida Lic. Real Estate Broker

813-438-7934

 

Here is the list:

Call BOSS GROUP INTERNATIONAL First!   813-438-7934

ABERDEEN ADVISORS

ACCEL PROPERTY SERVICES

ACQUISITIONS UNLIMITED

AMERIOPS

BIZMAX BUSINESS BROKERS

BOSS GROUP INTERNATIONAL   Tampa Area:  813-438-7934

C-21 COAST TO COAST

C-21 SHAW REALTY GROUP

CERTIFIED ACQUISITION ASSOCIATES

CII GULF COAST

COLDWELL BANKER COMMERCIAL NRT

COLDWELL BANKER COMMERCIAL NRT ST PET BEACH

COLDWELL BANKER COMMERCIAL NRT SARASOTA

COLDWELL BANKER ST PETE

COMPLETE REAL ESTATE TEAM

CORPORATE CONSULTANTS

CR COMMERCIAL REALTY

DENNIS REALTY & INVESTMENT

DYNAMIC PROPERTY INVESTMENTS

ENTERPRISE BROKERS

ERA GULF COAST REALTY

FIRST AMERICAN BUSINESS BROKERS

FIRST VENTURE ASSOCIATES

FLORIDA BUSINESS EXCHANGE

FLORIDA BUSINESS GROUP

FLORIDA BUSINESS OPPORTUNITIES

FLORIDA INTERNATIONAL GROUP

GOVONI & COMPANY

GULF COAST BUSINESS BROKERS

INTERACTIVE BROKERAGE GROUP

KELLER WILLIAMS ON THE WATER

KELLER WILLIAMS REALTY LAKEWOOD RANCH

KELLER WILLIAMS ST PETE REALTY

LEGACY ADVISORS GROUP

LEGACY VENTURE GROUP

LONGVIEW REALTY

MCGRATH BUSINESS GROUP

METRO BAY ASSOCIATES

METRO REALTY PROFESSIONALS

MURPHY BUSINESS & FINANCIAL SERVICES

MURPHY BUSINESS & FINANCIAL SERVICES

MURPHY BUSINESS & FINANCIAL SERVICES

MURTHA & MURTHA MERGERS & ACQUISITIONS

NATIONWIDE REALTY GROUP

NAVOCATE

NEW DIMENSIONS BUSINESS BROKERS

POST GROUP BROKER

PRUDENTIAL COMMERCIAL

REALTEC BUSINESS BROKERS

SUNBELT BUSINESS BROKERS

THE A LIST GROUP

THE MAE GROUP

TRANSWORLD BUSINESS ADVISORS

VIP BUSINESS BROKER.COM

VR BUSINESS SALES

VR BUSINESS SALES OF SOUTH TAMPA

W H BREADING & SON

WAGNER REALTY

WASHINGTON PARTNERS

WAUGH & COMPANY

WAYBRIGHT REAL ESTATE

BOSS GROUP INTERNATIONAL   Tampa Area:  813-438-7934

 

If you are looking for Florida Business Brokers in other cities in Florida, check out the lists of  Orlando Business Brokers or Miami Business Brokers.

VOIP for Small Business: Cheaper Yet More Powerful

November 12th, 2013

What is VoIP?

VoIP (Voice over Internet Protocol) is a great technology that allows you to make and receive telephone calls over the Internet and has been in the mainstream for the past 9 years.  It is also referred to as an Internet Phone.  VoIP enables you to make inexpensive telephone calls over a high-speed Internet connection, (usually a DSL, broadband cable, or some other high-speed Internet connection), instead of using your regular telephone service.  You can connect to regular telephone numbers locally, in other parts of the US or Canada, or anywhere else in the world. This can be done for one low price generally eliminating long distance fees.  In addition, you will usually have low international phone call rates to other countries.  The savings can be substantial, with lower fees and taxes than those levied by traditional telephone carriers.

As mentioned earlier, one requirement for VoIP is a high speed Internet connection, such as cable, DSL, or even wireless. As long as the Internet Service Provider’s bandwidth meets the minimum bandwidth and latency requirements for VoIP and the connection is stable enough you should have a quality experience free from audio artifacts and jitter. In most cases you will need an “always on” type of connection with a bandwidth of at least 128kbps on both upload and download for a single VoIP voice connection (an uncompressed voice connection will use approximately 90kpbs on both the upload and download).

 

What are the benefits of VoIP?

First and foremost the main benefit of VoIP is that you get more for less money. If you’re considering a VoIP Service Provider with inexpensive call rates, be sure they include the features that will make your communications system state of the art.  In addition, added features such as voice mail, call waiting, call forwarding, web based control panel, voicemail to email, advanced call forwarding features, etc., are added at no additional cost.  Plus, international rates are a lot less than traditional telephone companies.  In most cases you are not limited to just a certain local numbers, but can even choose one from another state or country.  You can add virtual numbers from other areas that will ring in on your primary number.

 

So, the benefits of VoIP are:

Lower monthly telephone bills; inexpensive long distance calls.

Additional features; all included in your one monthly flat rate.

Lower prices on International calling.

Virtual numbers; numbers that ring in on a primary number and can be from other areas, even other states.

Portability (LNP), or the ability to take your phone number with you.

 

Certain people are going to benefit more greatly from VoIP than others.  Entrepreneurs and small businesses are such great candidates for VoIP that it would be hard to present an argument against getting a VoIP service.  It’s not just the inexpensive calls that are the primary motivation; it is also all of the advanced features that are part of many providers’ service.  Getting a state of the art communications system, one that up until now would cost several hundreds of dollars a month with a large initial outlay, for under fifty dollars a month is incredible (and with very little upfront cost).

Adding a VoIP line or two can greatly increase a small business’s communications features, save money and increase revenue. Look into the features that will benefit your business plan, they may be more than you expected.

If you are interested in learning more about how VoIP can benefit you and your Business contact Central Florida Telecom at 321-250-4893 or sales@centralfloridatelecom.com

Orlando Business Brokers & Businesses for Sale Database

August 29th, 2012

If you are a potential buyer or seller that has had contact with an Orlando Boss Group International business broker, you should be receiving a weekly email from us that has links to a list of Orlando businesses for sale.

This email and the links are sent to nearly 3,500 people weekly.  The people that receive this email have expressed to us that they are interested in buying or selling an Orlando business or small business owners that may find it helpful to know the market conditions.

In this email we want to try to provide insightful information about buying or selling businesses, highlight businesses that we list in-house to get the businesses in front of our buyers.

The email also includes a link to our website of businesses that were just listed or had price reductions in the last seven days and a link to all businesses for sale in Orlando.  From our website you can also search the entire state of Florida for businesses for sale.

These links come from the same database.  What is this database though?  Is it just listings that Boss Group International have listed?

Actually, the database is derived from a professional organization called “Business Brokers of Florida” or referred to as “BBF”.  Most Florida business brokers belong to this organization.  The “BBF” is to professional Florida business brokers like the “Realtor Association” is to residential real estate agents.

The businesses listed for sale in these links/database are not just businesses that Boss Group International has listed for sale, but all the businesses for sale in Florida that are listed by BBF business brokers, no matter what business brokerage company they work for.

There are many websites, more than I would like to count, that advertise businesses for sale.  However, in my professional experience as a business broker here in Florida for over 10 years the Business Brokers of Florida database is much superior to all the other databases if you are looking to purchase a business here in Florida.

There are a handful of websites that may have more business listings than the Business Brokers of Florida database.  But more important than the number businesses for sale, is how well the database is maintained.  It is much better to search a database that is kept more up-to-date then to use a database that has expired listings or has listings with information that is no longer valid.

The Business Brokers of Florida database is used exclusively by BBF Florida Business Brokers.  This is the main database that professional Florida business brokers use to locate businesses for sale for their business buyers.  The reason why professionals use this database as their main source to find businesses for sale is because it is the best database.

If you are looking to buy a business for sale, would you rather use the database that professional business brokers or would you rather use a consumer business d for sale website?

The Business Brokers of Florida’s by-laws require their members to remove expired listings and mark ones that are under contract.   Florida business brokers are pretty good at keeping their businesses for sale in the BBF database current.  What is really a great feature is that when the business is marked as “sold” or the listing expires, the business for sale will automatically be removed from the BBF database.

Other databases are not as well maintained by both Sellers and unfortunately by some business brokers.  By using the consumer websites you end up searching through and trying to find out information on businesses for sale that are already for sale, no longer are for sale or have not been updated with new information.

If you are serious about buying a business, I highly suggest as an experienced Florida business broker that you utilize the database that professional Florida business brokers use to search.  We have options to link other databases on our website, but we want you to have access to the best.

Begin searching like a professional business broker for Florida businesses for sale or view the businesses for sale that came up for sale/were updated in the past seven days.

The Financial Due Diligence Process

May 30th, 2012

You found a quaint restaurant in Orlando for sale that is exactly what you have been looking for.   But is the restaurant really doing as financially well as the Seller has been claiming?

All you have seen to this point is very basic information and have had a hard time getting more in-depth financial information.  Why is the business broker/seller been reluctant to provide more information?

When a Florida business is for sale the Seller will provide basic financial information in regards to the business to the Orlando Business Broker that is handling the listing, who in return will provide to potential qualified Buyers.  However, the information provided to a Buyer is normally limited until there is a written, executed contract.

It is unrealistic to think a Seller of a business would be willing to be hand out in-depth supporting financial information to every buyer interested in buying their business.  Could you imagine giving private and extremely confidential information to twenty different people?

Once a Florida business for sale goes under contract, is when a buyer will begin his/her financial due diligence.  During this phase, the Buyer should consult with a CPA that specializes in financial due diligence.  The CPA will usually provide a list of items that the Buyer should request from the Seller of the business.

The purchase contract usually specifies that the Buyer needs to submit the financial due diligence within so many days of the contract being executed.  The Seller will gather the materials/documents requested and provide them to the Buyer.

After the documents are received by the Buyer, the Buyer will have an allotted amount of days for the accountant and him/herself to review the materials to determine if the business is performing financially as the Seller had stated.

Depending on what is stated in the purchase contract, the buyer may have different options depending if the business stands up to the financial due diligence or not.  Of course the Buyer may back out of the contract with no loss of deposit if the financial information does not support the Seller’s claims.

It is important that if the due diligence does not hold up to the claims, that the Buyer provide the Seller in writing before the date specifies in the contract that he/she will be canceling the contract because of the outcome of the due diligence.

The below is a sample due diligence list for demonstration purposes only.   The list is provided to give buyers and sellers an idea of what type of information might be asked for during due diligence process of buying or selling a Florida business.  Again this is just n example of a due diligence list.  If you are a buyer of a Florida business for sale, you should consult with your CPA that specializes in due diligence for the list that he/she may require.

Sample List for Due Diligence

(Consult your CPA)

Balance Sheet as of:
5/31/2012
12/31/11
12/31/10

Profit and Loss Statement as of:
5/31/2012
12/31/11
12/31/10

Tax returns:
2011
2010
2009
Accounts Receivables (A/R aging)
A/P aging
Detailed General Ledger , by months
2010
2011
and 2012

2010

 

Bank statements

2009, 2010, 2011, 2012
Staff, the list

 

Copy of 2009 W-3/4 and W-2’s
Asset list
Copy of lease

 

Sales for 2009, 2010, 2011, 2012 by months, by services, by accounts

 

COGS in detail by services, by clients for 2009, 2010 and 2011, 2012
Corporate books

Becoming an Orlando Business Broker

May 25th, 2012

httpv://www.youtube.com/watch?v=h59OHbwUtXU&feature=relmfu

On Wednesday I had the opportunity to be interviewed by Ron Climer owner/instructor of Climer School of Real Estate about how to become an Orlando business broker.  I have known Ron since I first took one of his classes back in 2010.  Since that time I have taken a few State required classes through his school.

Ron frequently interviews Orlando brokers who are former students of his about the real estate industry.  He seemed genuinely interested in interviewing me because of the unique nature about business brokerage.  I’m very glad that I agreed to do the interview.  It was fun and it was great to see Ron again.

Over the nine years that I have had a Florida Real Estate Licence (which by the way is required in order to help people buy and sell businesses in Florida) I have had the best experiences at Climer School of Real Estate than any other Real Estate school in Orlando.

Ron is extremely knowledgeable about the industry and about the real estate laws.  Just as important he has the unique capability of instructing in a way that is entertaining yet allows you to know the information to pass the State Exams and succeed in the “real world”.

I highly recommend Climer School of Real Estate to anyone looking for a great real estate school in the Orlando area.  It is the only real estate school that I recommend to family, friends and people looking to join Boss Group International.

By the way, the first person that emails me at jimp@bossgi.com and let’s me know the color and what it says on the shirt that Ron gives me during the video, wins the shirt!  Include your address.

 

 

Why Business Sales are Confidential

May 17th, 2012

It is important that Florida businesses for sale are kept confidential.  The Seller needs to protect his/her ongoing business interest, but it is also important for the Buyer’s protection.

When Florida businesses are marketed for sale, usually the description of the business provides enough information to spark the Buyer’s interest.  However, the information is usually general enough so that no one can guess the actual business that is for sale.

When a Buyer expresses interest in a particular opportunity, (and has been pre-qualified in terms of his/her financial capability and experience) the Buyer is required to sign a confidentiality agreement (also known as a non-disclosure agreement) prior to the name of the business being released.

The confidentiality agreement states that the Buyer will not disclose to anyone (other than advisors, such as attorneys and accountants) that the particular business they want more information is for sale.

By signing the C/A, the Buyer also agrees that they will not use information that is provided to him/her to compete against the Seller of the business.

The C/A that most Florida business brokers use is a standard BBF confidentiality agreement.  If a buyer alters the agreement in any manner, it usually will not be accepted and information on the business will not be released to the Buyer.

If a buyer is interested in looking at multiple businesses, the Buyer will need to sign a C/A for each particular business.

One of the most important duties of Florida/Orlando business brokers has is to help protect the confidentiality of Florida businesses for sale.

As a buyer, it is extremely important that you respect a Seller’s confidentiality for legal and ethical reasons.

So why is it so important that a business for sale remains confidential?

Customers
There are many great reasons a business is for sale.  Maybe the owner is retiring, has health issues, divorce or is just burned out from operating a particular business for so long.

Unfortunately, many people jump to the wrong conclusion that if a business is for sale that the business must not be doing well.  For this reason, buyers may assume the business is struggling.  People don’t like to patronize a business that they may think is struggling.

Employees

If employees know that a business is for sale they may worry that they could lose their job.  Employees may look for a new job when they are uncertain about their employment.

Vendors/Suppliers

Vendors/suppliers may not extend credit or terms of payment if a business is for sale.  They may worry that the owner might not pay his/her accounts payable.

Competitors

A competitor of a business for sale may spread the word that a business is for sale to help attract more customers to his/her business.

 

So as you pursue different business opportunities as a buyer, please take the care to protect the confidentiality of the sale.  Someday you may want to sell the business you buy and would appreciate the confidentiality in return.

 

James Parker

Business Broker

Boss Group International LLC

 

Best Type of Business to Buy

May 9th, 2012

We are often asked, “What is the best business to buy?”  It is a good question.  After all, as Orlando business brokers we see all different types of businesses.  So it makes sense to think that there has to be types of businesses better than other types of businesses.

Of course, some businesses are better than other businesses.  But really, there is not a type of business that is better than another business type.

There are better types of businesses for a particular buyer though.  The first step to buying a Florida business is obviously to identify what types of businesses are best for you.

Filling out a Buyer’s Business Wants and Needs and the Buyer’s Profile forms will help you narrow down what businesses you may want to search for.  These forms are also imperative if you want a Orlando Florida Business Broker to assist you with the purchasing of buying an Orlando Florida business.

Assess Yourself

Start the process by making a list of (and be honest with yourself) your strengths and weaknesses.  You need to look at your professional/career experience and acquire a business that best suits your particular experience.

Also examine your personal interests and hobbies.   Transforming a passion you have about an interest or hobby into your business is fantastic.  Owning a business becomes a way of life, so regardless of what business you acquire, you should have a passion for it.

For the best success, simply look for a business that you have experience and knowledge about and one that you have an interest in.

What You Want Personally

Think about what you want from being a business owner.  Do you want a business that you will devote lots of time to make it grow and expand, or are you looking for a business that gives you more personal freedom?

Are weekends/holidays important for your family life?  Do you feel comfortable and have the ability to manage large numbers of people or do you want to manage a few (or none at all)?

Independent vs. Franchises Businesses

Are you looking for an independent business or a franchise? Both have their pro’s and cons.  We suggest you read our article about whether an independent or a franchise is better for you.

Standard of Living

How much money do you need to make from a business in order to maintain your current living standards?

As you look at Florida businesses for sale, you will see terms such as Adjusted Net, Cash Flow or Owner’s Benefit.  This is basically the money that a seller states that a new buyer should make if the new owner operates the business the same at the Seller and had operated the business during the same time period that the adjusted net was figured out for.

Keep in mind that the adjusted net is usually figured out without financing for the purchase of the business.  If you will be doing financing through a SBA program, bank or will be having owner financing, you will need to subtract the loan payments from the adjusted net in order to determine is a business you want to purchase will still be able to support your current living standard.  A mortgage calculator can help you determine your payments.

Geographical Area

If you currently have a primary house in Florida, have a spouse who has a career and kids enrolled in schools, you are probably locked into a certain geographical area that you can buy a Florida business.

If you are not currently living in Florida, you probably have a larger geographical area that you can search into buying a Florida business.

Determine what areas of Florida you would be interested in buying a business.  By knowing what Florida counties that you would be interested in buying a business in, will be extremely helpful since most businesses for sale websites allow you to search by Florida counties.

Orlando Business Brokers Market Update

May 4th, 2012

As Orlando business brokers, we want to provide an update and some insight for people currently looking to buy or sell a business in the Central Florida area.

As of today, according to the Business Brokers of Florida (BBF), there are currently 447 businesses for sale in the Central Florida area.  This counts the counties closest to the City of Orlando  including Orange County, Seminole County, Osceola County and Lake County.

Out of the 447 Orlando businesses for sale, only 34 of the businesses are currently under contract. Obviously, this is an extremely low ratio of businesses for sale verses the amount of businesses that are under contract for purchase.

Even more startling for some, in 2011 less than 10% of all businesses for sale in the State of Florida actually sold according to the BBF.

Is this due to the Great Recession?  Are business buyers weary about purchasing a business?  Has the profile of Orlando business buyers changed?

Most Orlando business brokers would say yes to all three of the above questions, but they know there is a deeper problem and it has nothing to do with the amount of business buyers out there.

Currently, there are plenty of buyers looking to purchase a business in the Metro Orlando area.  Here at Boss Group International, we have over 2,000 potential buyers in our in-house database looking to buy a business in the Central Florida area.  This does not even consider the amount of buyers that other Orlando business brokers have for sale.

As you can see, the amount of buyers is not the problem.  This has not much to do with the recession, it’s an ongoing problem dating back prior to the recession.  Nor does it have to do with just Orlando.   Nationally, in any given year, the average amount of businesses that sell is 20% according to the  Business Brokerage Press.

So why don’t more of the businesses on the market actually sell?  How can we solve this problem?

The solution is actually very simple.  The Sellers of businesses need to price their businesses at reasonable asking prices.  Just as important, the businesses need to be priced correctly from day one to prevent a business from going “stale”.

Most businesses for sale are over priced, plain and simple.  Sellers tend to believe that their business is worth more than it really is.  It is understandable since they have invested money and time to build the business.  For many owners their small business is their pride and joy like a child is to a parent.

Just like it’s common for parents to believe that their child is smarter and more athletic than they actually are,  owners believe there business is worth more than it really is.

Business owners looking to sell their business need to take a step back and look at the market comparables of businesses that actually sold that their business broker is presenting them. Sellers need to listen to the professional advice of there business broker.

As Orlando business brokers (as well as business brokers across the country), we all need to do our part by doing a better job of explaining the realities of proper pricing to potential Sellers.

The businesses that are priced correctly tend to sell at a much greater percentage than poorly priced businesses.  If you are a Seller who is serious about selling, price the business correctly and do so from the day you list it.  Follow the strategies of pricing a business and you will not only greatly increase the chances of selling your business, but you are more likely to get a higher sales price.

Buyers, when you find a business that you like which is priced correctly, jump on it.  With so many quality buyers and so few businesses priced correctly you will need to move quickly in order to have the opportunity to acquire it.

 

Jim Parker

Orlando Business Broker

Lic. Real Estate Broker

 

 

 

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Jim Parker

James Parker
President/Business Broker
Lic. Real Estate Broker

Dear Fellow Entrepreneur or Aspiring Business Owner:

On behalf of everyone at Boss Group International, I would like to thank you for visiting us. We have provided a wealth of information on our website so you can better understand the process of buying or selling a Florida business.

 

You may want to see what businesses are currently for sale in Florida. We have provided you a direct link to the database of businesses for sale that professional Florida business brokers use to search for their buyers. Please take a look at this incredible database.

 

If you are interested in buying or selling a Florida business, contact us today so we can discuss the possibilities. As professional Florida business brokers, our conversation will remain confidential.

 

  Orlando: 1 407 329 3273 Jacksonville: 1 904 484 0150
  Tampa: 1 813 438 7934 Canada: 1 613 777 9800
  Sarasota: 1 941 421 0464    
  Miami: 1 786 472 3872