Business Brokers of Miramar, Florida office of Morgan & Westfield
At the Miramar, Florida office of Morgan & Westfield, our business brokers’ main objective is to make sure that your business is sold successfully. To accomplish this goal, our business brokers do far more than just provide services that will complete some aspects of the sale for you.
Our experienced business brokers will provide you with professional advice that will make the entire process of selling your business easier. Many of our brokers are former business owners who have been through this process both as brokers and as sellers, so their understanding is grounded in their personal and professional experiences.
Our ability to provide you with this advice is what separates Morgan & Westfield from other business brokerage firms.
Common Mistakes Made by Business Sellers
Inexperienced sellers tend to make mistakes that are extremely costly. Based on our business brokers’ experiences, company owners should avoid the following common mistakes:
- An Inability to Maintain Confidentiality. Most business owners know that you cannot sell your business in the same way that you would sell a house. You cannot simply put a sign out and tell everyone that the business is for sale. You must maintain absolute confidentiality and resist the temptation of letting your employees, customers, competitors, suppliers, and other stakeholders know that your business is being sold. Anyone that you informed about the sale must be asked to sign a non-disclosure agreement, so that he or she is contractually unable to divulge any information. Failure to maintain confidentiality could have disastrous results for your company.
- An Inability to Properly Structure the Sale. The lack of or the limited experience of most company owners in structuring business sales makes privately closed sales almost always flawed. This causes the sales to end in default and legal battles. Both of which can turn your dream of selling your business and enjoying your future into a nightmare. For this reason, you should always have your sale structured by an experienced professional.
- Failure to Sell to Qualified Buyers: At Morgan & Westfield, we have a system for finding potential buyers and then screening them to ensure that they are qualified to purchase your business. As a business owner, you probably do not have these same resources or screening systems in place. Without such system, you could end up working with potential buyers who are not qualified or not capable of completing the sale successfully. Completing the sale successfully means far more than just closing the sale and getting a down payment. The company must also remain profitable enough for the new owner to repay the entire price that the business was sold for. This is especially significant when you consider that most business sales are financed, so the buyer must be capable of running it successfully if they are going to finish paying you for the business. Failure to work with a buyer who is both financially capable of paying the down payment and of keeping the company profitable will result in an unsuccessful sale and possibly a legal battle in the future.
- An Inability to Continue Running Your Business: Selling a business takes a lot of time. Business owners often do not have the time to complete the process of selling their businesses while they are simultaneously running it. Company owners who decide to relax on their responsibilities concerning daily operations just because they know they will soon be selling their businesses are committing a major mistake. Failure to maintain daily operations will result in your company losing some of its value. This will cost you money and make the company difficult to sell.
- Failure to Provide Accurate Information: Providing accurate information to potential buyers is important. Inaccurate information will turn buyers away and make selling your business to a quality buyer nearly impossible.
- Failure to Have Information Prepared for Buyers: When a buyer asks for information about your company you must provide it promptly. Otherwise they will become suspicious that you are not providing information because you are trying to hide something.
- An Inability to Properly Negotiate: Many business owners expect that a buyer will walk in and give them an offer that they cannot refuse. This is not a realistic expectation. Most buyers will make low initial offers. As the seller, you must anticipate this. Taking these low offers personally or becoming frustrated when your unrealistic expectations are not met is a recipe for a disastrous negotiation. This is why it is best to have your negotiations facilitated by a professional business broker to help you to maintain perspective.
- An Inability to Value Your Business Properly: Business owners often think that the value of a company is what they believe or someone else tells them it is. And they believe that their perceived value is what buyers will offer to them. Our business brokers can help determine your company’s true value through a formal business valuation.Remember that only the market and what a buyer is actually willing to spend can determine your company’s true value. If you hold onto a belief that your company is worth a price that is significantly different from what the market can provide, then your business will not sell.
- An Inability to Complete all of the Paperwork Involved in the Sale: When it comes to contracts, you cannot afford to make any mistakes. Failure to include a clause, or misrepresenting something contractually, or failing to complete the paperwork correctly will result in major problems. These mistakes can even invalidate the sale of your business, so it is best to seek guidance from a trained professional as you go through this process.
- Failure to Consider the Details: Many business owners become so focused on the larger aspect of selling their businesses that they forget about some of the details. Forgetting to complete one of your contractual obligations or failing to consider a detail because you simply overlooked it can present a major problem — in some cases this can even nullify the sale. At Morgan & Westfield, we can help you prevent this type of situation.
- Failure to Outline What is Included in the Sale: When buyers are taken to see your business, owners often state that everything that the buyer is seeing is involved in the sale. This is not always the case though. For example, there may be rented equipment, or leased property, or personal property that is not actually being sold. This inadvertent misrepresentation often leads to confusion and can result in legal disputes. To prevent this, our business brokers recommend including a list of everything that is involved in the sale in the contract containing the terms of the sale.
Serving Broward County, Florida
If you are selling a business in the area of Florida’s beautiful Broward County, then our business brokers at the Miramar, Florida office of Morgan & Westfield can help.
Aside from giving useful advice, such as those outlined above, we also provide other services that will ensure that your business is sold successfully. We can serve the following communities that make up Broward County:
Pompano Beach, Tamarac, Sunrise, Weston, Davie, Coral Springs, Cooper City, Coconut Creek, Plantation, Fort Lauderdale, Dania Beach, Hallandale Beach, Pembroke Pines, Hollywood, and Miramar.
In addition to these communities, we also serve the Dade County communities of:
Aventura, Miami Lakes, Opa-Locka, North Miami, Hialeah, Doral, Miami Springs, Kendale Lakes, Kendall, Coral Gable, Miami Gardens, South Miami, Miami Beach, and Miami.
Our business brokers have extensive experience in facilitating business sales in this region, with hundreds of business sales facilitated every year for area business owners.
To learn more about our services and how we can help you sell your business, contact the Miramar, Florida office of Morgan & Westfield today.