How To Sell Your Business and Make a Successful Exit

Selling a business is a significant decision that requires careful deliberation and planning. The role that business brokers play can be indispensable, especially when you aim to sell a business in Philadelphia, PA. These professionals guide you through the complex process, helping you avoid common pitfalls and ensuring a smooth transition.

How Business Brokers in Philadelphia PA Can Help

Business brokers in Philadelphia can prove to be an invaluable asset when selling your business. They are well-versed in the local market and can provide invaluable insights and guidance throughout the selling process. They can help you determine the right price, connect you with potential buyers, and navigate the negotiation and closing processes.

Preparing To Sell Your Business in Philadelphia

Preparing your business for sale involves more than just deciding to sell. It requires a thorough business valuation, a deep analysis of your financials, and a well-crafted exit strategy. Business brokers in Philadelphia can assist with this process, ensuring that your business is presented in the best light to prospective buyers.

Finding the Right Buyer for Your Business

Finding the right buyer is crucial for a successful business sale. Business brokers can facilitate this process by leveraging their professional networks and marketing your business to a wider audience. They can also provide guidance on what to look for in potential buyers, ensuring a seamless transition.

The Negotiation Process

Negotiating the sale of a business can be complex and emotionally charged. Business brokers can play a critical role in this phase, acting as intermediaries between you and potential buyers. They can help secure the best possible price and terms, ensuring your interests are protected throughout the negotiations.

Finalizing the Sale

Finalizing the sale of your business involves a multitude of tasks, from drafting sales agreements to coordinating the transfer of assets. Business brokers in Philadelphia can help with these final steps, ensuring that all paperwork is correctly completed and that the deal closes successfully.


In conclusion, selling a business in Philadelphia can be a complex and challenging process. It involves multiple steps, from initial preparation to finalizing the sale, each of which requires significant time, effort, and expertise. This is where business brokers in Philadelphia, PA, truly shine. They guide you through the process, leveraging their knowledge, experience, and networks to secure the best possible outcome. Whether you’re contemplating selling your business or have already made up your mind, engaging the services of a professional business broker can make all the difference. So, if you’re ready to sell a business in Philadelphia, take the first step toward a successful sale by seeking the assistance of a reputable business broker.

Ready to take the leap? Make the decision today to partner with a top-tier business broker in Philadelphia, PA. Don’t navigate the complex process of selling your business alone; let our expert team guide you every step of the way. If you’re prepared to sell a business in Philadelphia, reach out to us and discover the difference a professional business broker can make. It’s time to turn your business into a successful sale. Contact us now!

Demystifying Business Brokers: Your Guide to Selling Your Business

If you’re a business owner looking to sell your company, you may be considering hiring a business broker. But what exactly is a business broker and how can they help you with the process of selling your business? In this article, we’ll explore the role of business brokers, the importance of business valuation, and how to effectively sell your business.

Understanding Business Brokers

A business broker, also known as a business transfer agent or intermediary, is a professional who assists in buying and selling businesses. They act as intermediaries between buyers and sellers, helping to facilitate the sale of privately owned businesses.

What Business Brokers Do

Business brokers handle all aspects of the transaction process, from finding potential buyers to negotiating deals. They typically start by conducting a market analysis to determine the value of your business. Once they have established a fair market price, they will then use their network and marketing techniques to find potential buyers.

Once a potential buyer is found, the business broker will facilitate meetings between the seller and buyer and assist in negotiations. They also help with preparing necessary documents for the transaction, such as confidentiality agreements and purchase agreements.

Why Business Valuation is Important

Before selling your business, it’s important to have an accurate understanding of its value. This is where business valuation comes in. Business valuation is the process of determining the economic value of a business, taking into account factors such as assets, liabilities, cash flow, and market trends.

Having a professional business broker conduct a thorough valuation of your business is crucial in determining its market value. This not only helps in setting a fair asking price, but it also provides potential buyers with confidence in the transaction. It also helps in avoiding any disputes or disagreements during the negotiation process.

The Process of Selling a Business

Selling a business is a complex and time-consuming process. Hiring a business broker can help ease the burden and ensure that the transaction runs smoothly.

The first step in selling a business is to conduct an accurate valuation, as mentioned earlier. Once this is done, the business broker will work with the seller to develop a marketing strategy and identify potential buyers. They will then screen and qualify potential buyers to ensure they are serious and financially capable of making the purchase.

Once a suitable buyer is found, the business broker will facilitate meetings and negotiations between both parties. They also assist in drafting necessary documents for the transaction, such as letters of intent, confidentiality agreements, and purchase agreements.

Why You Need a Business Broker

Selling a business is not as simple as listing it on an online marketplace. It requires specialized knowledge and experience to navigate the complexities of the process and ensure a successful outcome.

Business brokers are trained professionals who specialize in buying and selling businesses. They have access to a vast network of potential buyers and understand the market trends and valuation methods. This puts them in the best position to negotiate on behalf of the seller and achieve the highest possible selling price.

The Benefits of Business Valuation

Aside from determining the market value of a business, there are other benefits to conducting a business valuation. It can help identify areas within the business that may need improvement or investment before putting it up for sale. It can also highlight the strengths and weaknesses of the business, allowing for improvements to be made before going to market.

Furthermore, a business valuation can provide valuable information for tax purposes and future financial planning. It gives business owners a clear understanding of their company’s value and can assist in making informed decisions about its future.


Engaging the expertise of business brokers in Orlando Florida, can be instrumental in getting the best deal when you decide to sell your business in Orlando. Their understanding of market trends, coupled with their expansive network of potential buyers, positions them as the most reliable professionals to help you navigate the intricacies of a business sale. Additionally, a thorough business valuation in Orlando will not only determine your business’s worth but also highlight areas for improvement, ultimately boosting its appeal to potential buyers. Therefore, whether you’re considering selling now or in the future, it’s essential to understand the value of your business and partner with a reputable business broker in Orlando Florida to ensure a smooth, profitable transaction.

Expert Insights: How Business Brokers Enhance Your Selling Experience

Are you a business owner in New Hampshire looking to sell your company? If so, you may be wondering how to get the best value for your business and find the right buyer. This can be a daunting task, but luckily some professionals specialize in helping business owners through this process – business brokers.

What is a Business Broker?

Business brokers are intermediaries who assist business owners in buying or selling their businesses. They are experts in valuing a business, marketing it to potential buyers, and negotiating a successful sale. These professionals can provide guidance and support throughout the entire selling process, making it easier for business owners to focus on running their company while leaving the sale in capable hands.

Benefits of Working with a Business Broker

One of the main benefits of working with a business broker is their expertise in valuing a business. A business’s value can be difficult to determine, but brokers have experience in analyzing financial statements, market trends, and other factors to accurately assess its worth. This can help sellers avoid over or underpricing their business and ensure they get the best possible price.

Another advantage of working with a business broker is their extensive network of potential buyers. Brokers have connections with individuals and companies who are actively seeking to purchase businesses, making it easier for sellers to find the right buyer. This can save sellers time and stress in searching for interested buyers independently.

Additionally, business brokers can handle all the marketing and advertising efforts on behalf of the seller. They can create professional marketing materials, advertise on various platforms, and screen potential buyers to ensure they are serious and financially qualified. This can help attract more buyers and ultimately lead to a successful sale.

Furthermore, business brokers can also assist in the negotiation process. They have experience in negotiating deals and can help sellers get the best possible price for their business. This can be especially beneficial for inexperienced business owners who may not have the knowledge or skills to effectively negotiate a sale.

Lastly, working with a business broker can provide confidentiality during the sale process. Brokers use non-disclosure agreements and handle all communications between buyers and sellers to protect the business’s sensitive information. This is important for maintaining the stability and reputation of the business while it is being sold.

In conclusion, whether you’re looking to accurately evaluate your business for the best possible price, connect with a wide network of potential buyers, or navigate the complexities of negotiations, a New Hampshire business broker can provide invaluable assistance. They offer an all-inclusive service, from crafting professional marketing materials to screening financially qualified buyers, all while maintaining the utmost confidentiality. This ensures both the stability and reputation of your business remain intact throughout the selling process. So, when you’re ready to sell a business in New Hampshire, remember to consider the significant benefits offered by working with a seasoned business broker. When it comes to business valuation in New Hampshire, rest assured that these professionals can guide you toward an accurate assessment of your business worth, setting you up for a successful and profitable sale.

The Importance of Business Brokers and Business Valuation Services

Starting a business can be challenging, especially when it comes to finding the right buyer or selling your business at the right price. This is where business brokers and business valuation services come into play. In this article, we will discuss the importance of these services in the world of business.

What are Business Brokers?

Business brokers are professionals who act as intermediaries between buyers and sellers of businesses. They help business owners sell their businesses by finding potential buyers and negotiate on their behalf. Business brokers have a vast network of contacts, which they use to find the right buyer for a business. They also handle all the paperwork and legal requirements involved in selling a business.

Why Do You Need a Business Broker?

Selling a business can be complicated and time-consuming, especially for first-time sellers. This is where having a business broker can be beneficial. Business brokers have the expertise and experience to handle all aspects of selling a business, including marketing, negotiations, and legal processes.

Some other reasons why you may need a business broker include:

Confidentiality: Business brokers maintain confidentiality throughout the selling process. They ensure that sensitive information about your business does not fall into the wrong hands.

Valuation: Business brokers can accurately determine the value of your business, considering factors such as assets, revenue, and market trends. This helps you price your business competitively and attract potential buyers.

Marketing: Business brokers have access to a wide range of marketing tools and strategies to promote your business to potential buyers. This increases the chances of a successful sale.

Negotiations: Business brokers are skilled negotiators who can handle difficult negotiations on your behalf. They have experience in dealing with different types of buyers, ensuring that you get the best possible deal for your business.

What are Business Valuation Services?

Business valuation services are professional services that determine the economic value of a business. Business valuation is important for various purposes, such as selling or buying a business, obtaining financing, or settling disputes between shareholders.

A business valuation typically takes into account numerous factors, including:

Financials: A business’s financial performance and stability are crucial in determining its value. This includes factors such as revenue, profits, and cash flow.

Assets: The value of a business’s tangible assets, such as equipment and inventory, is also considered in its overall valuation.

Market trends: Business valuations also take into account current market trends and industry conditions. This helps determine the potential for future growth and profitability of the business.

Intangible assets: Intangible assets such as intellectual property, brand value, and customer relationships also play a role in business valuation.

Competition: The competitive landscape of the industry in which the business operates is another important factor to consider. A business with a strong market position and competitive advantage may have a higher valuation than its competitors.

Industry benchmarks: Business valuations often use industry benchmarks to compare the performance and value of a business against its peers.

The Role of Business Brokers in Valuation Services

Business brokers play an essential role in the business valuation process. They act as intermediaries between buyers and sellers, facilitating the sale of a business at a fair price. As experienced professionals, they have extensive knowledge of market trends and industry conditions, which can help determine the accurate value of a business.

Here are some ways in which business brokers assist with business valuation services:

Providing Expert Advice and Guidance

Business brokers have a thorough understanding of the factors that contribute to a business’s value. They use their expertise to provide guidance and advice to both buyers and sellers, ensuring that the sale price accurately reflects the true value of the business.

Conducting Market Research

One of the primary responsibilities of a business broker is to conduct market research to gather relevant data and information. They analyze industry trends, economic conditions, competitor performance, and other factors that impact the value of a business.

Evaluating Financial Statements

Business brokers have the expertise to analyze financial statements in detail. They review financial records such as profit and loss statements, balance sheets, and cash flow statements to get an accurate picture of the business’s financial health. This information is crucial in determining the value of a business.

Utilizing Valuation Methods

Business brokers use various valuation methods to determine the fair market value of a business. These can include asset-based, income-based, and market-based approaches. They select the most appropriate method based on factors such as industry, size of the business, and nature of its operations.

Negotiating Sales Price

Once a business broker has determined the accurate value of a business, they use their negotiation skills to agree on a fair sales price between the buyer and seller. This helps ensure that both parties are satisfied with the final transaction.


In the complex world of business transactions, the role of business brokers in Los Angeles CA is pivotal. Their expertise in market research, financial analysis, and valuation methods is invaluable. Business valuation services in Los Angeles are particularly crucial, as they provide an unbiased assessment of a business’s worth, removing any guesswork or personal bias. Specifically in Los Angeles, CA, where the business landscape is highly diverse, having a business valuation conducted by professional brokers provides credibility and accuracy. This ensures a fair sales price that reflects true market value and satisfies all parties involved in the transaction.

If you’re seeking a professional business broker in Los Angeles, CA, or need a comprehensive business valuation in Los Angeles, don’t hesitate to reach out to us. Our team of experts is ready to provide you with a detailed, unbiased assessment of your business’s worth to ensure a fair sales price and seamless transaction. Trust our expertise to navigate the diverse business landscape of Los Angeles, CA, with confidence and precision. Contact us today and take the first step towards a successful business transaction.

The Independent Contractor Revisited

As the federal government and the state governments look for more ways to bring in money, the independent contractor status is a likely place for them to look. After all, by using independent contractors rather than employees, employers don’t have to withhold taxes, provide workers’ compensation, contribute to unemployment compensation, or provide any benefits such as 401-k programs, health insurance or other benefits. Plus you can use and discontinue independent contractors as needed.

Certainly, in this age of home-based businesses, the use of outside sources makes a lot of sense. Outsourcing a lot of business needs has been done for years and will only increase with growth of small business. Most one-person and small businesses don’t need full-time employees. Many requirements can be outsourced to independent contractors who in turn outsource many of their requirements.
It is the use of workers who are classified as independent contractors, but are really employees that can cause legal issues. FedEx Ground has been in the middle of this type of legal dispute for several years. FedEx claimed that their drivers were franchisees and therefore independent contractors; several drivers (and later the IRS) challenged that status, claiming that the drivers were really employees.

Here are some basic distinctions between independent contractors and employees:

Lack of employers’ direction is one major difference. In other words, the worker is left to his or her devices and does what the particular job requires without direction from the employer.
Is the worker working primarily for one employer or working for several employers on an as needed basis?

The worker is not in the same general business as the employer. A full-time consultant in the same line of business as the employer might be considered an employee. If the employee has his or her own business and also works for other companies, he probably would be considered an independent contractor.

Just because the worker creates an LLC or even an S-corporation doesn’t necessarily protect both sides from being classified as an independent contractor.

The federal government and the states are narrowing the definition of an independent contractor. One must definitely be truly independent to be considered an independent contractor. FedEx franchises (for lack of another term) wear FedEx garb, have FedEx logos on their trucks, and deliver FedEx packages on defined routes. However, we understand that they buy their own trucks and can sell their FedEx routes. But, consider the old saying: If it looks like a duck, acts like a duck and makes duck-like noises, there is a very good chance it is a duck. The battle goes on, but the penalties for violating the status of your people can be very expensive.

Entrepreneurship Is Alive and Well!

A recent article in the Boston Globe reported that although more attention is on the large, primarily publicly held companies, more and more people are making their living by operating their own businesses. In fact, nationally, over 500,000 new businesses are started every year.  What this means is that over 10 percent of workers are “either starting a business or working at one that is less than 3 1/2 years old.”  And, as indicated by frequent reports, new businesses create new jobs.

Those people who start businesses generally do not have their own funds available for start-up expenses. This is due in part to the fact that bank and SBA funding is not available to them.  In addition, fewer than seven percent of new or prospective business owners will receive actual venture capital funds.  So, where does the money come from?  Second mortgages, credit cards, and family loans are the most common sources of start-up funds.  The Globe added that “over the past few years, more than 80 percent of Inc. Magazine’s Fast 1000 companies have been started with about $50,000 or less.”

The article concluded with a plea for “seed” capital and funding from both public and private sources.  Perhaps this article and similar ones will lead the way towards the recognition that those who own and operate their own businesses deserve a less arduous journey toward making the right start.

Small Companies Are Innovators

Small companies are the innovators. The need for large companies to acquire small companies is necessary in order for the former to capture new products and services.  According to Fortune magazine, “Big companies almost never innovate. This is unfortunate because innovation is one of the few ways to gain proprietary advantage and stay profitable.  It’s not that innovation itself is rare – it’s occurring everywhere.  Which means, mostly, elsewhere.  And as engineers and inventiveness continue to flourish in China and India, elsewhere moves farther and farther from here.  A healthy business must therefore not only innovate more within its walls but leverage innovation elsewhere too.

“So why is innovation so hard for big companies?  The main reason is that innovative people tend to prefer working in smaller organizations that have more focus and less bureaucracy.  Even in small companies, adopting a large-company style can frustrate the innovators.
“The problem with large companies isn’t that they fail to do large and seemingly ambitious projects; it’s that they fail to do small, quirky, controversial projects  – that  have the potential to grow.  (If everyone thinks an idea is okay, how can it be innovative?)  A large organization – its missions threatened by new ideas – is often incredibly hostile to its own innovators; the antibodies to change are strong.”

Small Company Growth Trends

The median sales of a company going public has gone from an average $15 million in 1999 and 2000 to $164 million in 2004.  Smaller companies have decided not to go public as often as in years past, and they reap the quick – and cheap – money as a result of that decision.  The question is “why?”

A company with only $15 million in annual revenues would most likely not want to have an IPO and absorb all of the attendant costs and the on-going fees related to going public.  They also would not want to have to spend the money necessary to comply with the Sarbanes-Oxley regulations.  Smaller companies have to pay a hefty price to go public – and remain public.  In fact, a recent Business Week article reported that “Bankers expect a record number of U.S. companies to go private this year, topping last year’s 86.”

Many CEOs, in order to rapidly grow their businesses, merge or acquire other companies.  However, many of these do not work out and the acquired entities eventually get sold off.  But as long as mergers and acquisitions are in vogue, large companies will acquire smaller ones in an effort to grow as rapidly as possible.  Therefore, many smaller companies that won’t go public because of the costs and subsequent compliance issues will be absorbed by larger companies.

The trend today, at least in manufacturing, is to provide complementary services.  For example, General Electric manufactures aircraft engines and medical equipment, but they also provide financing and maintenance services for the things that they manufacture.  These ancillary, but complementary, services are big profit makers.  Small service companies that provide these services may be excellent acquisition targets for manufacturers.  If smaller companies want to grow, adding complementary services such as GE does may be the best way.

On the flip side, many large companies are divesting themselves of companies that don’t fit into their core strategy.  For example, McDonald’s purchased Boston Market and several other food franchises in an effort to continue their growth. McDonald’s discovered that they were much better off focusing on their core business than they were trying to grow new concepts.  It is believed that these other franchises will be sold or they may already have been.  Smaller companies may want to divest themselves of products or services that aren’t complementary to their core business.

Some companies have almost reinvented themselves by adding new, more profitable, and “sexier” services or products.  This can increase the value of the company.  Smaller companies, because of their size and the fact that they usually have one manager, can shift quickly.  They can get rid of products or services that don’t generate commensurate profits, or add new products or services that can add to profits, much more quickly and efficiently than their larger counterparts.

Small companies, at least for the short term, will not be likely to go public, will be able to shift gears quickly to improve profits, but may also become acquisition targets by larger companies.

A Board of Advisors

In most jurisdictions, a board of directors is not required for privately held companies.  However, many of these companies have appointed what might be termed advisory boards.  Although they may not have any legal authority, owners of these privately owned companies have discovered that this team of outside advisors can assist them in many ways.

One important way they can help is just by having their name and/or company affiliation attached to the company.  This can open doors to new customers and new relationships.  Appointing advisors from both the accounting and legal fields can help insure that the company maintains strong controls on these important areas.  This board can also assist in developing company strategy and systems.  A business-savvy board can also help in management succession and can help prepare the company for sale.

In order to create a strong and helpful advisory board, “cronies” should not be included. The advisory team can consist of two to four people. They should meet several times a year, or in emergency sessions when necessary, and be available by telephone.  They should also be compensated for their time just as any consultant would be.

Closing the Price Gap

The deal is getting down to the wire, the price differential is close, but the parties are not yet in agreement. Following are some ideas that might get the ball rolling and help bring the parties together.

  • Let the seller retain the real estate and rent it to the buyer, thus reducing the price. The same could be done for major pieces of equipment. Let the seller lease them to the buyer reducing the price. The lease should, however, like most leases, provide for a buyout at the end.
  • Structure a royalty on sales rather than an earnout on gross margins or EBIT.
  • Have the parties create a subsidiary for the fastest growing part of the business in which the buyer and seller share 50/50.
  • Let the buyers acquire 70 percent of the business with the requirement that they purchase 10 percent more each year on the same multiple of EBIT as in the 70 percent sale.
  • Arrange a consulting agreement with the seller to provide additional compensation to be paid annually.

Certainly, any agreement or deal structure should be approved by the party’s professional advisors.