Where do business owners go to list their businesses for sale?
If you’re wondering where to sell a small business, you’re in the right place. As seasoned M&A brokers, we’ve dealt with our fair share of buyers and sellers, and here are the top 6 places we recommend you consider selling your business.
1. Local Chamber of Commerce
Investopedia.com defines a chamber of commerce (CC) as an:
“…association or network of businesspeople designed to promote and protect the interests of its members.”
When selling your small business you’ll be interested in the networks your local CC can link you to and the exposure they can provide you with.
It’s well worth getting in touch with your local CC and finding out about the resources available to members and any help offered to those selling their businesses.
2. Investment Banks
When thinking about where to sell a small business, few people consider investment banks. Before approaching these, however, it’s important that you know who they perceive as small businesses.
Generally, they go by the criteria established by Census.gov, which decrees that a small business is an enterprise that has a revenue of anywhere from $1 to over $40 million. And it typically employs anywhere from 100 to 1,500 people.
If your small business’ revenue falls comfortably within this range, you’ll likely be a good match with an investment bank.
The advantage posed by going this route is that the bank will be able to act as a lender and can also screen prospective buyers.
3. M&A Brokers
Brokers who specialize in mergers and acquisitions have access to an extensive network of buyers – one that’s often curated and can’t be found anywhere else.
Because brokering the buying and selling of companies is what M&A brokers do, they understand the intricacies of finding the right buyer and can greatly assist in this regard.
An additional advantage of working directly with a broker is that from the start of the sale until its end, you have a professional team to guide you, make recommendations, and negotiate on your behalf.
4. Online Listing Websites
When selling your small business it’s imperative that you cast your net as far and wide as you can. You don’t know where you’re going to get prospective leads. That’s why there is no harm in posting your listing on business-for-sale websites.
Noteworthy mentions include:
Do note that some of these platforms require you to pay a listing fee as is the case with Exit Adviser and BusinessMart.
5. Local Media
We’ve grown so used to digital spaces that we sometimes forget that you can rely on other forms of media for marketing purposes. In this particular case, we’re talking about running ads in local media – newspapers and business journals.
These ads have the potential of reaching a different demographic, possibly even the buyer you’re after. You don’t’ lose anything in posting an ad in your local paper. You’re just increasing the number of eyes on your offer.
6. Your Immediate Network
Word of mouth marketing is still highly regarded by many, with 64% of marketers agreeing that it is the most effective form of marketing.
If you’re not intending for the sale to be private, don’t hesitate to tell people that you’re selling your business. Let the word filter through your networks, employees, and business associates.
If you’re particularly articulate and can make a convincing pitch talk to as many people as you can to get the word out.
Now that you know where to sell a small business, you’ll also need a broker to assist you when prospective buyers start to contact you. With an undertaking of this magnitude and so important, entrust your affairs to a skilled and experienced team.
Contact us today.
Looking for more insight on selling a business? Check out these links:
- Mitigating Post-Closing Risks Through The Rep and Warranty Insurance
- How to Navigate a Buyer or Seller’s Initial Meeting
- Are You Financially Ready to Sell?
- Buyer Motivation – How to Confirm?
- Sell NOW – The Crystal Ball is Pretty Clear
Disclaimer: Any information provided in this blog is not intended to replace legal, financial, or taxation advice given by qualified professionals.