Tag Archives: Business Broker

Facts for Foreign Nationals – What You Need to Know About Business Brokers in America

Posted on by Jessica
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Here’s a little article I had written for The Florida Forums, an excellent site for future expats providing resources and support to those who would like to immigrate to to the US.  I am licensed to practice in Florida, however the facts below will be applicable for all 50 states.  If you are looking for businesses to purchase outside of Florida, please contact me as I have colleagues in several states who may be able to help.

Business brokers often work with foreign nationals looking for business opportunities for visa purposes and I wanted to offer some advice when interviewing business brokers, regardless of the city or state you are keen on moving to.  The most important thing is to do your research, and beginning with resources such as the Florida Forums is a great first start.

Business Broker Facts:

  • Unfortunately, only about half of the States regulate the business brokerage industry.  For the majority of those that do, the State requires that the business broker have a valid real estate license.  These licenses can be easily checked online at any given state’s real estate department or division.
  • Is the broker a member of a professional association?  Most business brokers may be licensed real estate agents, but they are typically not members of the National Association of Realtors.  Many states have their own business brokerage association.  In Florida, for instance, I am a member of the Business Brokers of Florida (BBF).  The Florida Forums has a link to many of the various state associations here: http://www.thefloridaforums.com/partners.htm
  • Is the broker also a member of the International Association of Business Brokers (IBBA)?  This worldwide association offers continuing education to its members, annual conferences for professional development and a strict code of ethics.
  • Not all real estate licensees are business brokers.  In the current Recession, we?ve seen many residential real estate professionals expand their services, including business brokerage or consulting.  When interviewing brokers, ask how long they have been in the business of selling businesses.
  • Visas to the US are valid for all 50 states.  However, outside of popular states for immigration (such as Florida), many business brokers are not familiar with E-2, L-1 and EB-5 requirements pertaining to the actual business purchase.  Working with a broker who is familiar with the immigration process will save you a lot of time, as they will only present businesses that appear to meet Embassy standards.
  • In most states, business brokers cooperate with one another.  This means any given business broker can show you multiple businesses, regardless if the company is listed by him or her.  This enables the buyer to interview and work with one dedicated professional.
  • Do not start actively looking at businesses until you are in a “Go” position.  If you do not yet have the funds liquid to make a purchase and apply for your visa, it will be counter productive to fly to the US to look at individual companies.
  • Make sure your have a rapport with your broker.  The business search requires sharing confidential details about not only the business but yourself financially.  It is important to hire a qualified professional that you can trust and feel confident in sharing your personal details and who will guide the sale.

I am always available to answer any questions and also provide guidance or referrals to my qualified colleagues outside of Central Florida.

Portrait Studio For Sale

Posted on by Jessica
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32-year-old portrait studio for sale in North Orlando area.  Original owners are ready to retire and a new owner will enjoy excellent records, great income & a strong and loyal customer base.  Ideal for owner-operator(s) who enjoy photography.

$120,000

Call Jessica Hadler today at 407-770-8373 for more information.

“I Want to Buy a Business Today,” or The Anatomy of the Unprepared Business Purchaser

Posted on by Jessica
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There are many types of business purchasers – some are laid back, others are analytical or the “hard-core” investor, and there are also those who are simply passion-driven to own and run their own business.  Regardless of the personality of a particular buyer, there is one thing that these folks will likely have in common – this will be his or her first business purchase.

According to the International Business Brokers Association (IBBA), the average business purchaser looks for businesses for up to 18 months, often failing to complete on any business transaction.  There are several factors leading up to such a setback, but a couple of prime reasons for a buyer’s frustration is their unrealistic expectations or unwillingness to hire the right professionals to assist them, such as their accountant, business broker or attorney.

The task at hand can often feel overwhelming for the unprepared buyer.  Though there are thousands of businesses on the market at any given time, only a few will may meet their criteria: budget, required discretionary earnings (also known as “owner benefit), desired working hours, location, or staff requirements.  It can also be frustrating for those who don’t know where to begin the search or questions to first ask themselves – Where can businesses for sale be located? What aspects of a business need to be evaluated?  What type of business do I even want?

As time passes and business opportunities come and go, the mission often becomes time-driven for the buyer.  Maybe there are personal reasons: she is looking to quit her job and run a shop, or wants to relocate by summer’s end to get her family into the new school district.  If it’s strictly business-motivated, perhaps the time-crunch is due to assets recently liquefied that need to be reinvested as part of a particular strategy, or an existing company needs the support of an acquired business.  Some purchasers are just ready for a change.

Several times a month, my office receives calls from people who have spent months looking for a business before reaching out for help.  The clock has been ticking and they explain that they need to buy a business as soon as possible.  One thing a broker cannot do for a buyer is turn back the clock.

What a professional business intermediary can offer a buyer is knowledge, time, and experience.  They can assist buyers in determining which industries to target, enhance the business search, prepare offers and aid in negotiations, investigate financing options, and guide the transaction toward a successful close.

If a buyer is having difficulty in her pursuit, she needs to make the time to sit with a professional she trusts and explain her needs, budget and timeline.  Honesty and trust are the first two components that are needed to get the search back on track and make the following weeks productive and as efficient as possible.

The business buyer doesn’t have to go it alone – with the right team, the search and acquisition periods will feel more fruitful and productive, and the end result will be more positive.  Preparation is key for any aspect in life — a person’s business and family needs most certainly included.  Learn what it takes to be successful in your pursuit – and share it!

A Call for Submissions: “The Anatomy of a Prepared Business Purchaser”, as Told By a Successful Buyer