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Not with some of their team, but with every broker in their system. Give them training, tools, mentorship...learn from investment banks and share case studies. Could be a great and fulfilling career for a lot of people, esp w/ aging sellers coming down the pike. /end of rant
I went through the sales process on a business with $5 MM in sales. I interviewed some brokers before, with zero experience, deciding to sell it myself, ultimately getting solid qualified offers. Here are my thoughts: 1. Here's what small business brokers care about in order:
First, their fee. Second the buyer. Third their client. Why? All brokers care about their fee, at any price, at any cost. Duh. They care more about the buyers, because they are often repeat clients while the clients are usually not! 2. Not only do some brokers charge 10%...
They charge 10% on inventory and take a 10% cash commission on buyer promissory note that hasn't arrived yet (and often doesn't arrive). It is INSANE.
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