If you own a business, then you will understand how important marketing is. Marketing gets your story out and allows customers to know you exist. Without marketing, you’re unlikely to sell your goods. The same is true when you’re selling your business, but marketing a business can be very different to marketing a product or service.
Many small businesses rely on bootstrapped marketing techniques: flyers, signs and networking that get their name out as widely as possible. When selling your business you need discretion, so shouting your plans from the rooftops isn’t usually a good idea.
After years of bootstrapping you may question paying for marketing, but it’s important to understand that marketing is not a cost; it’s an investment. Business brokers have the experience to turn that investment into a high return.
Identify the Buyer
The first thing you learn about marketing is to identify your market. Business brokers understand people who are looking to buy a business and will be able to determine the sort of buyer your business will attract, whether that’s a competitor, an investor or someone looking for a specific business type or geographic location.
Identifying the buyer also means identifying their motivations. Are they looking for something to run themselves or something they can leave in the hands of a manager? Do they want to work in the industry they love, or are they hoping for a business that will let them make money while cutting back hours? A broker’s experience lets them understand the motivations of different buyers.
Advertise Accordingly
Once the business broker understands your target buyer and their motivations, they advertise your business in the right places. Remember, confidentiality is a key part of a successful business sale, so it’s important to know how to advertise without revealing certain specifics regarding the business.
With their understanding of your potential buyer, a broker knows how to reach out to them, whether through online advertising or privately via an already built, extensive network of investors and buyers.
Create Competition
The more interest you have in your business, the higher the price it will command. A good broker can create competition between prospective buyers, giving you a better chance of getting a high price quickly.
Brokers are able to create the marketing materials that will attract serious buyers looking for exactly the type of business that you have built. The sale of a business requires unique materials including selling memos and blind profiles, which emphasise all the benefits of buying your business without disclosing any identifying details. This is a very particular type of copywriting and it is well worth investing to ensure it is done properly.
Monitor and Report
As with all good marketing plans, it’s important to know whether your business sales marketing efforts are working. A good business broker monitors their marketing efforts on your behalf and reports back to you about what is working and what is not. From there, they adapt marketing, if required, to ensure you the best offer possible.
Monitoring and reporting is an essential part of a broker’s business, as it tells them important information about the state of the market, trends in business selling and which types of marketing work best. Investing in a business broker lets you take advantage of all that knowledge.
When planning to sell your business, always consider marketing as an essential expense. It’s an investment that ensures you identify the right type of buyer, find that buyer and show them that your business is a very attractive prospect.
