October 30, 2009: by Travis Kellett
Stay Calm & Close the Deal
Buying a business, and selling a business, are both highly emotional events. Consider that, during negotiations, both sides are experiencing some form of anxiety. This tension can have a significant effect on the likelihood of a successful deal.
For a seller, emotions are running high. Their business represents a significant portion of their net worth, and they are preparing to part with it after investing a great deal of time, money, sweat, and tears. They are likely headed into retirement, to be funded by the proceeds of this sale.
For a buyer, purchasing a business can be a major life event. They've likely worked hard, scrimped, saved, and borrowed to be in a position to buy a company of their own. Apprehensive and nervous, they want to be sure that they are buying what they think they are buying, and the pressure to be diligent can be overwhelming.
As a business broker, our goal is to place everyone's emotions aside and focus on financial realities. Both parties will retain teams of accountants and lawyers, who will need the help of a broker to sift through the mountain of information, offer compromises, and advocate decisions that benefit everyone.
For buyers and sellers, the impulse to react emotionally is very common. But with education about the sale process, access to detailed information, and creative solutions to problems that arise, attention can be returned to the task at hand.
All in an atmosphere that is comfortable, respectful, and completely confidential. Staying calm is crucial to a successful deal.
Bridgepoint Business Brokers can help take emotion out of the equation for both business buyers and business sellers.