Choosing Representation

When selling a business, sellers mostly think about the commission they have to pay for services rendered. Although it is true if a seller foregoes representation they would avoid paying commission however, the cost of avoiding a 10% commission is far greater than having representation by professional, experienced broker such as VR. There are risk factors involved when choosing no representation, such as risk of confidentiality breach is greater, expensive, irreversible mistakes and negotiating effectiveness.

By choosing representation, sellers can reduce the risk of confidentiality breach. VR employs a proven system to keep sales transactions confidential from beginning to end. We are a critical buffer between you and the buyer to ensure that confidentiality is upheld to its highest degree, and the business is not severely damaged during the selling process due to a confidentiality breach.

Often for-sale-by-owners (FSBOs) can cause themselves to make a lot of mistakes that tend to be expensive and irreversible, possibly even critically damaging the sale of the business. There are countless mistakes VR has seen sellers make because they were completely unaware of the pitfalls. There is no logical reason that a FSBO should pay more than 10% for their mistakes to find out that they need representation.

With VR’s representation, we provide negotiating effectiveness. From our experiences, negotiating a deal can be exhausting, frustrating and emotionally overwhelming. Business owners who are very much attached to their business tend to more emotional when negotiating with buyers. Emotional negotiating can be costly because decisions were based on feeling and not critical thinking. To reduce errors and seller’s remorse, sellers should choose representation for the experience, professionalism and negotiating effectiveness that eliminates the emotional aspect of the selling process.