A Business Intermediary will come in contact with the business sellers and build a listing portfolio by using six key methods of prospecting:
· Personal Networking
· Telephone Call
· Direct Mail
· For Sale By Owner (FSBO)
· Centers of Influence (attorneys, accountants etc.)
It has been proven that the most effective approach to prospecting is to use a combination of all six primary methods. The important thing to remember when using the combination is the timing and the follow-up aspects of the process. Prospecting alone is not enough; proper timing and frequent follow-up will produce results. This is not a one call business. Success in this business is built on multiple conversations with an owner. This is all based on the steps in a business owner's "Ownership Cycle."
Every business owner moves through an "Ownership Cycle" during the phases of his business.
The owner is focusing on growth in the business. Introducing your company as early as possible into this process works beneficially towards both the seller's and the intermediary's common goal is a successful transaction.
The business has its own momentum
The owner begins to think about doing something different, possibly getting out.
An owner has different phases of the selling process which are very distinct. While prospecting, you could meet an owner who is in any one of the three ownership cycles or at any one of the selling phases. In each case, it is important to decide which phase the owner is in and when to follow up next. Keep in mind these next steps below as well:
1st step: Think about Selling
2nd step: Research about "How to Sell"
3rd step: Decide to Sell
4th step: Take Action to Sell
Depending upon where a business owner is in this process, you should respond with the appropriate method of prospecting, achieving the desired contact.
When personal canvassing, your objective should be to make a minimum of 20 owner contacts daily. (You may need to make 40 calls to meet 20 owners.) You want to introduce your services, determine owner's needs, establish a rapport, and lay a foundation for a future course of action.