Business brokerage can easily be considered as a high income opportunity for helping people sell their existing and running businesses to investors who are looking for businesses that are for sale. Apart from yielding truckloads of money, this business also grants the flexibility to function as an independent businessperson, with a high income potential. It also offers enough cash flow for building-up and sustaining an excellent lifestyle if well matched with hard work, discipline, communicative powers and an attitude to help and learn.
This business primarily revolves around the domain of smallcap and midcap business ventures. When a business owner is looking for ways to dispose or to liquidate his assets, then it’s the business brokers or the intermediaries who come to his aid.
Business brokerage established itself by cashing-in on the mindset of a certain class of people who prefer buying a business above starting a new one. Thus, business brokers are also considered an extremely important part of the national economy. With several businesses being available for sale (business owners want to do it for old age, ailments, boredom, and sometimes just for the cash), it calls for good business brokers who bring together the parties for facilitating the transactions that end in a successful closing. Prospects do vary. If the business is a profitable one and is priced fairly, it will definitely sell.
What qualities should you possess to be a successful business broker?
Confidence comes first, like any other business and is considered an indispensable factor. You should know how to maintain a good buyer-seller relationship and stay registered under The International Business Brokers Association® (IBBA), a non-profit trade association of business brokers that provides education, arranges conferences and delivers networking opportunities.
Apart from the usual office set-up costs, which are variable, there is an initial membership fee to be paid (around $4,500 to $9,000). A monthly fee applies ($250 – $400) but returns are huge since every successful transaction pays the broker a minimum of 10% of the total price paid. That way, the first couple of dealings are enough to cover the initial cost incurred. This is a business that’s both exciting and rewarding!