There are 25,007,505 businesses in the United States today and 40% of business owners expect to list their business within the next three years. Take a look at these alarming statistics:
|Business Category||Revenue & Employees||Number of Businesses for sale||Number that sell||Percentage of Sale|
|Small Businesses||Revenue $750,000 or less 10 employees or less||880,000||160,000||(18%) 1 out of 5.5|
|Larger Businesses||Revenue $750,000 to $3 Million 100 employees or less||172,000||43000||(25%) 1 out of 4|
|Medium Companies||Revenue $2 Million to $30 Million 20 to 100 employees||73,000||49,000||(28%) 1 out of 3.5|
|Larger Companies||Revenue $30 Million Over 100 employees||8,000||2,500||(33%) 1out of 3|
Source: Business Brokerage Press Complete Guide to Business Brokerage 2002
Common Reasons Businesses Don’t Sell?
- Sellers often don’t have the information buyer’s need in order to make an informed decision
- Sellers don’t have current and accurate financial information
- Sellers are not realistic in setting the price and terms
Approximately 90% of those who buy businesses end up with something different from the business that they first inquired about. The buyer seldom buys what the seller is selling.
Using a Professional Business Broker is valuable and your chances for closing a sale will increase significantly when you use a Business Broker.
When using a business broker sellers are more prepared to sell and buyers are more ready to buy.