When one sells residential real estate, an independent appraisal report must be completed for financing to be approved for the sale. A business is much more complex and far too many businesses fail to take this step. Given the complexity of a business sale, Andrews Network Affiliates recommends a viable business valuation be performed by an independent third-party valuation service to assist in expediting the sale.

A business owner should be prepared for lengthy negotiations without a third-party valuation report because it will be the seller's versus the buyer's opinion of value. Business brokers who prepare their own in-house valuation report lack the credibility buyers require, given the compensation conflict inherent in broker evaluations. A buyer will also place limited credibility in the value arrived at by the seller's accountants for the same reason.

In the business brokerage industry valuation reports have wide variances in quality. Many brokers rely on generic valuation reports that are based on unproven theories. A seller should determine the following: Was a true analysis of the business performed? Were factors such as industry trends, age of the business, client base, and other factors that will affect the price taken into consideration?

Andrews Network Affiliates uses the services of the largest, independent third-party valuation service in America to complete these reports for our clients who are trying to secure full market value for their business.

They perform thousands of business valuations each year and have the largest database of closed transactions in the nation.
They know what price other businesses like yours are really producing.
Their reports are reader friendly and can be shown to prospective buyers.
They recommend which assets to sell and which to keep, as well as, which liabilities to be disposed of or retained.
They recommend the deal structure that will be most likely to produce a completed transaction and at the best obtainable price.
Business brokers consistently produce higher prices and smoother sales when valuation reports are presented as part of the business-offering package. We strongly recommend that a comprehensive valuation report be included in the offering package of any business being listed for $200,000 and above.
Under the Business Brokers Network® system, the confidentiality of the business owner and the prospective buyer is strictly maintained.
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