Business Brokerage Confidence Levels
According to BizBuySell.com’s annual, Business Brokerage Confidence Levels, business owners confidence are believed to be at a high. Is now is a good time to sell? Not so fast. The annual report also indicates that buyers are more skeptical of the asking price business owners are wanting. The confidence index is calculated by evaluating survey responses of more than 1,500 people interested in either buying or selling a small business. Business owners are optimistic about the future of their business and the survey indicates sellers believe they can receive more money for their businesses than they could last year. BizBuySell.com has seen a 6 year high of business listings. Over all these business owners who had their business on the market were seeing improvements in performance which ultimately lead to higher asking prices.
Remember, the report was not all good news, prospective small business were more tentative in their optimism. The Business Brokerage Confidence – Buyer Confidence Score dropped by 31 percent. The recent volatility that rocked the U.S. and Chinese stock markets was a reminder for those in search mode that what goes up will come down. These buyers also believe that seller asking prices or the their business was overvalued.
Business Brokerage Confidence Levels & 2016 Elections
Trump seems to be capturing the attention of entrepreneurs with and are responding to his view on tax policies and the economy. This effects Business Brokerage Confidence Levels as well. The possibility of an increase in minimum wage was high on the list as a concern for future business and Business Brokerage Confidence Levels.
Buyers actually have more capital this year according to the survey but 42% of potential buyers expected sellers to provide financing in their deal. It’s no surprise sellers want all cash at closing but 49% of sellers will not consider seller financing creating a large gap in expectations between buyers and sellers.
Sellers who are not getting the action on their business for sale may want to consider seller financing. Statistics show seller financing will attract more potential matches and increase their final price. Free Download
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