For each seller, the answer will be different. What are the characteristics of a good buyer? First, let’s start with the understanding what the vendor wants — at least that’s our approach:
- For some, this is the best price.
- For others, they want to ensure the sustainability of the company and its employees.
- Some may seek the next generation that they do not have internally and wish to gradually transfer their knowledge.
- And we also saw “to anyone, except XYZ.”
Starting from this answer, you have to find the profile of the buyer you are looking for:
- Is it the biggest competitor?
- Is it the closest geographically?
- If we are looking for an individual – what are the skills and trade required?
- Various factors can be considered: including the size of the intelligent buyer, the down payment required, etc.!
This process takes time, effort, and determination.
We’ve seen sellers “fall in love” with a buyer…by that we mean they like each other a lot in terms of skills, personalities, etc., but they’re not necessarily the ones who will pay the price, offer the best structure or who will move the fastest.
The worst challenge is when a seller does not want us to go to any competitors – the price impact can easily be 20-25%. You must be aware.
Be clear as a seller about your objectives – it will be easier for us to meet them.
As a seller, do not hesitate to ask about the methods, tools, and systems that a broker uses – this aspect should be clearly explained to you.