A business broker is a business/economics adviser typically on the side of the seller who helps in sale and purchase deals.
Primarily employed by small and medium sized enterprises when the
entrepreneurs would like to sell their companies because they have grown
to a scale that they do not wish or can't handle.
The main attribute of the activity of a business broker is that from the perspective of demand the selling party takes over management completely without revealing their identity. The advantage and role of this is that "demand" or the buyer cannot isolate the real owner from the broker which is a key factor in successful sale for the seller.
Business brokers as a business service specialize in both "front office" and "back office" style support functions in the more and more complex economic exchanges. These functions can range from the traditional managing "selling and purchasing" to leasing or time limited activities. This managing is complete, from valuating the products/services that are to be sold, to managing marketing, legal services or documenting the exchange which are all included in the same way as business negotiations or financial administration. The range of this partnership between the seller and business broker is defined by the agreement between these parties.
Payment of the broker is usually done by hourly rates but payment by acquiring a percentage of the negotiated selling price is done too. An advanced form of this service is the online business broker who utilizes the possibilities of the internet to accelerate the process or improve the service using an online interface for example handling marketing which can be a one order of magnitude improvement compared to traditional business brokers. Today there are online services available where the seller can choose an appealing business broker or online business broker with appropriate references. These can be special (online) early filters for the client to reach an online business broker.
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