Whether you’re looking to buy or sell an auto shop, tackling the process alone can be overwhelming. That’s why working with a knowledgeable, experienced automotive business broker is so important.

Curious why working with a broker sets you up for a more successful sale or business acquisition than selling or buying on your own?

Our experts at AutoCenter Sales share eight reasons why working with an automotive business broker is in your best interest!

What is a Business Broker?

The main objective of a business broker is to work as a buffer between the seller and the buyer. They can communicate to the owner if the price is too high and can help work out what needs to be done to make a deal, typically candidly and openly, and also discuss the differences in viewpoints to help find an agreeable resolution for both parties.

The broker will also help finalize paperwork to ensure everything is completed, removing the worry for you.

When you consider the negotiations, ensuring all transactions are finalized legally, and working through state laws, investing in a broker can save you time and money through the process.

1. Brokers Understand Effective Pricing

Want to avoid overpaying for an auto shop? Or selling an auto shop for less than it’s actually worth? Then you need a knowledgeable business broker on your side.

Auto business brokers have a deep understanding of how to properly value auto shops to arrive at a reasonable sale price. It’s unfortunate, but many independent auto business sales fail simply because they’re overpriced. If you’re planning to buy, brokers also know how to determine when a business is priced too high and can help you steer clear of a poor deal.

2. Working With an Auto Business Broker Saves You Time

Buying or selling an automotive business (or any business for that matter) is an involved process that requires substantial time and attention to detail. Chances are you have plenty of obligations outside of conducting a successful deal, and working with a broker can help ensure you have ample time to attend them.

A business broker shoulders the majority of the work required to sell or obtain an auto shop, which allows you to maintain your current business and focus on life outside of work.

3. Brokers Are Serious About Confidentiality

Many owners insist on confidentiality when they decide to sell an automotive business. If you’re unfamiliar with the sale or acquisition process, you’ll no doubt bring questions to the table that may not be answerable according to confidentiality agreements.

When a seller needs confidentiality, an experienced business broker will require that all involved parties sign a non-disclosure agreement to protect potentially sensitive information. The broker can also explain the necessity of such an agreement to prospective buyers, along with the reasons behind limited information disclosure prior to the extension of an offer.

Essentially, automotive business brokers are experts at weeding out interested parties who are just looking for information and those who are actually interested in making a purchase.

4. Automotive Business Brokers Have Extensive Industry Connections

An experienced broker has an extensive network of industry connections to draw on when a client requires assistance with their business’s financial or legal matters.

If a business’s numbers are off or their processes need work, a broker knows how to address any discrepancies. He can direct the owner to the appropriate vendors, insurance agents, lenders, and other professionals who can help remedy issues that can interfere with a successful sale.  

5. A Broker Is a Skilled Negotiator

Successfully completing a business sale or acquisition can require extensive negotiations and automotive business brokers are skilled negotiators. Whether you’re buying or selling an auto shop, working with a broker will help ensure you get the best deal possible.

Relying on a broker during the negotiation process also dramatically reduces stress and personal involvement around the entire process.

6. Auto Business Brokers Know How to Market Effectively

An experienced business broker will spend considerable time performing a comprehensive evaluation and creating a business review that outlines the essential details of an automotive business.

This presentation package helps buyers understand exactly what they’re acquiring while helping sellers understand the what and why behind the recommended sale price.

7. Business Brokers Have the Right Tools for Buying and Selling

A professional broker will also have access to and pay for various tools to help you buy or sell a business. Between access to forms, data on sold companies, and specific research methods, a business broker will manage every aspect of the process, making the overall experience more streamlined and efficient for you.

8. A Broker Will Know What Companies Are For Sale 

You may already know which business you're interested in buying, or maybe you know now is the time to invest. A business broker will not only have a list of companies for sale, but they will also have inside knowledge about these companies to help you find one that fits your wants and needs.

Even if you are purchasing a franchise, you should speak with a broker because they can narrow down all the options and help you find the right store that will work best for your needs.

Need a Broker to Buy or Sell an Auto Shop?

If you’re considering buying or selling an automotive business anywhere in the United States, get in touch with our team at AutoCenter Sales today. For over 25 years, we’ve proudly helped buyers and sellers get the best deals for their businesses and our network of experienced industry connections is unmatched.

To learn more about how we can help make your next sale or purchase as smooth and lucrative as possible, call us today at 1-800-874-5793 or contact us online.