Do I Really Need a Broker to Sell My Practice?
Let's say you're contemplating selling your dental practice in the near future - or maybe it's a more urgent course of action you need to take. If you've given it any thought, you might have considered selling your practice yourself. After all, that will save you a generous amount of money, right?
Think again
A broker's top priority lies in respecting and representing your best interest, which includes making sure you generate as much return as possible. If you're still skeptical about whether hiring a broker to sell your practice is the most efficient or cost-effective route to take, keep reading.
Here are the top 6 reasons as to why a professional broker's assistance will benefit you more than privately selling:
- Maximized Net Return.Your ultimate goal while selling your practice is to maximize your net return – it's as simple as that. Statistics show that most, if not all, private sellers net less money without the expertise of a broker - which is ironic considering that many opt to sell by themselves to reap more profit.
- Proper Representation.In almost any industry, there is a level of distrust when purchasing directly from the seller. Buyers tend to heavily rely on the expertise of a qualified broker to help them make an informed decision. With the help of a broker, any questions that potential buyers may have can be professionally answered without putting the seller at risk.
- Accurate Appraisal.It's easy to sell your practice, or a portion of it, to your associate. However, without a proper and accurate appraisal conducted by a professional - it's also easy to low-ball the worth of your practice. A broker can net you more return, even if you decide to sell to your associate.
- Avoiding the Large Investor Corporations Trap.Another trap that some dentists tend to fall into is selling to large investor corporations. These corporations may promise to pay the appraised value (sometimes over a period of time). By going this route, you lose out on properly exposing your practice to the open market, and thus capitalizing on multiple offers. Plus, do you really want to tie yourself up working for someone you don't really know?
- Avoiding Commission Deduction.The reality is, when a buyer discovers you are selling your practice on your own, it changes their perception. Quite often, most if not all of what a buyer deems to be a broker's commission is deducted from their offering price. Therefore, not only have you netted the same or less, but you've also invested your time and energy only to end up in a deficit position. Most lawyers agree that private sellers of dental practices end up netting much less than if they were to use a broker.
- Adequate Exposure.Never underestimate the importance of exposure! Proper exposure allows any dentist who is actively in the market to discover your practice along with all of the great features your business has to offer. As your safety is very important to us, this is done while we maintain the utmost privacy to protect you and your practice.
Why should you trust Alan Rustom's brokerage team?
Alan's team helps to facilitate the Open House, which they directly attribute to encouraging multiple offers and generating a higher selling price. Using the support of these trained and qualified professionals to develop and implement your marketing strategy is paramount to generating top dollar for your practice. Once again, their priority truly lies in representing your best interest.
Remember, your practice is one of your biggest investments - and the risks associated with selling privately are never worth it. Your hard work, time and energy shouldn't be sacrificed only to generate a portion of the net return you could have gained with the adept help of a broker!
We're here to help. Contact Alan for a free consultation to discuss competitive fees and structures. We look forward to hearing from you!
