There are 25,007,505 businesses in the United States today and 40% of business owners expect to list their business within the next three years. Take a look at these alarming statistics:
| Business Category | Revenue & Employees | Number of Businesses for sale | Number that sell | Percentage of Sale |
|---|---|---|---|---|
| Small Businesses | Revenue $750,000 or less 10 employees or less | 880,000 | 160,000 | (18%) 1 out of 5.5 |
| Larger Businesses | Revenue $750,000 to $3 Million 100 employees or less | 172,000 | 43000 | (25%) 1 out of 4 |
| Medium Companies | Revenue $2 Million to $30 Million 20 to 100 employees | 73,000 | 49,000 | (28%) 1 out of 3.5 |
| Larger Companies | Revenue $30 Million Over 100 employees | 8,000 | 2,500 | (33%) 1out of 3 |
Source: Business Brokerage Press Complete Guide to Business Brokerage 2002
Common Reasons Businesses Don’t Sell?
- Sellers often don’t have the information buyer’s need in order to make an informed decision
- Sellers don’t have current and accurate financial information
- Sellers are not realistic in setting the price and terms
Approximately 90% of those who buy businesses end up with something different from the business that they first inquired about. The buyer seldom buys what the seller is selling.
Using a Professional Business Broker is valuable and your chances for closing a sale will increase significantly when you use a Business Broker.
When using a business broker sellers are more prepared to sell and buyers are more ready to buy.