Entrepreneurship & Small Business

Selling Business via Broker in Ottawa

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  • Mar 6th, 2014 8:52 am
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Member
Jun 7, 2010
317 posts
97 upvotes

Selling Business via Broker in Ottawa

Hello Folks:

Friend of mine is planning on selling his business in Ottawa region and I am wondering if there are any recommended business brokers who can assist in getting the best return on the sale. It seems Sunbelt Business Brokers has been mentioned by few RFD'ers here, but not specifically for Ottawa region (more so for GTA and Barrier region). It also seems that they charge something like 12% commission on the sale.

There was a buyer for this business (from overseas) but that prospective sale did not go through due to some immigration issue (I think buyer was looking to get into investor visa program or something along those lines and there was some sort of change in how the government provides investor visa now).

Any recommendations or other advise from the biz guru's here?
8 replies
Member
User avatar
Jan 24, 2014
404 posts
86 upvotes
Toronto
Sunbelt is #1 in the world especially for sourcing foreign buyers. Sunbelts Ottawa group does all the valuations for all of the Sunbelt offices in Ontario. They tend to get enough of a premium on a sale to cover the cost of the brokerage.
Member
Jun 7, 2010
317 posts
97 upvotes
Thanks Bizcoach. Actually, I think it was your post(s) that I was reading prior to posting this topic. Meeting is set with them to see what they can provide. The broker informed me that they will charge few 1000's to generate a optimized valuation to see what they think its worth as well as the selling price.

Hopefully, someone else can chime in as well!
Member
User avatar
Jan 24, 2014
404 posts
86 upvotes
Toronto
deadsea wrote: Thanks Bizcoach. Actually, I think it was your post(s) that I was reading prior to posting this topic. Meeting is set with them to see what they can provide. The broker informed me that they will charge few 1000's to generate a optimized valuation to see what they think its worth as well as the selling price.

Hopefully, someone else can chime in as well!
I pm'd you
Newbie
Sep 22, 2011
62 posts
7 upvotes
OTTAWA
Hi Deadsea,
I personally have not had a good experience with sunbelt, and I have meet several other buyers and sellers who had the same thing to say about Sunbelt Ottawa (Greg Kells). I would recomend giving a call to Sandra Harvey at Murphy Business brokers; my interactions with her have been positive and this firm seemed more professional.
Many good businesses are sold through informal networks before they hit business brokers. I meet with a group of investors and business owners every month to discuss opportunities (next one is March 17). You are welcomed to send me a PM if you'd like me to see if there would be interest from that group.
Good luck!
Member
User avatar
Apr 16, 2011
346 posts
22 upvotes
Toronto
Fujisan582 wrote: Hi Deadsea,
I personally have not had a good experience with sunbelt, and I have meet several other buyers and sellers who had the same thing to say about Sunbelt Ottawa (Greg Kells). I would recomend giving a call to Sandra Harvey at Murphy Business brokers; my interactions with her have been positive and this firm seemed more professional.
Many good businesses are sold through informal networks before they hit business brokers. I meet with a group of investors and business owners every month to discuss opportunities (next one is March 17). You are welcomed to send me a PM if you'd like me to see if there would be interest from that group.
Good luck!
sell it your self on MLS and icx.ca/realtor.ca for only $398 listed on the Ottawa & Toronto Real Estate Boards @ www.realtytoronto.ca
Member
Jun 7, 2010
317 posts
97 upvotes
Fujisan582 wrote: Hi Deadsea,
I personally have not had a good experience with sunbelt, and I have meet several other buyers and sellers who had the same thing to say about Sunbelt Ottawa (Greg Kells). I would recomend giving a call to Sandra Harvey at Murphy Business brokers; my interactions with her have been positive and this firm seemed more professional.
Many good businesses are sold through informal networks before they hit business brokers. I meet with a group of investors and business owners every month to discuss opportunities (next one is March 17). You are welcomed to send me a PM if you'd like me to see if there would be interest from that group.
Good luck!
Thanks Fujisan. We are actually looking at both Murphy as well as Sunbelt. This is exactly the sort of feedback I was looking for to determine who is best to sign with. What was the commission rate charged by Murphy, if I may ask?
Member
Jun 7, 2010
317 posts
97 upvotes
ahmahndoode wrote: sell it your self on MLS and icx.ca/realtor.ca for only $398 listed on the Ottawa & Toronto Real Estate Boards @ www.realtytoronto.ca
Unfortunately, this is not an option when confidentiality regarding sale of a business is of importance. Thanks.
Newbie
Sep 22, 2011
62 posts
7 upvotes
OTTAWA
I did not get to that stage with them; they gave me a few opportunities to look at, but it did not go any further. Depending on the size of the business, I believe one of the best (and most utilized) ways to sell a business is through your accounting firm. They know many other business owners who are looking to expand or acquire other companies and can be trusted to keep the information confidential, not to mention bringing sell side and buy side on common ground (e.g. unbiased opinion on estimated value of the company). They would generally not bother wilth small businesses though. I know many partners at a couple of local firms (Deloitte, Welch, Logan Katz, etc.); happy to make an introduction if it makes sense.

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