Sidney decided to advertise a business for sale that he had owned several years. And he thought it would be important to give as much information in the ad as possible, so that only people interested in exactly what was being offered a busy convenience store--would respond. He was trying to achieve the perfect match. That would save everyone's time. But he learned, after people dropped by his store during business hours asking for more details, that he had included too much identifying information.
Ruining the confidentiality about your sale is only one problem with providing too many details in the business for sale ad/posting. Another is that one or more of the facts stated in the advertisement might discourage or confuse prospective buyers.
Here are a few guidelines that can be followed to make sure that just the right amount of information is included to attract interest, but not so much that it works against the objectives of the advertiser.
1. Location is important to many buyers and probably should be included, using a very general description, in most ads offering a business for sale. People who may be potential buyers probably want to know whether the manufacturing company is in a new and modern industrial park or an old factory setting near downtown. The ad for a retail business in California should let readers know if the company is in a suburban shopping mall or a part of the central business district. One strategy to give important but non-revealing information, is to mention the neighborhood in a large city--sporting goods store in western part of Los Angeles; or just name the county, in the event the business can be identified simply with information about its city liquor store in San Bernardino County.
2. Contact information should not, of course, be easily associated with the business. One seller didn't know how callers responding to his furniture store for sale ad/posting were able to determine the identity of the company. The ad included the number for his home phone, rather than the store's phone number. Clever buyers simply used a reverse directory to discover his name using the phone number, then conducted an online search using his name and the term "furniture store". It's a good idea to set up a separate email or phone number just for the purpose of receiving responses to the ad.
3. Stating, "Complete information will be provided to qualified buyers," alerts readers of the ad to the fact that they'll have to supply their information to the seller, if they want to know details about the company for sale. Serious buyers ready to satisfy the seller's confidentiality requirements will respond to the ad expecting to agree to a non-disclosure document, and to provide requested personal information to the seller. Those who are more curious than serious will probably not respond to the advertisement.
4. Detailed information in ads may or may not make the phone ring. Revealing that a cafe for sale generates $5,000 in monthly earnings to the owner may result in responses from those who want to make that amount of money. That's too much information, however, to attract the buyer who needs to generate $7,000 to $8,000 per month in earnings. Yet that buyer's response to the ad would be welcomed, because the seller would have the chance to explain the potential is there for an active owner to quickly boost earnings by 50%.
Whether or not to provide earnings figures, rent costs, years remaining on the lease, asking price, annual growth rate and so forth, is up to the seller. He or she should understand that while certain facts included in the posting might provoke responses, that information is likely to discourage others from calling or emailing the seller to express and interest and request more information.
One possible strategy is to run the ad with information for a couple of weeks, then change it by reducing the detail before advertising again.
About The Author: Peter Siegel, MBA is the Founder & Senior Advisor (ProBuy & ProSell Programs) at BizBen.com (established 1994, 8000+ CA businesses for sale, 500 new & refreshed postings/posts daily). Get expert advise when placing an ad to sell a California business. Reach him at 925-785-3118 to discuss strategies regarding buying, selling, (or financing a puchase of) California businesses.
|Helpful Resources To Assist In Selling And Buying California Businesses|
|Jeff Back, Broker: Restaurant Specialist - SF Bay Area
J. Back & Associates Restaurant Real Estate was founded in 1988 as the first bay area real estate company to specialize exclusively in restaurant real estate. I am the past President of Charley Browns restaurants and have been involved in the restaurant business for over 35 years. 925-736-8200.
|William Park, Business Broker - Southern California
Highest Volume Broker in California, Simply Check our HUNDREDS of Listings! Over 25 Associates, Speaking Dozen Languages, Helping Buyers and Sellers of Small Business since 1982, Centrally Located between Los Angeles and Orange Counties, while Riverside & San Bernardino Counties are Very Accessible.
|Prabhjot Randhawa, Broker: SF Bay Area, Central Valley
I'm a Business Advisor at Liberty Business Advisors of San Francisco. I have over 20 years of experience in all phases of entrepreneurship. During the past 15 years my concentration has been in business of mergers and consulting. I have owned and operated over 10 businesses. 209-815-3842 Cell.
|Rick Carlson, Business Broker - Southern California
You Will Never Feel Lost In The Shuffle. Many Brokers Simply Send Out An NDA And That's The End Of Communication. All Buyers Receive A Personal Meeting With An Ace Acquisition Specialist So They Can Recommend The Perfect Business For You. Phone Rick direct at 800-985-4939.
|Matt Sadati, Business Broker, SF Bay Area, Northern CA
I have Engineering and Law, JD degree, with over 30 years of experience in all phases of entrepreneurship. During the past 15 years my concentration has been in business of mergers and consulting. I have owned and operated over 33 businesses each having one to 30 branches.
|Jim Saxton, Liquor License Broker & Consultant - SF Bay Area
20 years experience of local governmental requirements, such as Police Departments, Zoning / Planning Departments, and ABC District Offices, my company Liquor Licenses of SF Bay Area is very qualified to resolve all of your concerns during the liquor license transfer process. Call 925-787-0770.
|Manjit Singh, Business Broker - SF Bay Area, Central Valley
Assistance in the SF Bay Area & Valley. Contact me about buying or selling a restaurant, liquor store, gas stations, markets, and c-store businesses. If you are looking to buy or sell a SF Bay Area, Central Valley liquor store, market, c-store, restaurant, etc phone me direct at 510-417-9429 Cell.
|Michael Floorman, Business Brokerage, BTI, San Francisco Bay Area
Business Team, San Jose (Campbell) located in the Pruneyard Towers at Bascom and Hamilton. Established in 1981 Business Team with over 6600 sales to date has 1000 business listings to choose from, paid Google advertising. We offer highly trained and experienced professionals.
|Related Articles, Events, Blog Posts, Discussions, Videos, Interviews|
|FREE Webinar: Buying Or Selling San Francisco Restaurants - Best Practices
This informative 40 minute interview/webinar about buying & selling restaurants in San Francisco with restaurant broker specialist Cheryl Maloney is a real eye opener for restaurant buyers and sellers. Cheryl gives great advice to both buyers and sellers from her years of experience in the industry.
|Liquor License Assistance - SF Bay Area - Jim Saxton
Jim Saxton - 20 years experience of local governmental requirements, such as Police Departments, Zoning / Planning Departments, ABC District Offices, my company Liquor Licenses of SF Bay Area is very qualified to resolve all of your concerns during the liquor license transfer process. 925-787-0770.
|Why Restaurant Buyers Typically Fail: Best Pro Tips For Buying A Restaurant
Buying a restaurant (no matter what type) can have many pitfalls, and potential restaurant buyers should know how to avoid getting burned! Several restaurant intermediaries and advisors weigh in on this BizBen Discussion about the best way to find, purchase and run a restaurant successfully!
|Tips From A Restaurant Broker - Check A Restaurant For Karma Before You Buy
Jeff Back (925-736-8200), a SF Bay Area broker specialist who specializes in selling restaurants discusses what he looks for when sizing up a potential restaurant for sale. Do the restaurants you're thinking of purchasing have good Karma? See Jeff's insights into this topic on restaurant karma.
|Buying A Restaurant With Financing: 5 Options For Restaurant Business Buyers
In this Discussion, Peter Siegel MBA (Business Purchase Financing Advisor at 925-785-3118) discusses financing of purchasing a small to mid-sized restaurant business (with or without real estate). When it comes to financing a restaurant, potential restaurant buyers have many options to choose from.
|Specialty Restaurant Broker Discusses Liquor Licenses & Working With The ABC
What you will read in this BizBen blog post you will probably not find in any manual or set of instructions provided by the ABC (liquor licenses in California). This blog post by Jeff Back (SF Bay Area Restaurant Broker Specialist) at 925-736-8200 discusses this topic of liquor licenses in detail.
|How To Value A Pre School: A Primer For All Pre School Sellers And Buyers
Pre schools that are regarded as leading schools in their area can go for premium prices so know what you have so a buyer's can't take advantage of your lack of knowledge. Peter Siegel, MBA (Pre School Purchase Financing Expert & BizBen ProBuy, ProSell Director at 925-785-3118) discusses this topic.
|How To Buy A Vending Route: Multiple Tips For Vending Route Business Buyers
Some business buyers think they might like to buy a vending business but have heard negative things about the industry & aren't aware of important facts about this type of business. Here are some guidelines by Peter Siegel, MBA (Vending Route Financing Expert) at 925-785-3118 to help buyers.
|See All News, Tips And Events|