Searching for a business is sales; it’s the same as a business prospecting for customers. Have a proven search plan and implement it properly.
The vast majority of business buyers would fire any salesperson working for them if that salesperson approached the generation of customers with the same intensity, focus and process the business buyer uses to find companies for sale. In other words, most business buyers don’t follow a plan, don’t put out the proper effort and then wonder why they aren’t finding enough (mature and profitable) companies for sale.
Searching for a business to buy is exactly like looking for customers. You must:
- Do what you can to find as many (businesses) willing to talk to you about selling.
- Build a relationship with the owner; finding out what is motivating them to even talk with you.
- Nurture the relationship, all along demonstrating your competence. Because, bottom line, as a qualified buyer you are the best solution to their problem (of wanting to exit, get paid for the business and see his or her “baby” continue to thrive.
If you’re a buyer, friend of a buyer or advisor to a buyer one of the best things you can do for him or her is to make sure he or she understands the importance of the search component and the effort and smarts that must go into it.