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How to Be a Compelling Buyer
Jun 2019

How to Be a Compelling Buyer

By webmaster

A business doesn’t typically grow overnight, and because of this the owner spends hours and years of time developing it into a successful entity. Many times when the owner finally settles on selling their business, they don’t typically look for the buyer with the most money in the bank, but instead someone who is going to care for the business and has a long-term plan to keep it alive and well.

So being the successful buyer of a business can be tricky, and sometimes you may have to tread lightly. The seller really wants so see what you can provide, how you can do so, and if it meets what they are asking for. 

A seller looks for certain abilities when picking a buyer, mainly they want to see if the buyer is able or has:

    • Initiative to succeed 
    • Skills to Succeed
    • Desire to pursue with meaning

Initiative to succeed: In its current state, before purchase, the business has a high level of autonomy. As a buyer, it would be important to ensure the seller that some level of autonomy would be kept. Some ways to provide this would be with a dollar amount that would help provide  security for the seller in the future.

Skills to Succeed: As we’ve said, a successful business does not grow overnight, and often it takes years to mature into a profitable shape. As the buyer, it would not only be respectful, but gracious to offer the seller a position of continued involvement in the business that would make use of their experience. By doing this, you are not only respecting the seller, but satisfying their desire to continue to see the business grow in the future.

Desire to pursue with meaning: When purchasing a business, you can be taking away what feels like the sellers purpose in the world. You are changing their role in life and in the community. Because of this, it is always important to see how you can appeal to the sellers sense of purpose. A good way to accomplish this is to offer them a consulting role in the business. The seller has time and experience in the business that gives them insight into how it runs and succeeds in its current state. However, if you are doing this, give them a lot of flexibility so they can pursue the roads they have ahead of them, as they are undoubtedly selling the business for reasons that only they understand.

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