Once the decision to sell a business has been made, vendors will dedicate a significant amount of time conducting research into the best way to get the business or property sold. One question will what kind of agency to choose; open listing, sole listing or an open agent.
It can be a confusing time, especially if the vendor is unsure of what these terms mean.
This kind of agreement sees the responsibility of selling the business or property distributed among multiple agents. Once the sale is finalised, the commission is paid only to the agent who sourced the buyer. Working with multiple agents;
• creates competition
• increases the number of potential buyers (as there are multiple channels of advertising used)
• The vendor can market the business or property themselves; if they source the buyer, they won’t be required to pay the agent commission.
Whilst the features of an open or sole listing may sound tempting, there are advantages of selling through an Exclusive Listing. Exclusive listings are the most typical types of agreements.
This is where the vendor has only one agent managing the sale of the property or business. An agreement is signed, which stipulates the terms regarding the length of time the agent has to sell the property/business
Benefits of an exclusive listing are:
• It is easier to collaborate with just one agent, rather than multiple. There is more control for the vendor, as there isn’t the need to negotiate with more than one agent
• The vendor does not have the stress of trying to market the listing or find a buyer. The agent will take the responsibility of making sure the highest possible price is achieved
• An exclusive agent will be able to assist the vendor in making sure the business is ready for sale (professionally prepared documents, advice on updating the property, advertising etc) .
• Potential buyers can interpret open listings as being difficult to sell. It may imply that there is something wrong with the business, and lead to harder negotiations. An exclusive agent is more likely to find quality offers.
The Brokerage offer an exceptional and professional service. Day-to-day activities necessary to get results are managed by the seasoned team of brokers. Business owners are kept informed throughout the whole sale process, in a timely and detailed manner. Complete transparency is at the heart of the approach!
For more information on how The Brokerage can broker a great deal for you, contact an agent today!
Call our team on 1300 466 455