Serving the LA and Orange County area for over 25 years

Buyer Advocacy

Buyer Advocacy means having someone on your side that does not have a vested interest in the outcome.  A Buyer Advocate is someone that is impartial and who does not have a monetary stake in game.

It is common today for a  business that is for sale to be represented by someone other than the owner. Typically it is a Business Broker or an Attorney.  You have to realize that those representatives are paid by the Seller and typically will have the seller's best interest in mind (and obviously there own). Their paycheck is usually a percentage of the transaction thus there is an incentive to maximize their profit from the transaction. Even if the broker is not the "Listing Agent" he is still paid by the seller and has the same vested interest. There are a lot of honest Business Brokers out there but that doesn't change the fact their alliance is to the person who is going to pay them.

This of course means that the buyer is responsible for the advocate's fees. In the long run, even though it is money out of pocket up front, it will generally end up costing the buyer considerably less than without one. The biggest mistake a buyer makes is overpaying for the business! 

In most cases we do not work in place of the buyer, but rather assist the buyer in the transaction.

Some of the services provided are:

• Help the buyer find the right business.

• Provide an appraisal of the business.

• Negotiate the purchase price, terms and conditions

• Provide the legal forms necessary to ensure that the transaction is binding.

• Assist in conducting the due diligence - that is, the financial verification among other things.

• Work with the escrow company to set times and conditions of the escrow period.

• Assist in the valuation of the inventory and the closing.

Advocacy fees are generally based on time and expenses but we offer packages and al a carte pricing as well.