{"id":1405,"date":"2024-09-19T19:29:25","date_gmt":"2024-09-19T19:29:25","guid":{"rendered":"https:\/\/founder-exits.com\/?p=1405"},"modified":"2024-10-14T12:32:19","modified_gmt":"2024-10-14T12:32:19","slug":"where-you-list-your-saas-business-signals-something-to-buyers","status":"publish","type":"post","link":"https:\/\/founder-exits.com\/where-you-list-your-saas-business-signals-something-to-buyers\/","title":{"rendered":"Where You List Your SaaS Business Signals Something To Buyers"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"1405\" class=\"elementor elementor-1405\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-55bef5ca elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"55bef5ca\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-3d2419a8\" data-id=\"3d2419a8\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-589b597 elementor-widget elementor-widget-video\" data-id=\"589b597\" data-element_type=\"widget\" data-settings=\"{&quot;youtube_url&quot;:&quot;https:\\\/\\\/youtu.be\\\/mOhNYn56uN8&quot;,&quot;video_type&quot;:&quot;youtube&quot;,&quot;controls&quot;:&quot;yes&quot;}\" data-widget_type=\"video.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-wrapper elementor-open-inline\">\n\t\t\t<div class=\"elementor-video\"><\/div>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-369be6a elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"369be6a\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-64239c2\" data-id=\"64239c2\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-eb420b7 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"eb420b7\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-beef838 elementor-widget elementor-widget-text-editor\" data-id=\"beef838\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div style=\"font-size: 14px;\"><div><p><span style=\"font-size: 19px;\">Most SaaS founders don\u2019t spend a lot of time learning how to sell a businesses.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Which is completely understandable. As an operator myself, I never thought of it\u00a0<i>(until I started acquiring them myself).\u00a0<\/i><\/span><span style=\"color: var( --e-global-color-text ); font-size: 19px; background-color: var( --e-global-color-secondary );\">So when that day comes, most owners just do a little research, look at the listing fees and figure \u201c<\/span><i style=\"color: var( --e-global-color-text ); font-size: 19px; background-color: var( --e-global-color-secondary );\">This broker says he can get me this price, for this fee, let\u2019s list here\u2026\u201d.\u00a0<\/i><\/p><\/div><div><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><p><span style=\"font-size: 19px;\">Unfortunately, jumping too quickly at the most convenient listing service can be the first step in the wrong direction.<\/span><\/p><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">As a founder, when you want to sell, you\u2019re competing against all other SaaS companies in the world for the same limited business buyer dollars.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Those buyers are looking for the best businesses their money and talents can acquire. And each of them looks to different marketplaces or brokers to find those companies.<\/span><\/p><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Fortunately, there\u2019s not a ton of variables that go into where to list your company, so this doesn\u2019t need to be a long, drawn out essay.<\/span><\/p><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-f844ef6 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"f844ef6\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5fd8772\" data-id=\"5fd8772\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4bdf49d elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"4bdf49d\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b40a31c elementor-widget elementor-widget-heading\" data-id=\"b40a31c\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Here's what I'm going to Cover<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-da7ed60 elementor-widget elementor-widget-text-editor\" data-id=\"da7ed60\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div style=\"font-size: 14px;\"><div><div><ul><li><span style=\"font-size: 19px; color: #000000;\">Marketplaces vs. Brokers\u00a0<\/span><\/li><li><span style=\"font-size: 19px; color: #000000;\">Advantages of One vs. the Other<\/span><\/li><li><span style=\"font-size: 19px; color: #000000;\">Seller Prep and Business Prep<\/span><\/li><li><span style=\"font-size: 19px; color: #000000;\">Buyer Vetting<\/span><\/li><li><span style=\"font-size: 19px; color: #000000;\">Signaling Professionalism<\/span><\/li><li><span style=\"font-size: 19px; color: #000000;\">Brokers\u2026on Marketplaces?<\/span><\/li><li><span style=\"font-size: 19px; color: #000000;\">My Hope with Businesses for Sale<\/span><\/li><\/ul><\/div><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-21d7899 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"21d7899\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-aaad1ed\" data-id=\"aaad1ed\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-202f3d5 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"202f3d5\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1a4ed92 elementor-widget elementor-widget-heading\" data-id=\"1a4ed92\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Martekplaces Vs. Brokers<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-15b8e25 elementor-widget elementor-widget-text-editor\" data-id=\"15b8e25\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div style=\"font-size: 14px;\"><div><div><p><span style=\"font-size: 19px;\">At the highest level, when a first time seller lists on a marketplace (<a href=\"https:\/\/flippa.com\/\" target=\"_blank\" rel=\"noopener\"><strong><span style=\"color: #000000;\">Flippa<\/span><\/strong><\/a><span style=\"color: #000000;\"><strong><b>,<\/b><\/strong><\/span><a style=\"color: #000000;\" href=\"https:\/\/acquire.com\/\" target=\"_blank\" rel=\"noopener\">\u00a0<strong><span style=\"color: #000000;\">Acquire.com<\/span><\/strong><\/a><\/span> <span style=\"font-size: 19px;\"><i>etc\u2026<\/i>), you&#8217;re telling a buyer that you have likely\u00a0<i><span style=\"font-weight: bold;\">not<\/span><\/i>\u00a0been professionally coached on the sale process.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Listing on a marketplace signals to buyers that they will need to handhold you through the process, especially if it&#8217;s your first business sale.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Any seller that has a business that might be worth more than a half million dollars listed on a marketplace is putting themselves at a significant disadvantage. They&#8217;re going against professional acquirers that have a lot of experience.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">It\u2019s the same reason amateurs do not box professionals, it\u2019s a sure way to end their boxing career.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">High value businesses listed on marketplaces &#8211; without any prior sales experience &#8211; are potentially looking at a worse deal with worse terms than if they had gone with a broker.<\/span><\/p><\/div><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-c483332 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"c483332\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-b2d3bea\" data-id=\"b2d3bea\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-e854c33 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"e854c33\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-fef4b74 elementor-widget elementor-widget-heading\" data-id=\"fef4b74\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Advantages of Brokers Over Marketplaces<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-8a59bd3 elementor-widget elementor-widget-text-editor\" data-id=\"8a59bd3\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div style=\"font-size: 14px;\"><div><div><div><p><span style=\"font-size: 19px;\">When you list with a broker, that broker is going to review your business to see if it\u2019s ready to sell\u00a0<i><span style=\"font-weight: bold;\">and<\/span><\/i>\u00a0if they\u2019re interested in selling it for you.\u00a0<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">The broker is going to do due diligence on the business, just like a buyer will.\u00a0 They review and validate who you are as a seller, whether your revenues appear legitimate, whether your expenses appear reasonable for your business type.\u00a0<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">They will coach you on add-backs (<\/span><i style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">to increase the valuation of your business<\/i><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">) that you can either immediately take or plan out to fix over the next 6 months.<\/span><\/p><\/div><div style=\"font-family: Poppins, sans-serif;\">\u00a0<\/div><div style=\"font-family: Poppins, sans-serif;\"><span style=\"font-size: 19px; font-family: Poppins;\">Heck, they may even turn you away and say, \u201c<\/span><i style=\"font-size: 19px; font-family: Poppins;\">come back in six months after you have fixed one or two things<\/i><span style=\"font-size: 19px; font-family: Poppins;\">\u201d to increase your valuation even significantly higher.<\/span><\/div><\/div><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-598eac6 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"598eac6\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-812b59d\" data-id=\"812b59d\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-c26b063 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"c26b063\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-d1892f2 elementor-widget elementor-widget-heading\" data-id=\"d1892f2\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Seller Preperation and Business Prep<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-729b3ec elementor-widget elementor-widget-text-editor\" data-id=\"729b3ec\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div><p><span style=\"font-size: 19px;\">The next thing a broker will do is create a prospectus or confidential information memorandum (CIM) for your company.\u00a0<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">They give these documents only to qualified buyers, not just anybody that shows interest.\u00a0<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">The CIM\/Prospectus allows those buyers to make a quick decision whether the business is a good fit for them or not.<\/span><\/p><p><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Which leads me to buyer vetting\u2026<\/span><\/p><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-7d28ab0 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"7d28ab0\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e3d2322\" data-id=\"e3d2322\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-ef2282e elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"ef2282e\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6365c6d elementor-widget elementor-widget-heading\" data-id=\"6365c6d\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Buyer Vetting<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-75c5dff elementor-widget elementor-widget-text-editor\" data-id=\"75c5dff\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div><p><span style=\"font-size: 19px;\">If you&#8217;re looking to sell a business in the seven to eight figure range you need to be dealing with professional buyers.<\/span><\/p><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-ab09ddb elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"ab09ddb\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-e85b9a6\" data-id=\"e85b9a6\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-2c211ad elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"2c211ad\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-bb1f32f elementor-widget elementor-widget-heading\" data-id=\"bb1f32f\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Working with a Broker Screens Out <br>Unqualified Buyers.<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3a600d5 elementor-widget elementor-widget-text-editor\" data-id=\"3a600d5\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div><div style=\"font-size: 14px;\"><p><span style=\"font-size: 19px;\">Anyone that&#8217;s ever listed on a marketplace knows\u00a0<i><span style=\"font-weight: bold;\">exactly<\/span><\/i>\u00a0why this is important.<\/span><\/p><\/div><div style=\"font-size: 14px;\"><p><span style=\"font-size: 19px;\">Brokers are only going to let qualified buyers\u00a0<span style=\"font-weight: bold;\">with verified funds<\/span>\u00a0bother you with questions, thereby saving you a lot of time in a heartache with tire kickers that are out there wasting your time.\u00a0<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">Selling through a marketplace leaves many sellers at the end of an LOI phase finding out the \u201c<\/span><i style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">buyer<\/i><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">\u201d didn\u2019t have the funds necessary to close on the business.<\/span><\/p><p><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">\u00a0<\/span><\/p><\/div><div style=\"font-size: 14px;\"><p><span style=\"font-size: 19px;\">Brokers help eliminate this (<i>and other<\/i>) buyer risks.<\/span><\/p><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-8cf833a elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"8cf833a\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-66ba4e7\" data-id=\"66ba4e7\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-96c95cf elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"96c95cf\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2da0d5b elementor-widget elementor-widget-heading\" data-id=\"2da0d5b\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Where Do Sub-Par Businesses List?<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-a5631a3 elementor-widget elementor-widget-text-editor\" data-id=\"a5631a3\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div style=\"font-size: 14px;\"><div><p><span style=\"font-size: 19px;\">There&#8217;s a marketplace for online\/offline businesses called\u00a0<\/span><a href=\"https:\/\/www.bizbuysell.com\/?utm_source=founderexits.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=where-you-list-your-saas-business-signals-something-to-buyers\" target=\"_blank\" rel=\"noopener\"><span style=\"font-size: 19px; color: #000000;\"><b>BizBuySell.com<\/b><\/span>\u00a0<\/a><span style=\"font-size: 19px;\">That\u2019s where most of the worst businesses for sale end up.\u00a0<\/span><span style=\"color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary ); font-size: 19px;\">Serious buyers don\u2019t linger on\u00a0<\/span><span style=\"font-size: 19px;\"><a style=\"background-color: #e6e0d8;\" href=\"https:\/\/www.bizbuysell.com\/?utm_source=founderexits.beehiiv.com&amp;utm_medium=referral&amp;utm_campaign=where-you-list-your-saas-business-signals-something-to-buyers\" target=\"_blank\" rel=\"noopener\"><span style=\"color: #000000;\"><span style=\"font-weight: bold;\">BizBuySell.com<\/span><\/span><\/a>\u00a0<\/span><span style=\"color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary ); font-size: 19px;\">listings very long.<\/span><\/p><p><span style=\"color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary ); font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Why?<\/span><\/p><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">That&#8217;s not usually where really good businesses go.\u00a0<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">Now\u2026that doesn&#8217;t mean putting your business for sale in a marketplace isn&#8217;t going to work, buyers like myself\u00a0<\/span><i style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\"><b>are<\/b><\/i><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\"> there looking. I have acquired businesses off <\/span><strong><a href=\"https:\/\/flippa.com\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-size: 19px; background-color: var( --e-global-color-secondary ); color: #000000;\"><b>Flippa<\/b><\/span><\/a><span style=\"font-size: 19px; color: #000000;\"><b>, <a href=\"https:\/\/acquire.com\/\" target=\"_blank\" rel=\"noopener\"><span style=\"color: #000000;\"><b>Acquire.com<\/b><\/span><\/a><\/b><\/span><\/strong><\/p><\/div><div><p><span style=\"font-size: 19px;\">But, listing with a reputable broker signals to buyers that an actual business professional has already determined that your business is worth representing.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Brokers typically refuse about 80-90% of the businesses that try to list with them.<\/span><\/p><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\"><b>Most of those rejected businesses end up on marketplaces<\/b>, which is another reason why putting something on a marketplace is a potential signal to a buyer that brokers really aren\u2019t interested in listing the business.<\/span><\/p><\/div><div>\u00a0<\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-a7cdc54 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"a7cdc54\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-88160d6\" data-id=\"88160d6\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4a4494c elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"4a4494c\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-ad396cd elementor-widget elementor-widget-heading\" data-id=\"ad396cd\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Signaling Professionalism<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-50f9996 elementor-widget elementor-widget-text-editor\" data-id=\"50f9996\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div style=\"font-size: 14px;\">\n<div><span style=\"font-family: Poppins; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary ); font-size: 19px;\">For me, when you put your business listing with a broker, it almost doesn&#8217;t even matter which one. It just shows a level of professionalism above and beyond anything that&#8217;s listed on a marketplace.<\/span><\/div><div><span style=\"font-family: Poppins; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary ); font-size: 19px;\"><br><\/span><\/div>\n<div>\n<div>\n<p><span style=\"font-size: 19px;\">The best message you want to signal to a buyer is \u201c<i>I\u2019ve been educated on the process we&#8217;re about to go through<\/i>\u2026\u201d<\/span><\/p><p><span style=\"font-size: 19px;\"><br><\/span><\/p>\n<\/div>\n<div>\n<p><span style=\"font-size: 19px;\">When you list with a marketplace, my expectation is you have no idea what you&#8217;re doing, your valuation is likely going to be way too high, you&#8217;re going to be hesitant to share pertinent information, etc.<\/span><\/p>\n<\/div>\n<div>\n<p><span style=\"font-size: 19px;\"><br><\/span><\/p><p><span style=\"font-size: 19px;\">Now let me add a caveat here. There are some brokers that I&#8217;m a little suspicious of, but that&#8217;s okay.&nbsp;<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">There&#8217;s a different level of quality across all broker charges as well as marketplaces.&nbsp;<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">However, with even the most sketchy broker, I&#8217;m still going to trust a bit more than the best marketplace.<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">Because I know the broker did something to validate the business.<\/span><\/p><p><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\"><br><\/span><\/p><\/div>\n<div>\n<p><span style=\"font-size: 19px;\">A broker doesn\u2019t want the reputation stain of selling something that turned out to be a phantom business or wasn&#8217;t a good acquisition for the buyer.&nbsp;<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">Those bad sales always burn the broker in the end and nobody wants that on their record.<\/span><\/p><\/div>\n<\/div>\n<\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-0e809d7 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"0e809d7\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-5d6c7ec\" data-id=\"5d6c7ec\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-ad748bf elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"ad748bf\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c748686 elementor-widget elementor-widget-heading\" data-id=\"c748686\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Brokers...On Marketplaces?<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5ce2d06 elementor-widget elementor-widget-text-editor\" data-id=\"5ce2d06\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div style=\"font-size: 14px;\"><div><div><p><span style=\"font-size: 19px;\">There&#8217;s one new trend I&#8217;ve seen that&#8217;s confused me a tad bit.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">The trend where a business will be listed with a broker and then the broker lists the business on a marketplace. I&#8217;m not quite sure why that&#8217;s happening.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">And the interesting thing is every time I see it, it&#8217;s usually a broker that I&#8217;ve never heard of that doesn&#8217;t work in the online business space and the businesses are almost always massively overvalued.<\/span><\/p><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">When I reach out and ask questions about the business, the broker seems more interested in getting me to look at their\u00a0<i><b>other<\/b><\/i>\u00a0listings instead of the one they put on the marketplace.\u00a0<\/span><span style=\"font-size: 19px; color: var( --e-global-color-text ); background-color: var( --e-global-color-secondary );\">Listening to some podcasts, it seems those brokers claim listing on marketplaces \u201copens the business to more buyers\u201d.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><p><span style=\"font-size: 19px;\">Maybe they\u2019re right\u2026I\u2019m not really sure, but it\u2019s a trend I wanted to highlight and I\u2019ll keep my eyes on it\u2026<\/span><\/p><\/div><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-20bc762 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"20bc762\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-6b7e3ee\" data-id=\"6b7e3ee\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8da8818 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"8da8818\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-309b07a elementor-widget elementor-widget-heading\" data-id=\"309b07a\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">My Hope With Businesses For Sale<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b602b21 elementor-widget elementor-widget-text-editor\" data-id=\"b602b21\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div><p><span style=\"font-size: 19px;\">If you&#8217;re looking at selling a seven\/eight figure business, I&#8217;m really hoping it&#8217;s coming through a broker, because now I know we have three parties involved, a buyer, a seller, and a professional broker, all of us working together to try and get to the finish line where everyone is happy.<\/span><\/p><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p>And some of reaching that finish line is a result of brokers educating sellers and giving them guidance on how to move forward with selling their business properly.<\/p><\/div><div><p>In my personal opinion, I&#8217;m sure there are absolutely fantastic businesses that are put on marketplaces, sell for top dollar, and there are no issues with the sale.<\/p><p>\u00a0<\/p><\/div><div><p>But a majority of the time that is just not true. Most of my failed negotiations, DD period, etc, have been with marketplace-listed companies.<\/p><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-03afaf3 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"03afaf3\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-3eea782\" data-id=\"3eea782\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-8650f97 elementor-widget-divider--view-line elementor-widget elementor-widget-divider\" data-id=\"8650f97\" data-element_type=\"widget\" data-widget_type=\"divider.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<div class=\"elementor-divider\">\n\t\t\t<span class=\"elementor-divider-separator\">\n\t\t\t\t\t\t<\/span>\n\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1c24cf4 elementor-widget elementor-widget-heading\" data-id=\"1c24cf4\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Final Adive<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-fc0f80c elementor-widget elementor-widget-text-editor\" data-id=\"fc0f80c\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div><div><p><span style=\"font-size: 19px;\">I hope this summarizes a bit of why where you list your business really does matter.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">I always encourage people to consider brokers because it&#8217;s a strong signal to buyers that you&#8217;re serious, you have a valid business, and you&#8217;re prepared to sell.<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">If you&#8217;re putting it on a marketplace, my first question is, \u201c<i>why didn\u2019t you try and sell this with professionals? What is the problem with your business that you need to put it on a marketplace?<\/i>\u201d<\/span><\/p><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">Again, that&#8217;s my personal opinion. I hope it helps.<\/span><\/p><p><span style=\"font-size: 19px;\">\u00a0<\/span><\/p><\/div><div><p><span style=\"font-size: 19px;\">If you are a Founder and may look to sell your SaaS business in the future &#8211; or know someone who may &#8211; make sure you\u2019re signed up for this <a href=\"https:\/\/founderexits.beehiiv.com\/subscribe?ref=PLACEHOLDER\" target=\"_blank\" rel=\"noopener\"><span style=\"color: #000000;\"><b>Newsletter <\/b><\/span><\/a>and my <a href=\"https:\/\/www.youtube.com\/channel\/UChzRx2xYrvGGFbqdM3oJzNA\/\" target=\"_blank\" rel=\"noopener\"><span style=\"color: #000000;\"><b>Youtube Channel.<\/b><\/span><\/a><\/span><\/p><\/div><\/div>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Most SaaS founders don\u2019t spend a lot of time learning how to sell a businesses. Which is completely understandable. As an operator myself, I never thought of it\u00a0(until I started acquiring them myself).\u00a0So when that day comes, most owners just do a little research, look at the listing fees and figure \u201cThis broker says he [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":1980,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[11,8],"tags":[],"class_list":["post-1405","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-selling","category-valuation"],"acf":[],"_links":{"self":[{"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/posts\/1405"}],"collection":[{"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/comments?post=1405"}],"version-history":[{"count":68,"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/posts\/1405\/revisions"}],"predecessor-version":[{"id":2454,"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/posts\/1405\/revisions\/2454"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/media\/1980"}],"wp:attachment":[{"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/media?parent=1405"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/categories?post=1405"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/founder-exits.com\/wp-json\/wp\/v2\/tags?post=1405"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}