But because most small businesses are privately held, the public rarely reads or hears much about these deals. If you re seriously considering selling your business, Mack says the first step is to obtain a realistic idea of what your business is worth from an objective, outside source. According to Mack, many business owners are often way off base about the true value of their company. It s also important to understand the sales process and assemble a team of professionals you can trust, including an attorney and a tax accountant. Mack s company has an offline business as well as an online presence with a database of about 15,000 buyers.
Sellers pay a small fee to list their business on the site.
Another firm serving privately held businesses relies on a different business model. Costa Mesa-based Emerge Corp. collects a fee when the deal closes. Emerge, founded in 1998 by Ronald Speyer, the company s present president and CEO, has about 1,500 businesses listed online. We try to democratize the process, Speyer says. We put a valuation calculator on our site so people can find out what their business is worth.