How long is it, usually, before a broker has their first closing?

It depends on several factors - location, cash flow, type of business, etc. The national average is 7 months for a business to sell.

Do you have to have a broker's license to sell businesses?

In California, a licensed real estate agent with either a salesperson or broker's license can sell business opportunities.

Do most business brokers have another full-time job?

Most licensed agents who join us work part time and maintain full time jobs.

How do business brokers get paid?

Business brokers get paid a variety of different ways. Most business brokers work on commission only and commonly charge about 10% - 20% of the total sales price of the businesses they sell. All commissions are negotiable with the seller. Some brokers charge hourly rates for their services instead. It's not uncommon to learn that a business broker charges an hourly rate any where from $150 - $400 per hour depending on the skill set of the broker and the type of service being performed.

How long has Common Ground Business Brokers, Inc. been in operation?

Darrin Davenport has been a business broker since 2011 and Common Ground Business Brokers was formed shortly thereafter. The company converted to a California corporation in May of 2018.

Is it possible for an agent to work in residential/commercial real estate as well as be a business broker and is it beneficial to have worked in residential before becoming a business broker?

Although we are licensed to sell residential properties and commercial properties, we only sell businesses at our firm. Most of our licensed agents have sold residential or commercial properties, or worked in lending in the past. A person who has a broker's license (as opposed to a salesperson license) may work in both areas, but would need to sign a Broker Associate agreement with a firm that sells residential or commercial real estate.

FAQ's About Becoming A Business Broker

Do the brokers work mostly out of the Regus Office?

Our Brokers (and staff) mostly work remote - however, if a client or a buyer would prefer to meet at an office instead of, for instance, Starbucks, the brokers can use the Regus office to meet them.

Does your company, or any of the brokers utilize social media for advertising?

As a company, we do not market through social media, but that is an option for the brokers to have their own social media page to market themselves.

What's a typical day like for a business broker?

Most business brokers keep regular working hours like any other day time job. Keep in mind, however, that our clients are often busy during normal working hours because they are busy running their businesses. What's more, most business owners do not want their employees, their clients/customers, or their vendors to know that they are considering the sale of their business. So it's not uncommon to have to meet with a business owner after hours or on weekends when their employees, clients/customers and vendors are not around.

Good business brokers work closely with their clients to sell their businesses or, if they are working with a buyer, to assist the buyer in finding the right business to buy. That generally requires plenty of time spent advertising the business for sale, managing prospective buyers, showing the business and working with the buyer to get an offer in play for the seller. A typical day requires lots of calling, scheduling and managing deal flow.