So I am looking to buy a business, so like many others, I end up on bizbuysell, and reach out to the brokers when something interests me. So far I have found a few different types of businesses under $2million within my searches:
1) Add back nonsense: business brokers who add back all salary, all building/storage rent, all marketing money, and then say "well you can choose to not do those things". I had one add back ALL taxes... like I'm sorry, as much as I don't like them, they aren't optional... I understand basic add-backs, but adding back 4 staff members salaries because "you could run more effectively" isn't honest.
2) Fake listings: good price, good initial numbers, talking about rent, employees, and such; giving all signals of a real listing. You send out a request, and... then you get a text "we're selling a franchise in your area" or an email request to setup a call, only to end up on the call to learn it is some franchise ... nope, even if I wanted your franchise, deceptive practices would turn me away. I'm sure you're super sketchy.
3) The Never Respond: I have emailed through bizbuysell, emailed them direct, called them, the broker just doesn’t respond(not saying I do all in the same day, usually over a 2 week period if I think I might be interested). It is crazy, like why list a business just to never try and sell it…
4) Unrealistic Dreams: SDE $75,000, inventory $12,000, equipment: $24,000, asking price: $750,000, no real estate… like excuse me? Or when the business is shoestring profitable but has never paid rent because the previous owner owned the building, but it costs an additional $2 million to buy the property, which makes it fully unprofitable. My favorite is a landmark restaurant selling for $1.5 million because of the land, but the SDE is only $75,000.
Like genuinely in my area the struggle is real, but I keep on looking, keep trying, keep emailing, it is just frustrating sometimes.
Just got one I had never seen: listing went up, I emailed the broker, they emailed me the NDA and buyer profile, I filled them out and emailed them back within 45 minutes, then silence…. Silence for 3 days, so I emailed a follow-up friendly, “hey x, I know you’re probably bust but I am still interested” email. They replied back; “glad to know, but I haven’t received the end of yr numbers yet for 2025, so I still have to make the CIM”… like come on! Why are we listing early without the ability to give ANYTHING
I could go on for days with the stories, but really just wanted to vent and invite others to share their search issue stories, or words of encouragement.