Whether you are looking to buy or sell a car or motorcycle dealership, it is a good idea to go through a brokerage service. However, there are good brokers, bad brokers and a lot of them that are in between.
There are certain characteristic of a good brokerage company and you need to focus on these when selecting the broker you want to use.
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No upfront fees
In order to make money, a broker needs to first close a deal. The fees charged for their service should only be billed after the deal is done. Any broker can go through the motion of searching for a dealership for you or look for a buyer, but it is only when this work is successful that a broker should be paid. A good broker has no problem with getting paid after the transaction has been completed.
No hidden fees
whatever the cost of the service, it should be clear what this will be before you have agreed to hire the broker. If this includes a percentage of the sale, then this number should be known to both buyer and seller. There should be no surprise billing for reimbursement of costs incurred by the broker during the process and are only revealed when the deal is done.
A number of clients ready to do business
A broker is bringing together a buyer and a seller. It stands to reason that a good broker will have a list of clients who are ready to sell or buy. Of course, this does not guarantee that a sell or purchase will be done quickly, but it does show that a brokerage service has been successful in the past by having a number of clients that continue to do business with the broker.
A good brokerage service will be able to communicate the progress that is being made for the sale or purchase of a dealership. In addition, a brokerage firm will include a client’s attorney and accountant in this communication. Everyone is kept informed at every step of the way.
A full range of options
Whether you are a buyer or seller, the dealerships are not limited to car dealerships, but they also include motorcycle dealerships. Franchise dealerships will also be offered by the broker.
When looking for a good broker, keep the characteristics listed above in mind. One example of this type of dealership broker can be found at Performance Brokerage.