How to Become a Business Broker

by Business Editor; Updated September 26, 2017

How to Become a Business Broker. Most people have never heard of a business broker, which is a mixed blessing for you. It's not a large industry, so there's little competition (for the time being). But you will have to get creative about educating potential clients. As a business broker, you help people buy and sell businesses. Follow these steps for a rewarding career.

Step 1

Get a business degree. While this isn't necessary to become a business broker, it gives you an advantage over the competition.

Step 2

Train as a business broker. The School of Business Brokerage in Greensboro, North Carolina, offers marketing help and hands-on workshops, as well as courses on becoming a business broker. For online training, check out the International Business Brokers Association (IBBA).

Step 3

Decide what type of businesses you want to specialize in. Finding a niche makes you more attractive to prospective clients. Watch small businesses take off or specialize in mergers and acquisitions for larger broker fees.

Step 4

Write up a marketing plan to target potential clients. Diversify your marketing message by advertising in business publications and trade magazines. Set up a website with useful content to rank high in search engines.

Step 5

Comb the business section of your local papers for companies that are ripe for selling or buying. A business owner selling his firm could mean an opportunity for you.

Step 6

Attend conferences, business luncheons and seminars your clients go to. Listen for signs of dissatisfaction from owners or expansion dreams from entrepreneurs.

Step 7

Upgrade your education constantly. Subscribe to magazines covering the type of business you broker. Join IBBA and American Business Brokers Association (see links in Resources) to learn from colleagues.

Tips

  • Be up front about fixed fees and other costs your client has to cover so there are no misunderstandings. An experienced business broker sells 5 or 6 businesses a year.