Question: What are some common operating expenses that a new BB usually has to account for?

Answer: Some common expenses for a business broker are:

Advertising and Marketing: There are costs associated with listing sites or the number of websites you choose to market your listings.  There are costs associated with the mail program for targeted mailings and seller searches.  There are costs associated as we use news papers such as your local paper, or national papers like USA Today or Wall Street Journal to market for seller and buyers.

Telecommunications:  A business broker will have expenses for long distance telephone calls, internet access, website hosting, and cell phone expenses.

Office Supplies and Printing: Most business brokers do a lot of printing and therefore go through paper, ink, letterhead and envelopes.

Automobile Expenses:  We meet with 10 – 15 new business prospect, countless buyers and business associates a month’s timeframe, therefore we are in the car frequently.  The cost of fuel, service, parking and tolls are also common expenses.

Other common costs are: Literature, Meals and Entertainment and Legal and Professional.   

Richard Gadberry, CBB, Vice President- Affiliate Services, Business Brokers Network ^{SM
richard@bbnbrokers.com}