When looking to buy or sell a business, the services of a good business broker can be valuable. However, if you have never bought or sold a business or used the services of a business broker, knowing how to choose a business broker can be a bit of a hit and miss affair.

There are two types of business brokers. Those who are real estate agents acting as business brokers, selling property most of the time and selling the occasional business on the side and those who are full time business brokers.

When looking for a business broker you may choose the services of either an estate agent that acts as a business broker or a fully fledged business broking firm. Whichever you choose you will want to select a business broker that has listed and sold businesses in the industry or industries that interest you.

Here are a few pointers that will help you choose a good business broker for your purpose.

Experience

Look for a broker who has at least two or three years full-time work experience under the belt. Such people are wise to the ways of the market and are very connected. They have a good feel for what can and cannot and who is in and out of the market.

Education

Good business brokers understand financial calculations. They can read a balance sheet, calculate rates of return, yields and get down to the brass tax of a business. Generally, they have some background or qualifications in accounting.

Specialization

The broker must specialize in broking businesses. Residential real estate agents won't cut it. You can however consider a commerial or industrial real estate agent who are regularly in the market selling commercial space and so are often also exposed to owners want to sell or buy existing businesses.

Facilities

Make sure the broker has office facilities where you can hold meetings in suitable surroundings or where you can direct inquiries. The suitability of a brokers office surroundings and professional conduct can make a very big difference to the outcome of negotiations.

Availability

The person you are dealing with should be available by mobile phone and email. You need to be able to readily contact the person dealing with you so that you can clear questions you cannot answer, if and when they arise. A quick turn around can make the difference between keeping buyer or sellers attention or losing it.

Energy

Here's it comes to a trade-off. You need a person with both the energy and the experience. A younger person will have the energy but lack the experience. An older person will have the experience but lack the stamina to get the job done quickly. We cannot always choose the age person who will help you buy or sell a business, but finding a person with a good balance of energy and experience, whether they are young or old, is the best option.

Confidence

Your business broker must be a person you feel that you can speak to in confidence and who gives you answers that are calculated and unbiased. You will have to divuldge many details about your person details when buying or selling a business through a broker. If you cannot hold a clear and calm discussion with the broker and you do not feel comfortable with the persons ethics, then trust your emotional guidance system and choose somebody who you can work with.