How To - Types of Agency Brokers Look For

There are 3 types of agency listings:

  1. General agency:
    This is an open agency where the business is put on the market and handled by a number of brokers. No one broker is given the exclusive rights to handle that business. The trouble with this type of agency is that the broker is not guaranteed of the fee on success. Few brokers will put in the necessary time and effort required to sell your business is there is a chance that they will miss out on the sale because another broker somewhere else concludes the deal.

  2. Sole agency:
    This type of listing means that you will be placing your business with only one broker. It means that no other broker can handle the business, but it does not exclude you, as the owner, selling it yourself. This is of more interest to brokers than the general agency, but there still remains the possibility that you will sell the business, so the interest for them is not there.

  3. Exclusive agency:
    This is where the contract to sell your business is given to one broker exclusively. It means that no other person except the broker can sell the business and th...

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