Fall of a Giant Throws the Business Broking Industry into Turmoil
Over the past year the Business Broking industry has been decreasing as the number of saleable businesses has decreased and banks have tightened their restrictions on lending for businesses. This has made it harder for genuine buyers to gain the finance to buy and as a result of this, a number of Business Brokers have had to either down scale or close down.
As a result of the financial environment, budgets have been decreased and the once flourishing Business for sale website for RealCommercial (RealBusinesses.com.au), has been looking for different ways to improve its profitability in this decreasing market place. Some of the suggestions included increasing prices. Although this was met with a negative response from brokers, a number of them mentioned that this was a necessity because of the enquiries received from the website Others stopped their subscriptions and started looking for different options because this was going to become too expensive.
Because of this fact the market leader has decided to leave the market place totally, and as of March this year will no longer be a player. Due to this fact and also due to a number of lost jobs in the RealBusinesses staff, there has been a number new websites pop up as well as existing websites making claims that they are either a new RealBusinesses replacement or will take over the number 1 spot left behind.
Just because the number 1 player has left the market, this doesn't mean that a new player can take over the market. To gain reputation and direct traffic to a website can potentially take between 3-5 years. The only way to have clients follow you from one website (RealBusinesses) to another website name is to still have the RealBusinesses website name active and then divert this to the new name (this sort of defeats the purpose of a new website because you can't gain any ranking on Google from this method either). To make a claim that a website can transfer their followers and ranking from one website name to another is not possible.
As the market place has been thrown into turmoil and people are looking to replace this big loss, everyone needs to be careful of signing any contracts for 6-12 months with websites which are making unjustifiable claims and deals. The last thing that anyone wants is to spend money on a website which doesn't generate any enquiries. RealBusinesses was a big name in the market place because of RealCommercial's marketing budget and name which gave it great Google ranking and leads from the RealCommercial website.
When looking for a new website, look at the following:
1. If the websites are offering free listings go for it, but make sure that they don't have any catches or contracts at the end of this. Also make sure that you are spending your time helping to grow a website which can take between 3-5 years to gain leads and then charge you an arm and a leg,
2. Talk to websites who already have a good reputation, history and direct traffic to the website. Also ask for page views, enquiries and the number of new enquirers per month to give you an idea of how well it is performing.
3. If you are talking to a new website, never sign a medium to long term contract until they have proven themselves first, no matter what they claim. Also ask for page views, enquiries and the number of new enquirers per month to give you an idea of how well it is performing.
If you stick to these 3 rules, you should do well. Good luck and we hope this helps to reduce the turmoil in the coming months.
When looking into business opportunities, there are a few types of businesses that have a higher percentage of success. One is Pizza restaurants; this...
Since July this year, America and the UK have increased their security measures for all mobile devices. Due to threats from the Middle East and Africa...
The Need for Coaching and Mentoring in the Cleaning Sector
By Dana Davies, Sunday 13th of September 2015
How Your Small Business Can Survive The COVID-19 Pandemic?
By Lucas Nguyen, Friday 22nd of May 2020
BUYING A MANUFACTURING BUSINESS? 4 KEY POINTS TO CONSIDER
By Joe Kafrouni, Friday 15th of November 2013
The Growth in Business Buying and Selling Industry
By Manish Khanna, Wednesday 15th of April 2015
Business acumen and its critical aspects
By Nitish Khanna, Friday 13th of February 2015
Why Clever Business Owners Do Dumb Things
By Lindsay Spencer-Matthews, Monday 14th of September 2015
Examples of Confidentiality Agreements for Selling Businesses and Franchises
By Paul OBrien, Thursday 14th of November 2013
Copyright 2021. Business2Sell. All Rights Reserved.