I’m George Moulos, CEO of Ecommerce Brokers. For over a decade, we’ve helped individuals navigate the exciting world of buying and selling businesses. Today, we’re taking a close look at BizBuySell, a prominent online marketplace for buying and selling businesses.
In this article, we aim to provide a transparent and in-depth review of BizBuySell.com to help businesses seeking a reliable online marketplace make an informed decision. Our goal is to offer a comprehensive perspective, drawing not only from my team’s and my own experience but also from insights gleaned across the internet from various brokers, buyers, and sellers. This allows us to present a well-rounded view of BizBuySell’s functionalities, advantages, and potential limitations.
About BizBuySell.com
BizBuySell.com, owned by CoStar Group, is one of the oldest, leading online marketplace for buying and selling businesses. Established in 1996, it boasts a massive inventory exceeding 40,000 listings across various industries. While catering to a diverse range of businesses, it leans more heavily towards brick-and-mortar establishments.
Pros of BizBuySell.com
Extensive Range of Properties
You can find a wide variety of properties on BizBuySell.com, and the listings are continually updated. Therefore, you have more options to search through and a better chance of finding a business that suits yours needs.
Streamlined Transaction Process
The company has closed over a 100,000 deals, ranging from over $1000 to $50 million deals throughout it’s nearly 3 decades long history. This can offer peace of mind and potentially streamline the buying and selling process.
Valuable Resources for Users
You can find helpful information available on the BizBuySell.com website like blog posts and videos to navigate the platform and buying/selling process. These resources can be beneficial, especially for users new to the process.
Cons of BizBuySell.com
Limited Focus on Online Businesses
While they cater to a diverse range of businesses, their primary focus is on brick-and-mortar establishments, making it less suitable for online businesses. If you want to buy or sell an online business, other platforms may be more suitable.
Not a Brokerage and Lack of Personalized Support
Unlike Ecommerce Brokers, they don’t offer the same level of personalized guidance and support that a dedicated broker would. This lack of personalized support could be a drawback for individuals unfamiliar with the complexities of business transactions.
Low Buyer Visibility for Sellers
With a vast number of listings, sellers may struggle to get their listings noticed by qualified buyers. This can make it challenging to find the right buyer for your business.
Outdated User Interface and Navigation Challenges
The user interface is known to be outdated and not very user-friendly. This can make it difficult to find and filter through listings effectively, potentially hindering the search process.
Potential for Scams and Need for Caution
The large number of listings can create an environment for potential scams, so exercising caution is crucial. At Ecommerce Brokers, for example, we have a thorough vetting process, as we do not want any scams to take place, and want businesses that will actually sell.
High Costs for Increased Seller Visibility
Sellers who want increased visibility for their listings face significant costs. This can be a barrier for sellers with limited budgets.
Other Considerations & Potential Limiations
The evaluation calculator that BizBuySell.com has on their website is quite a basic one. It utilizes basic data, assigns a multiple, and calculates a month’s profit, giving a very rough estimate. They do not compare your business to similar ones in size and their recent deals, not giving a detailed breakdown of what to expect. Ecommerce Brokers takes a white glove, concierge approach when giving sellers an evaluation.
Another thing to note is that once your business gets listed on the website, you automatically start getting leads. However, I can say from experience that 90% of the leads you get will be spam. This includes buyers who do not have the means to buy under any reasonable terms, and just straight up spammers.
Final Thoughts and Score
BizBuySell is one of the staples in the industry, and should definitely be checked out by businesses and brokers. Moreover, it is a decent option brick and mortar businesses only, so it is important to take that into consideration.
Hence, if you are not looking to buy or sell an online business, and can get past the potential spams, scams and tediousness of the process, it is okay to consider it. Overall, it does not have the best reviews, and the ones on TrustPilot especially are not good, but overall it is not too bad either.
However, when it comes to choosing this over competitors in the online marketplaces, I personally would not recommend it. There are others out there that are much easier to use and have higher quality businesses. Considering all of this, I would give them a rating of 6.5 out of 10.
Conclusion
I hope our review on BizBuySell, along with the additional considerations, has been helpful. We will be reviewing more marketplaces in the coming future. Remember, a well-informed approach is crucial before venturing into the exciting but complex world of buying or selling a business, especially online.