Mhm. Hey everybody, it's robert hurst from Freedom Factory and I am here with one of my favorite people and my business partner title, I was great to be in the mountains next to the river. Well you know tie works in the office and he runs the team and down in the city and I live up in the mountains and kind of do my Yoda on the river thing which which we certainly enjoy and I want to talk to you about something that's super important. So we've talked about valuation that we've talked about different things in the past. But what a lot of people want to know when they think about selling their business is really, how long does it take? Does this take this a process? It takes years or or what does it look like thai our process typically takes less than five months and we have several steps that we go through that we can go into but about five months or less which by the way is super different than most people are investment banks or what that looks like with those guys. It can take sometimes years and sometimes they have a one year payout, a two year payout, a five year payout, a 10 year payout.
If pigs fly payout and you really have no idea when you're going to get that money. But most of our buyers through our process, get a check For all of their business value in less than five months in less than five months. The process is done. The businesses bought. There are other ways to extend out the payment with seller financing which is which is popular in in the size business. That's right that we work with. But as much cash as we can get up front for the right evaluation the better And the asset that when we talk about the size businesses that we work with, usually the asset value is somewhere between one million and 50 million. That's kind of our Sweet spot. But the average deal is probably 20. And so when you look at what it is to sell a business and how long does it take to get a check? Like what does that process look like? So usually we're preparing your business for sale for the first month. We're getting your numbers in order. We're getting your story, your marketing, so on so forth. Second month we're doing advertising, we're doing marketing, we're getting people coming into the casual buyers, we're reaching out to strategic buyers competitors.
People that might be interested in it month three we're probably going to have 15, 20 people looking at your business at the same time. And really the secret sauce store to our selling process or why it happened so fast is we maximize the deal tension. And what I mean by that you think about it. Like if you're fishing in the river and let's say you're fly fishing and you've got one fly up there and you've got one fish looking at it. Well that fish is a decision to make. But if there are three or four fish looking at the same fly, eventually one of them just comes up grabs it. And so what we try and do is maximize deal tension for the seller. And a little bit kind of about that, right? We we don't do dual agency or transaction brokers. What that means is we don't represent buyers, we don't represent both sides were not realtors. What we do is represent sellers and we help them get the most value for their business. Now We do it really in two parts one we have the preparation and to we have to go to market strategy. So what we are focus is making buyers work on our process and our timeline to maximize that deal tension.
So when you think about selling your business Again, we've shared our numbers. I've sold the business the fastest that I've ever sold. The business is 26 days, which is totally atypical, but 80% we sell in less than six months and there are few that take longer than that. Tired. Did I miss anything there? I would say that the power of the of the story here is really important part of our process that I think is unique because you're such a such a great story, storyteller and and visionary with those stories that that's I think what what separate ultimately separates us in the process of being able to tell the story of where you've been and then really the story of where you're going and it's not just the verbal story and having us right and prospectus. It's also through a financial model and our team financial analysts and folks who who do that, we were able to maximize value that way, thai brings up a really good point.
In fact, it wasn't one that I was thinking of, of going into, but it's really the reason why I never thought about it that way. That's super insightful. But in many ways what I do for all the companies that we represent as I create the story and it's the written story and tie and his team create the numbers and the financial model that support the story. So we create one congruent story and whether it's marketing guys like me or finance guys like tie, everybody's on the same page of the book and when we put everyone on the same page, great things happen. Now 11 other thing to think about when you're thinking about selling your business is instead of saying, okay, I'm ready to sell. Let's begin. What I love to do is have conversations either one month, three months, six months beforehand. So it allows us some time to massage the story, right? Because sometimes if someone just comes to us and says, hey, make the story, that's, that's harder than if we have a period of time we get to address likely objections. You know, we put ourselves in a buyer's shoes and say, well, what are they going to object to?
And we try and address them in advance. And so whatever we can do, and the more time we have the better job we can do for you. That's right. We're part of our experience in addition to being entrepreneurs and investment bankers and brokers is being buyers as being part of private equity firms or wealthy family offices. And so we know what the buyers are really looking for. So it's it's helpful to position you early on to get ready for those buyer conversations. Absolutely. And, you know, we've been entrepreneurs, we bought businesses, we've each soul businesses, and we'd love to put that experience to work for you. So, if you have any questions about how do I sell my business, what does it look like? How long does it take? Am I ready for sell? Why don't you give us a call? It? Freedom Factory? We'd love to talk to you, helping entrepreneurs is our passion. And as always, thank you so much for spending your valuable time with us. Thanks. We'll see you soon.