A business broker serving the Greater Toronto Area is receiving strong anecdotal signals from the business resale marketplace that the worst of the recession may be over.
“There are many more enquires from people interested in buying a business,” said Steve Skrlac, a business brokerage professional. “The start of the year was quite slow. People were frightened and very few business brokers that I spoke to were closing deals,” said Skrlac. “Interest from investors of small businesses has certainly picked up though. Business brokers are fielding more calls and good offers on businesses are coming in,” asserts Skrlac.
The business resale market in Canada has slowed considerable since the fall of 2008. Buyers were frightened of committing to an investment when the economic future was uncertain and many business owners pulled out of the business resale market altogether until the economy improved. Business brokers get paid based on transactions and this group was particularly hit hard by the recession.
The recession put a virtual stop on the small business resale marketplace. Overall business resales fell by up to a third in volume according to Skrlac. “I never thought it could have gotten so slow in the market,” says Skrlac.
Anecdotal evidence suggests that the worst is now over though. “Calls are significantly higher than from even 3 months ago. Buyers are coming back to the marketplace now,” says Skrlac. “More business owners who have held off on listing their business for sale have also decided to list. Many business brokers are much more bullish about the market now than they were compared to just last Spring,” adds Skrlac.
Steve Skrlac is a professional in the field of business brokerage. He serves the Ontario marketplace from Toronto to Hamilton.
Coldwell Banker Pinnacle Real Estate, Brokerage is based in Hamilton, Ontario. Steve Skrlac, MBA, CFA focuses on small businesses for sale valued at under $5 million.