1,057,554
Hire yourself a commercial broker to negotiate you a new lease at your current location with an out clause. There are a few ways to do this. Your buyer should also be able to approach the landlord to renegotiate, however it's better for you to do it first. Landlord may want to raise rents too high for someone new. That cuts into the buyers bottom-line.
You also need a business broker to help you determine the value of your business. They may be the same broker. But that's doubtful. Business brokerage is very specialized.
Also, you should know if you have a lease or have reverted to a MTM. Look at your lease.
A great location is going to be part of that value so figure out how to secure it for a buyer.
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Susie Kay
Plano, TX
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Anna "Banana" Kruchten
Phoenix, AZ
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Doug Dawes
Topsfield, MA
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Michael Jacobs
Pasadena, CA
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Pete Xavier
Pacific Palisades, CA
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Wanda Kubat-Nerdin - W...
St. George, UT
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Richie Alan Naggar
Riverside, CA
5,258,239
I would consult a business broker who specializes in real estate.
With the lease being month-to-month and in such a great location, aside from a well-established business, that would be icing on the cake to a buyer for your business.
Good luck and let us know how it goes!
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Susie Kay
Plano, TX
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Anna "Banana" Kruchten
Phoenix, AZ
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Kathleen Daniels, Prob...
San Jose, CA
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Karen Climer
Orlando, FL
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Candice A. Donofrio
Fort Mohave, AZ
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Doug Dawes
Topsfield, MA
6,424,502
I doubt that the value of your business is in your lease, or lack of a lease.
Revenue, database, agents are all determining values of your business along with a few other factors.
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Susie Kay
Plano, TX
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Anna "Banana" Kruchten
Phoenix, AZ
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Kathleen Daniels, Prob...
San Jose, CA
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Bob Crane
Stevens Point, WI
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Doug Dawes
Topsfield, MA
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Debe Maxwell, CRS
Charlotte, NC
3,168,134
In my market a broker has never been able to sell a "book of business" however several who owned or leased have sold their brokerage. Do you have agents? perhaps one of them would want to buy
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Susie Kay
Plano, TX
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Anna "Banana" Kruchten
Phoenix, AZ
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Michael Jacobs
Pasadena, CA
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Candice A. Donofrio
Fort Mohave, AZ
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Doug Dawes
Topsfield, MA
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Debe Maxwell, CRS
Charlotte, NC
52,597
The valuation of your real estate business would be based on your financials and book of business not on a real estate lease. While the location might be great, it would more than likely have little to no bearing on the transaction. This is an old blog, but it offers a nice overview of the different methods employed in valuing a brokerage.
https://www.valuadder.com/blog/2008/10/29/business-valuation-real-estate-broker/
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Krista Jenkins, REALTOR®
Lubbock, TX
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Kathleen Daniels, Prob...
San Jose, CA
-
Wayne Zuhl
Cranford, NJ
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Doug Dawes
Topsfield, MA
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Bob Crane
Stevens Point, WI
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Richie Alan Naggar
Riverside, CA
5,583,328
Candice A. Donofrio gave you good direction..... hire a commercial broker....
you're established.... you have value and it's because of the people who work there.... an office is as good as those who work under your license.... it has value....
someone will buy it.... "blue sky" is what you're selling....
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Susie Kay
Plano, TX
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Anna "Banana" Kruchten
Phoenix, AZ
-
Kris Collis, Associate...
East Stroudsburg, PA
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Candice A. Donofrio
Fort Mohave, AZ
-
Wanda Kubat-Nerdin - W...
St. George, UT
1,554,928
The only value your business has is your database, so if you’re willing to sell that to another agent as well as your endorsement of that agent to your database, you have that. Otherwise unless you own the building and the little value to furniture and old electronics, you have nothing of value to sell.
Plan your exit and good luck with your new path, sounds exciting.
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Anna "Banana" Kruchten
Phoenix, AZ
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Kris Collis, Associate...
East Stroudsburg, PA
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Karen Climer
Orlando, FL
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Doug Dawes
Topsfield, MA
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Thomas J. Nelson, REAL...
La Jolla, CA
613,494
A business is only worth the income that it throws off...the listings in the pipeline that will be closing...
Eve
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Susie Kay
Plano, TX
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Anna "Banana" Kruchten
Phoenix, AZ
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Kris Collis, Associate...
East Stroudsburg, PA
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Kathleen Daniels, Prob...
San Jose, CA
1,202,572
I do believe you have received the information you need to make a decision
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Susie Kay
Plano, TX
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Kathleen Daniels, Prob...
San Jose, CA
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Wanda Kubat-Nerdin - W...
St. George, UT
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Doug Dawes
Topsfield, MA
3,350,559
Real estate lease and business value aside ... is that opportunity right for you? Will you be happy? What are the benefits of making a move? Is the opportunity rock solid - will it last? I wish you all the best!
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Susie Kay
Plano, TX
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Anna "Banana" Kruchten
Phoenix, AZ
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Kris Collis, Associate...
East Stroudsburg, PA
3,416,038
Your brokerage my have value and can be moved anywhere or absorbed into a nother office. Speak with a commercial broker who specializes in selling business, let them put a value on your business. Otherwise, you can meet with an owner of a local RE office and ask about them giving you a percentage for current and future deals.
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Anna "Banana" Kruchten
Phoenix, AZ
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Kris Collis, Associate...
East Stroudsburg, PA
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Kathleen Daniels, Prob...
San Jose, CA
2,195,349
Your best bet might be to take your whole group to Keller Williams. You’d get a big signing bonus and you would stack all of your Agents in your down line and receive income for the rest of your life
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Susie Kay
Plano, TX
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Kris Collis, Associate...
East Stroudsburg, PA
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Krista Jenkins, REALTOR®
Lubbock, TX
5,063,180
The value of your company is not the lease, or lasck of, but your database and potentally the location and focus on residential sales.. There are some good suggestions here for you. Good luck and let us know how it goes.
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Susie Kay
Plano, TX
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Anna "Banana" Kruchten
Phoenix, AZ
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Wanda Kubat-Nerdin - W...
St. George, UT
3,141,463
What Candice said.
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Susie Kay
Plano, TX
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Doug Dawes
Topsfield, MA
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Candice A. Donofrio
Fort Mohave, AZ
921,504
If you have to ask, 'Does my brokerage have value?" the answer is no.
You are clearly aware that information needed to give response is missing.
Are there agents? Relationship to database? Quality of database? Revenue?
The most import of these that relate to value is relationship to database. For example, if all in the database are your relatives...opps.
If however, the value is based on a USP you have created with the database, this is a transferable value.
Lastly, you have a moral obligation to protect any agents currently working with you. Allow them time and give them assistance in finding their new place. It is highly likely if you are a great broker, one of these agents will be the new business owner.
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Kris Collis, Associate...
East Stroudsburg, PA
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Kathleen Daniels, Prob...
San Jose, CA
5,245,334
If you have an opportunity in the same field why not take your office with you whether you are the registered broker or not?
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Susie Kay
Plano, TX
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Kris Collis, Associate...
East Stroudsburg, PA
509,449
I would sell the business based on your database, the number of clients you have. The buyer, another broker or agent, may not want to take the lease as they may have their own office already or they may want to work from home. Obviously you can sell the business based on database and lease, but I would read your lease agreement again. I think landlord will not allow the new tenant on a monthly lease. I have seen an agent purchasing the broker's business, the database. I just don't know how much she paid for it and how many clients she got from it.
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Susie Kay
Plano, TX
357,907
Your office is only worth something if it can run without you being in it daily. If that is true, keep the office and go for the opportunity. If not close it down and move on.
902,428
Not sure what you're asking here... The value of your company is YOU and maybe your agents, that is what you bring in as income. The lease is irrelevent here and if its month to month, you are not stuck with it.
3,590,291
Others have already spoke to the value/no value of the leased property. Personally it would have to be a very good opportunity in order for me to move on with another related business. And if this is for you, then I say go for it! Do let us know what you decide. Pretty exciting to consider new opportunities and then - dive into the new pool!
1,242,204
1,712,876
1,208,838
Beat of luck in your new venture. I can imaging leaving real estate entirely
7,870,810
Close up and move on. You will need to take care of your debts including any lease obligations.