IBBA Insights Spring 2024

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A Q u a r t e r l y D i g i t a l P u b l i c a t i o n o f t h e I n t e r n a t i o n a l B u s i n e s s B r o k e r s A s s o c i a t i o n

T H E B E S T I N S I G H T S O N B U Y I N G A N D S E L L I N G S M A L L B U S I N E S S E S

A Time for

Gratitude

Te insights and opinions expressed herein are those of the authors and do not represent professional counsel nor an endorsement by the IBBA.

Spr i n g 2 0 2 4

Plus Insights on:

+ Unlocking the Power of the Dream 100

+ Understanding E2 Visa Requirements

+ Cultivating Impact Beyond the Balance Sheet

+ Legislative Updates

and More!

By Pino Bacinello,

2024 IBBA Chair

SPRING 2024

Te best insights

on buying and selling

small businesses

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12

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LETTER FROM THE CHAIR

UNLOCKING THE POWER OF THE DREAM 100:

A BUSINESS BROKER’S SECRET WEAPON

UNDERSTANDING E2 VISA REQUIREMENTS AS A BUSINESS BROKER

THE BROKER’S CREED: CULTIVATING IMPACT

BEYOND THE BALANCE SHEET

HOW HIGH CAN YOUR CLIENT JUMP

LEGISLATIVE UPDATES

In this Issue

SPRING 2024

It is with great humbleness that I once again have

been asked to serve on the board of such a great

organization. I take this bestowed honor with great

pride and humility.

Firstly, I want to sincerely thank our immediate

Past Chair Kyle Grifth for his amazing leadership,

innovation and, most importantly, achievements

in 2023. Under his leadership and our amazing

Association Management Company, we have seen

the highest membership ever, and the highest

Net Promoter satisfaction score in our history

of tracking such (2015); we also experienced an

amazing and historic conference, the passage of

the Brokerage Simplification Act, and the start of

an awareness campaign we have all been waiting

for, and which we will be implementing starting in

March.

WOW! What a year! Tank you, Kyle!

Much good has happened to our organization

since my last chairmanship in 2012. Some of

those highlights include the reharmonization

of the IBBA and M&A Source with the creation

of the International Association of Business

Intermediaries, Inc. (“IABI”) as the umbrella

organization, under which the IBBA and M&A

Source operate with autonomy but united in

our objectives. Tere are many people to thank

for such a monumental achievement for their

vision, perseverance (at times against many

odds), and willingness to come together for

the good of all members of the IBBA and M&A

Source. Some of those people amongst others

were Cress Diglio, Scot Bushkie, Lou Vescio,

John Howe, and Mike Camerota. We are all

indebted to your hard work and diligence for us

being where we are today.

Te Broker Simplification Act is another huge

win for us all. For those not in the know, or

not in the USA, this is a law that amended the

Securities Exchange Act of 1934 to exempt

business brokers from being registered if

performing services in connection with the

transfer of ownership of small privately held

companies. Tis is an achievement where so

many people are to thank, including, but not

limited to, some of the early ambassadors and

innovators like Andy Cagneta, Linda Purcell,

John Zayac, Mike Ertel, and so many others.

PINO BACINELLO

CBI, MCBI, M&AMI | 2024 IBBA Chair

A Time for Gratitude

Together with many others, I am sure many of

the above-named will be recognized in our newly

launched IBBA Hall of Fame. We look forward

to recognizing the inaugural inductees at our

upcoming Conference in Louisville!

I truly could go on for a few more pages naming

people who made a diference to our organization

but, sufce to say, that all past and present Board

Members, Chairs, Commitee and Task Force

members who have given so much of their time,

energy and wisdom, and where without their

belief and dedication in this great organization

we would not be where we are today – a sincerest

thank you goes out to you all.

Another beautiful thing about our organization

(other than our members) is that we have an

amazing governance model that keeps us on

the mark with our goals, and objectives, year

on year, no mater who sits in this chair. Te

model allows the Board members to “govern”

(develop, and oversee the “ENDS”), while the

Executive Director and management team,

“manage” (execute the “MEANS”) and all through

writen policy. Naturally, the model is a litle

more complex than that, where the Board is

also responsible for the maintenance of the

appropriate Governance Processes and Executive

Director’s Delegation Policies; interpretation of

the directive policies; creation and maintenance

of appropriate Executive Limitations; regular

performance reviews, and more. Tis is a very

robust governing model that each of us should be

aware of, and understand with great clarity, and

once understood it may become a good model to

also operate one’s business brokerage practice.

I encourage each of you to go to Governance

section of the Member Resource Portal and view

the Governance Policy Manual.

LETTER FROM THE CHAIR

Te global market

landscape is changing

whether we like it or not;

we are clearly heading

towards a global economy

with all kinds of emerging

markets and industries,

representing growth

potential for many while

posing challenges

to others.

SPRING 2024

NAVIGATING NEW HORIZONS: THE

FUTURE MUST INCLUDE INTERNATIONAL

BUSINESS BROKERING

Having had a focus for many years now on the

international Business Brokering scene, I can

share with you that back in the early 2000’s we

had many more international members, with

many from the EU and Australia. Business

Brokerage was prety strong and still is in many

countries like Spain, Netherlands, France, and

the UK. Many atended our conferences and back

then we even had an international cocktail hour.

Ten 2008 hit us in 2009/10, and we lost them all.

Tankfully, we are slowly seeing the comeback of

members from outside of the USA and Canada.

Tere is much to be learned from each other in

this community and also, there is an increase in

cross-border transactions (granted, more in the

M&A arena than Main Street). I am delighted

to say that we are working closely with the

Australian Institute of Business Brokers as

well as Transeo, which is an EU organization

established to support and promote SME

transference, in finding ways to collaborate to a

mutual benefit.

When delving into the evolving landscape of

international Business Brokering, and as the world

emerges from unprecedented global challenges,

the role of Business Brokers has never been more

critical. To this end, I would like to explore how

adaptation, innovation, and collaboration will be

shaping the future of our industry.

Te global market landscape is changing whether

we like it or not; we are clearly heading towards

a global economy with all kinds of emerging

markets and industries, representing growth

potential for many while posing challenges to

others. Geopolitical changes are also happening

and will impact both local and international

business

Additionally, technological innovations are

shaping our industry and profession. Reach

is almost automatically global; AI and other

emerging technologies including digital

transformation (including blockchain), global

payments, and more are enabling faster and more

secure deal-making; and as a result international

deals are no longer limited to the mega companies

but smaller transactions are happening and

growing steadily.

Te importance of Environmental, Social, and

Governance (“ESG”) with greater awareness and

demand for sustainability and ethical practices

of businesses is also filtering into due diligence,

and perhaps even side by side with Quality of

Earnings (“QoE”).

As Business Brokers, we need to build stronger and

larger networks if desiring to play, and succeed in

this inevitable international arena. Building those

relationships, especially with the movement of

people and businesses, will continue to be critical

in the development of partnerships, and successful

collaboration between brokers from diferent

regions, and countries; this includes navigating

through difering cultures, regulatory challenges,

laws and regulations, cross border transaction

compliance, etc.

Tis becomes more and more overwhelming as we

ponder through it. Te thought of collaborating

with brokers in other regions, or them

collaborating with us to meet their clients’ needs

then becomes more, and more real, and possible.

All this emphasizes the importance and need of

agility, knowledge, and integrity in our profession.

Te International Business Brokers Association

is commited to supporting brokers not just here,

but worldwide, realizing we are becoming more

and more global, with an increasing need to

embrace change, seek continuous learning, and

foster global connections.

We as your organization have an obligation, as

it is part of our ENDS, to support and equip you

with the latest awareness, tools, and knowledge

to thrive in this new era. I therefore encourage

you to reach out to our fellow members in other

countries as well as nationally, and regionally, and

share experiences, strategies, and opportunities.

Te largest gathering of Business Brokers in the

world is happening at our Annual Conference

May 11th and 12th, and we are grateful to have

many international members join us. We

hope you’ll take advantage of this remarkable

opportunity and experience.

I once again thank you and look forward to

serving you.

PINO BACINELLO | CBI, MCBI, M&AMI

2024 IBBA Chair

Te IBBA: Over 3,000+ Members Strong,

and Growing!

SPRING 2024

TRENT LEE

MBA, CBI, CM&AP, M&AMI, ECA

Unlocking the Power of the Dream 100:

A Business Broker’s Secret Weapon

In the bustling world of business brokering,

standing out from the crowd and making your

mark can seem like a daunting task, especially

for those just stepping into the industry. Tis

is where the Dream 100 strategy becomes

not just a tool, but a game-changer. Imagine

having a laser-focused approach that not only

identifies where your ideal clients gather but

also positions you as the go-to expert right in

front of them. As a business broker, adopting

the Dream 100 as your primary marketing

strategy means you’re not just casting a wide

net and hoping for the best; you’re strategically

placing yourself in the right places, at the right

time, making your eforts more efcient and

your results more impactful. It’s about working

smarter, not harder, and ensuring that every

step you take is a calculated move towards

building a strong, referral-rich business.

WHAT IS THE DREAM 100?

Originally devised by Chet Holmes and later

popularized by marketing guru Russell

Brunson, the Dream 100 strategy is about

identifying the top 100 channels where your

ideal clients spend their time. Tese could

be industry-specific forums, influential

business blogs, popular social media groups,

or even podcasts and newsleters that cater to

business owners looking to sell.

Te essence of the Dream 100 is to focus

your eforts on these key channels to

maximize visibility and engagement with

potential clients.

APPLYING THE DREAM 100 IN

BUSINESS BROKERING

As a business broker, your Dream 100 might

look diferent from that of a traditional

online marketer. It could include top industry

publications, business forums, networking

groups, and even other professionals who

might work with your ideal client already. Te

goal is to be where your potential clients are,

ofering value and establishing your presence.

As a business broker,

adopting the Dream 100 as

your primary marketing

strategy means you’re not

just casting a wide net and

hoping for the best; you’re

strategically placing yourself

in the right places, at the

right time, making your

eforts more efcient and

your results more impactful.

SPRING 2024

SIX STEPS TO IMPLEMENTING THE

DREAM 100

Identify Your Ideal Client: Before you can

target your Dream 100, you need to know

who your ideal client is. Tink about the

business owners you want to work with -

what industries are they in, what size is their

business, and what challenges do they face?

Craf a Compelling Ofer: Your ofer is what

will capture the atention of potential clients.

It could be a free business valuation, an

informative webinar, or copy of your book on

preparing a business for sale (wait a minute,

you haven’t authored and published a book

yet? What are you waiting for!). Te key is to

provide value and education that resonates

with your target audience.

Locate Where Your Clients Congregate: With

your ideal client in mind, research where

they are likely to spend their time. Tis could

include industry-specific forums, LinkedIn

groups, or local business associations. Your

Dream 100 should be a mix of these platforms.

Engage Authentically: Once you’ve identified

your Dream 100 channels, the next step is to

engage. Tis doesn’t mean spamming these

channels with your ofers. Instead, contribute

meaningfully to conversations, ofer your

expertise, and gradually introduce your services

but do so while ofering so much education and

value as you go that you build more goodwill

than you take from the group.

Leverage Paid Opportunities: Not all your

Dream 100 channels will be accessible through

organic engagement alone. Be prepared

to invest in sponsored posts, ads, or even

partnerships to get your message in front of

your target audience.

Nurture Your Leads: As you start to generate

interest through your Dream 100 eforts, it’s

crucial to have a system in place to nurture

these leads. Whether it’s through a series

of follow-up emails, informative content,

or personal consultations, or my personal

favorite, a serious of educational videos, make

sure you’re guiding potential clients through

the decision-making process. Oh, and did I say

how important it is that you are providing

solid, reliable education. Tis is key to making

the strategy work. 99% of your content should

be education and be so good, that you don’t

need a strong call to action, the prospect will

reach out to you when they are ready because

they will feel like they know, like and trust

you already.

MAXIMIZING THE DREAM 100

FOR REFERRALS

Te true power of the Dream 100 for business

brokers lies in referrals. By establishing

yourself as a knowledgeable and reliable

broker in your chosen channels, you’ll not

only atract direct clients but also become

the go-to referral for others in your network.

Tis could include other brokers, accountants,

lawyers, and even past clients.

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