Sellers, does your broker cooperate with buyer's brokers?

Hmmmmm, what does that mean, "does a broker cooperate?" No, it doesn't refer to your broker being snooty or hard to work with. You'd be surprised how many business brokers, who are supposed to be looking out for their client's best interests, do not allow other brokers to get information about businesses they are supposedly trying to help sell. Why would that be? Well, you'll have to ask the brokers that don't cooperate.

In the real estate world, they've addressed this issue through the agreements governing the multiple listing service (MLS). For realtors, there is one main site where brokers go to input their listings. As business brokers, we don't have that luxury. One of the terms realtors agree to by using their MLS service is that they share their commission with an agent who brings the buyer that are members of their MLS.

Business sales are greatly de-centralized in this respect. There are 3 main websites that buyers and sellers go to in order to post and search for businesses for sale, and a myriad of others. (I market my client's businesses on over 50 websites.) Therefore, business brokers are not forced to sign an agreement where they will share their commission with a broker bringing a buyer.

This boggles my mind. I can't believe that the Department of Real Estate, who oversees business broker licensing in our state, does not feel this is against the seller's best interest. Is there another reason, other than greediness, that would preclude a broker from sharing a commission with the buyer's agent? Isn't it in the seller's best interest to have their business as exposed as possible, to ALL possible buyers? If so, why don't all business brokers "cooperate" with other brokers, who might just have a qualified and motivated buyer for their client's business?

In the movie "Wall Street", the character Gordon Gekko is famously quoted as saying "Greed is Good." Well, it seems that some business brokers are living that motto. And, their client's don't know about it...