Ep66 LINK Business Brokers Franchise Business Model, with Farzin Hesari, CEO

Farzin Hesari is the CEO of LINK Business Brokers, a franchised brokerage brand with over 120 brokers in the Australian market alone. He explains that LINK Business Brokers focuses on helping businesses enter and exit the market through leveraging market data combined with their proprietary systems and software.   LINK operates in several countries, with seven partner offices in Australia with its 120+ brokers in this market. Farzin details how they currently command over 20% of the business transactions market, handling between 3,500 and 5,000 businesses annually, with a total of $6 billion in business transactions.   Farzin focuses on explaining the important role and use of proprietary data and technology, particularly artificial intelligence. They gather data on transaction types, market conditions, buyer behaviour, and business performance, which is therefore exclusive to their network.   The brokerage model is franchise-based, and they provide extensive training and support to franchise partners and brokers. So much so, that the average business transaction fee according to Farzin,  is close to $50,000, and their list-to-sell ratio exceeds 48%, far above the industry average.   In terms of revenue for franchise partners, Farzin details the potential to offer services beyond brokerage, such as business valuations and advisory services for business growth and exit preparation. Their goal is to continue improving their transaction efficiency and expanding through new franchise partners.   In a key stretch goal, Farzin concludes by discussing the company's future, which will focus on leveraging AI to generate more seller leads and improve efficiency, with aspirations to further increase their list-to-sell conversion rates.   00:00  Introduction & Overview of LINK Business Brokers 00:49 Locations & International Presence 01:18 Market Share and Business Transactions 01:48 Importance of Relationships and Data in Business Brokerage 02:07 Role of Data and AI in LINK's Business Model 03:23 Broker usage of data and proprietary software and data analysis 04:13 Growth strategy, market positioning and business transactions 04:51 Franchise partnership model & broker support harnessing data through software and systems 06:06 Training and development for brokers 06:31 Franchise partner roles and collaboration into collective offices and re-branding from independent 07:12 Revenue streams for LINK & Franchise Partners 07:51 Challenges in business transactions & market conditions for brokers by state 08:35 Improving Transaction Timelines and Efficiency and list to sell ratio improvement 10:01 Specialisation in different business sectors 10:20 Broker success, brand power and sales process 12:24 Future Plans: AI Integration & business seller leads 13:31 Wrap up   Podcast Produced by: www.magneticbusinessmedia.com.au   Franchise Stories and Knowledge Base (our other website): www.franchisebuyer.com.au Listen or Watch on; Spotify: https://tinyurl.com/bdf9x28x Apple Podcasts: https://tinyurl.com/muj2n7zb Amazon Music: https://tinyurl.com/4yzsczfp YouTube:  https://youtu.be/FLMOWLxroXs