Tate Business Brokers Celebrates Successful First Year

by Arkansas Business staff  on Monday, Dec. 26, 2005 12:00 am  

TATE BUSINESS BROKERS
Owner: Vince Tate
Address: 101 Parkwood Street, Suite D, Lowell 72745
Phone: 479- 770-8006
Hours: 8 a.m. - 5 p.m., Monday - Friday and by appointment
Startup: December 2004
Website: www.tatebrokers.com
Email: vtate@tatebrokers.com

Tate Business Brokers celebrates the first anniversary of its opening this month, and founder Vince Tate is confident that his company will continue its "exponential" growth.

The northwest Arkansas brokerage represents privately held companies who are looking to sell. It evaluates clients' companies, develops marketing strategies, locates and screens potential buyers and ultimately negotiates the acquisitions and closes the deals.

In his first year of operation, Tate closed five transactions for a total of around $1.5 million. His most recent deal involved a manufacturing company in the aerospace/defense industry that made parts for the space shuttle and stealth bomber.

As a sign of growth, he points to the recent spike in the total dollar amount of businesses he has for sale. In the first nine months, Tate had $4 million listed. Now he has 13 businesses listed at a total of about $10 million.

"At the rate it is going, I anticipate closing probably $5 million in transactions in 2006," Tate said. In recent months, he brought on two agents to help him manage his he current client base and seek out more companies looking to sell.

Tate decided to start his brokerage when he left Weatherford International in Fort Smith, where he was general manager overseeing the post-acquisition integration of several manufacturing plants that had been consolidated under Weatherford.

"I had put a lot of processes into place at Weatherford," Tate said. "Things were just going very smoothly...I was just starting to get a little bit bored and was ready for some new challenges."

Looking back over his career up until then, which included a stint as a certified public accountant at Deloitte & Touche in Little Rock, he realized he had developed a knack for mergers and acquisitions. And he sensed a strong demand for just that service, particularly in the fast-growing northwest region of the state.

One thing that sets his brokerage apart from competitors, Tate said, is that he does not charge his clients any upfront fees.

"I only get paid if I actually close a transaction." Tate said.

Speed is another distinguishing factor. Tate said that he has closed transactions in as fast as three months and several in about four to five months. Tate said that the average time to sell a business reported by the International Business Brokers Association is seven months.

 

 

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