Michael Shea

Central Florida's #1 Business Broker

Case Study: Sale of a Collections Agency at $800,000 — Above Asking Price

by

Brokered by Michael Shea, Transworld Business Advisors of Tampa Bay

Overview

On March 5, 2025, Michael Shea of Transworld Business Advisors successfully closed the sale of a collections agency for $800,000, exceeding the original listing price of $750,000. This premium sale was the result of long-term preparation, proper pricing, and a competitive buyer environment — a textbook example of how strategic guidance and patience pay off.

Deal Summary

  • Listing Price: $750,000

  • Final Sale Price: $800,000

  • Commission Earned: $80,000 (10%)

    • Buy Side: $40,000

    • Sell Side: $40,000

  • Close Date: March 5, 2025

  • Deal Structure: All cash, no deposit required

  • Marketing Outcome: Multi-offer scenario with price bid up $50K

The Backstory

The seller first connected with Michael Shea during the COVID-19 pandemic, uncertain of the business’s value and marketability. Over the following months, Shea coached the owner on cleaning up the books, documenting processes, and getting the company “buyer ready.”

When the time came to go to market, the result was immediate and impressive: multiple offers within weeks, fueled by clean financials, steady revenue, and realistic pricing. The competition among buyers pushed the final sale price $50,000 above the asking price — a rare but rewarding outcome in today’s business sales landscape.

Success Factors

  1. Pre-Sale Coaching: The seller invested the time to clean up financials and prepare documentation, making the business bankable and attractive.

  2. Pricing Strategy: The initial $750K listing was based on market comps and cash flow — realistic enough to draw offers, but with room to move up.

  3. Demand for Recurring Revenue: The collections industry’s stable cash flow and essential service model made it a magnet for investor interest.

  4. Competitive Buyer Pool: Properly presented and priced listings generate competition — which increases price and terms leverage.

Broker’s Commentary

“This is the kind of deal that rewards good habits. The seller listened, put in the work, and trusted the process. When we hit the market, we didn’t just sell the business — we got a bidding war that drove the price above list. That’s the value of preparation.”
— Michael Shea, CBI | Transworld Business Advisors of Tampa Bay

Takeaways

  • Start Early: Preparing a business for sale isn’t a one-week exercise. It can take months — but the reward is often real dollars at the closing table.

  • Price Smart: A well-priced listing can spark a multi-offer environment. Overpricing rarely does.

  • Recurring Revenue Drives Demand: Businesses with repeatable, contract-based income are in high demand and often attract sophisticated buyers.

  • Broker-Led Coaching Works: A proactive broker helps owners see their business from a buyer’s perspective — and that can change everything.

Thinking of selling your professional service firm or recurring-revenue business?
Let Michael Shea help you prepare it the right way — and potentially drive premium offers.

📞 Contact:
Michael Shea, CBI
Transworld Business Advisors of Tampa Bay
📧 mike@tworld.com
📱 (321) 287-0349
🌐 www.yourfloridabusinessbroker.com