Offer to Sell Royalties
Offer to Sell Royalties
Have you received an offer to sell royalties? Once you receive an offer to sell royalties the first thing you want to do is figure out if you’re getting a fair offer! This post will help you evaluate the offer to sell royalties and determine the best way to respond.
Fair Offer to Sell Royalties?
Once you receive an offer, your first question is about whether the offer is a fair offer. Our guide to understanding the value of royalties is a good place to start, but there are other important things to know as well. As your are considering the offer, it’s important to know that a single offer to buy your royalties does NOT represent the entire market. One buyer may offer you a very small amount compared to the actual value of selling your royalties. It’s important that you carefully consider the offer and determine if it truly represents the fair market value for selling royalties.
How to determine Fair Market Value
While you can get a very rough idea of your royalties value, it’s impossible to know the true maximum market value without getting your property in front of a large number of buyers. This is why we always recommend the services of US Mineral Exchange. Listing your royalties with them will allow you to receive an offer to sell royalties from thousands of buyers all over the country who are competing to pay you the highest price possible. Even if you already have an offer in hand, they can provide you with many other offers for your royalties so you can determine if the offer you received is really the best you can get. The experts at US Mineral Exchange help mineral owners just like you get the maximum value and typically find buyers who can pay the highest prices in the industry!
Negotiating an Offer to Sell Royalties
If you want to negotiate the highest possible price for selling royalties, the best way to do this is by getting multiple buyers to compete to pay you the highest price. You can typically negotiate a single buyer to pay a higher price, but buyers respond the best when other buyers are also interested. Many buyers will throw out a low ball offer in the hopes that you are only talking to them. They know that even moving up 10% or even 20% in price, they are still paying well below market value. However, if a buyer knows that you are working with multiple buyers, they will now be forced to pay a true market value for your royalties. This is why we recommend working with US Mineral Exchange, as they will allow you to quickly bring multiple buyers to the table and drive up the price. In addition, they can handle all the negotiations among buyers to ensure you get the maximum value possible.
If you have questions about an offer to sell royalties you have received, simply fill out the form below and let us know how we can help!