On a small sale the commission, or more often the minimum fee, can be a quarter of the price. Selling without a broker keeps that money and hands you four jobs. Owners who take both usually do well; owners who take the saving without the jobs do not.
Get quotes to sell my business
The four jobs
Reaching buyers through marketplaces, trade contacts and direct approaches. Screening them with a non disclosure agreement and evidence of funds before your accounts move. Negotiating, which includes being willing to say no to somebody you also want to like you. And keeping diligence to a timetable so it does not drift for months.
Pricing without an intermediary
Work out seller's discretionary earnings honestly, then find evidence of what similar businesses have actually sold for rather than what they were listed at. If you cannot find evidence, price conservatively and hold, because reducing publicly signals weakness far more loudly than starting close to the market.
What to pay for anyway
A lawyer who does business sales, for the purchase agreement, the disclosure schedules and any deferred payment. An accountant for the add back schedule, the structure and the tax. Together these usually cost a fraction of a commission and they cover the parts where a mistake is permanent.
Other questions people ask
Should I use a broker to sell my business at all?
Only if the broker reaches buyers you cannot. On a small sale the commission or minimum fee can be a quarter of the price, and selling without a broker keeps that money in exchange for the four jobs set out on this page.
Will buyers take me seriously?
Yes, if your file is complete and your answers are fast. Preparation reads as competence; representation does not substitute for it.
Where do I find buyers?
General marketplaces for individuals, trade associations and suppliers for people already in your sector, and direct approaches to competitors under agreement.
What is the most common mistake?
Disclosing too much too early to someone who turns out to be a competitor, followed by using a template agreement with warranties nobody explained.