Business broker fees and other questions about selling a company

For Main Street companies selling under about 2 million USD, business brokers commonly charge a success fee of 8 to 12% of the sale price, often with a minimum fee between 10,000 and 50,000 USD. The fee is paid at closing, out of the proceeds.

Lower mid-market advisors often use a sliding scale such as the Lehman formula or a modern version of it: a higher percentage on the first million and lower percentages on each additional million. Many add a monthly retainer or an engagement fee that is credited against the success fee. See M&A advisors.

Some do. An upfront or marketing fee usually covers the valuation, the confidential information memorandum and marketing. Ask what it covers, whether it is credited against the success fee and whether it is refundable.

In most US small business sales the seller pays the broker. Buy-side advisors who represent a buyer are paid by the buyer under a separate agreement.

Often. The percentage, the minimum fee, the tail period after the agreement ends and the length of the exclusive listing are all points owners negotiate. Compare offers from more than one broker through business brokers near me.

A clause that entitles the broker to the fee if the company sells, within a set time after the agreement ends, to a buyer the broker introduced. Twelve to twenty-four months is common.

Most Main Street companies take 6 to 12 months from listing to closing. Clean books, a transferable lease and an owner who is not the only key relationship shorten that time. The full sequence is on how to sell a business through a broker.

Run the business valuation calculator. It applies the multiple range buyers commonly pay in your industry to your SDE or EBITDA and adjusts for revenue trend and years in business, then shows the method it used.

Yes. The Owner Listing plan gives you one active listing, a valuation report, a data room and NDA-gated inquiries. See businesses for sale by owner.

After your valuation, you can ask to be matched. We send your request to brokers who work your state and industry and handle deals of your size. You see each broker's profile and decide whom to talk to.

Listings never show your company name, street address or logo. They show the industry, region and a financial summary. Buyers learn the name only after they sign the NDA and you or your broker approve them.

Only buyers you approve after the NDA and proof of funds step. Every view and download in the data room is recorded, and you can revoke access at any time. More on security.

You do. Your listings, documents and buyer records belong to you. You can download them or ask us to delete them by writing to [email protected].

Each buyer e-signs the NDA and shows proof of funds before financials are released. Proof can be a bank or brokerage statement, an SBA pre-qualification letter, a fund commitment or a lender letter.

No. Searching, deal alerts and NDA requests cost nothing. See buy a business.

Yes. Create a deal alert with industry, state, price range and minimum SDE, and we email you each new match.

Brokers confirm their state license or registration where the state requires one, their professional details and the industries and deal sizes they handle before their profile goes live.

Up to 25 active listings on the Broker plan and unlimited on the Brokerage plan. See pricing.

Yes. Brokers add listings one by one or in bulk from a CSV file, and Brokerage plans export the full listing feed in XML or CSV.

Yes. Plans renew until you cancel, and access stays on until the end of the period you paid for. Yearly billing costs half of the monthly price.

No. Owner Listing, Broker and Brokerage are flat subscriptions. We do not take a share of your sale price.