Why Use a Business Broker

Professional business brokers provide expertise, networks, and support that significantly improve transaction outcomes for both buyers and sellers.

Key Benefits of Using a Business Broker
How professional brokers add value to business transactions

Market Expertise

Deep knowledge of industry trends, valuations, and market conditions to optimize your transaction.

For Sellers:

Maximize sale price through proper positioning

For Buyers:

Find the best opportunities in your target market

Confidentiality

Maintain privacy throughout the process while reaching qualified prospects.

For Sellers:

Protect business operations during sale process

For Buyers:

Discreet search without alerting competitors

Extensive Networks

Access to qualified buyers, sellers, and industry professionals.

For Sellers:

Reach pre-qualified buyers nationwide

For Buyers:

Access to off-market opportunities

Time Efficiency

Streamlined process that saves months of effort and reduces transaction time.

For Sellers:

Focus on running business while broker handles sale

For Buyers:

Efficient screening and evaluation process

Negotiation Skills

Professional negotiation to secure the best terms and structure.

For Sellers:

Maximize value and optimize deal structure

For Buyers:

Negotiate favorable terms and pricing

Transaction Management

End-to-end management of complex transaction processes.

For Sellers:

Smooth closing with minimal disruption

For Buyers:

Guided through due diligence and closing

Comprehensive Broker Services
Full-service support throughout the transaction process

For Sellers

Business valuation and pricing strategy
Marketing materials and business summary preparation
Buyer identification and qualification
Confidential marketing and advertising
Negotiation and offer management
Due diligence coordination
Closing facilitation and support

For Buyers

Acquisition criteria development
Market research and opportunity identification
Business screening and evaluation
Financial analysis and due diligence support
Financing assistance and lender introductions
Negotiation and deal structuring
Transaction closing coordination

For Both Parties

Legal and professional referrals
Tax and financial planning guidance
Industry expertise and market insights
Risk assessment and mitigation
Post-transaction support and consulting
Confidentiality and privacy protection
Communication and project management
Cost vs. Benefit Analysis
Understanding the financial impact of using a professional broker

Typical Broker Fees

Success-based: 8-12% of transaction value
Retainer: $5,000-$25,000 upfront
Hourly: $200-$500 per hour for consulting
Flat fee: $25,000-$100,000 for larger deals

Value Created

15-25% higher sale prices on average
50% faster transaction completion
85% higher success rate vs. FSBO
Reduced legal and compliance risks

ROI Analysis

Broker fee: 10% of $1M sale = $100,000
Value increase: 20% premium = $200,000
Time savings: 6 months of owner time
Net benefit: $100,000+ in most cases

Bottom Line

While broker fees typically range from 8-12% of the transaction value, the value they create often exceeds their cost through:

Higher sale prices (15-25% premium)
Faster transaction completion
Higher success rates
Reduced owner time investment
Professional risk management
Access to qualified counterparties
How to Choose the Right Broker
Key criteria and questions to evaluate potential brokers

Experience & Track Record

How many transactions have you completed in my industry?
What is your average time to close?
Can you provide references from recent clients?
What is your success rate for completed transactions?

Market Knowledge

How well do you know my local market?
What are current market trends in my industry?
How do you determine business valuations?
What is your network of buyers/sellers like?

Services & Support

What services are included in your fee?
How do you maintain confidentiality?
What is your communication style and frequency?
Do you provide post-transaction support?
When You Might Not Need a Broker

Consider Going Solo If:

You have extensive M&A experience
The transaction is very small (under $500K)
You have a pre-identified buyer/seller
You have strong legal and financial support
The business is very simple with few complexities
You have significant time to dedicate to the process

Note: Even in these scenarios, many business owners find that the expertise and network access provided by brokers justify the cost, especially for transactions over $1 million.

Find the Right Broker
Connect with experienced business brokers who specialize in your industry and transaction size.
Broker Success Stats

Success Rate

85% of broker-assisted sales complete vs. 25% FSBO

Time to Close

6-9 months with broker vs. 12-18 months FSBO

Price Premium

15-25% higher sale prices on average

Broker Credentials

Key Certifications:

  • • Certified Business Intermediary (CBI)
  • • Merger & Acquisition Master Intermediary (M&AMI)
  • • Certified Merger & Acquisition Advisor (CM&AA)
  • • Business Broker License (state-specific)

Professional Organizations:

  • • International Business Brokers Association (IBBA)
  • • M&A Source
  • • Association for Corporate Growth (ACG)
Next Steps
→ Get Business Valuation First→ Prepare Your Business for Sale→ Learn the Buying Process→ See How It All Works Together