Using a broker vs selling it yourself

Every seller decides, at some point, whether to hand the sale to a broker or run it themselves. It is rarely all-or-nothing — some owners sell privately to a known buyer and bring in only a lawyer, others run their own outreach for months before engaging a broker partway through — but the underlying trade-off is the same one: professional process and reach, against cost and control.

Using a broker

A broker markets the business without revealing its identity, qualifies buyers before they see financials, coordinates the back-and-forth of offers and financing, and generally has run this process many times before, which matters when a seller is doing it for the first time. That expertise and reach come at a cost, and how the broker is compensated is set out in a listing agreement that can continue to apply even after the agreement itself ends, in some circumstances.

• Confidential marketing protects the business from staff, competitors and customers finding out prematurely
• Buyer screening filters out lookers before financials are shared
• A broker who has run many sales can anticipate problems a first-time seller would not
• Commission is usually paid only on a completed sale, but a listing agreement can bind a seller for a defined term and, in some cases, beyond it

Selling it yourself

Selling privately means no commission is paid, and the seller controls every conversation directly rather than through an intermediary — which some owners strongly prefer, especially when they already have a buyer in mind, such as an employee, a competitor or a family member. It also means the seller is doing the marketing, the buyer screening, the negotiating and the confidentiality management alone, on top of continuing to run the business, and mistakes in any of those areas are common among owners doing it for the first time.

• No commission is owed, which can matter more on a smaller sale
• Works well when a specific buyer is already identified, such as an employee or family member
• The seller carries the full time cost of marketing, screening and negotiating
• A lawyer is still essential even without a broker involved

How to choose

The decision tends to turn on how much the seller already has in place and how much time they can give the process. An owner with a known, willing buyer, a straightforward business and time to manage the paperwork can often sell privately at real savings. An owner without an identified buyer, running a business that needs to stay confidential from staff and competitors, or simply without time to run a sale process alongside operating the business, is usually better served by a broker’s reach and process discipline. Either way, a lawyer reviewing the agreement is not optional.