Answer guide
How to sell my business.
A plain-English guide to selling a $1M–$100M business the right way: valuation, prep, buyer matching, LOI negotiation, diligence, and a clean close.
How do I sell my business?
Sell your business in five steps: (1) get a defensible valuation grounded in TTM adjusted EBITDA and industry multiples, (2) normalize your financials and build a lender-ready data room, (3) prepare a teaser and CIM that protect confidentiality, (4) expose the opportunity to a vetted buyer network rather than public listings, and (5) run LOI, diligence, and close on a weekly cadence. Well-prepared owners of $1M–$100M businesses typically move from engagement to a funded wire in 90–180 days.
What is my business worth?
Lower middle market businesses (roughly $1M–$25M in enterprise value) typically transact at 3x–7x of trailing twelve month adjusted EBITDA. Multiples above that range require recurring revenue, low customer concentration, low owner dependence, and clean growth. Multiples below that range usually reflect concentration risk, owner dependence, or messy books. A defensible valuation blends recent comparable transactions, buyer appetite in your industry, and the financing structure a qualified buyer can actually get funded.
How long does it take to sell a business?
From engaged to funded, expect 90–180 days. Sellers with clean financials, low owner dependence, and a real buyer network on day one close in the lower end. Sellers who use engagement time to normalize books, build a data room, and reduce concentration close in the upper end.
Do I need a broker to sell my business?
You need a process - not necessarily a traditional broker. Legacy business brokers optimize for listing volume, not deal quality. A modern M&A advisor with a vetted buyer network, real deal-structure experience, and diligence coordination will typically produce a stronger outcome for owners of $1M+ businesses.
How do I sell my business without paying huge fees?
Ask for success-weighted engagement terms tied to the outcome, not a fat upfront retainer. Confirm exactly what your advisor delivers: buyer matching, LOI negotiation, diligence coordination, and lender packaging. Fees paid to close a good deal are worth it. Fees paid for a listing are not.
What financials do buyers want to see?
Three years of financials (P&L, balance sheet, cash flow), TTM performance, tax returns, an add-back schedule (owner comp, one-time expenses, personal expenses run through the business), customer concentration report, and a simple recurring vs one-time revenue breakdown. Lender-backed buyers will also request AR aging, inventory detail, and equipment lists during diligence.
Next step
Get a defensible number on your business.
Free seller assessment. We size the opportunity, share the valuation range, and lay out the path to close.