Deciding whether to sell your company yourself or hire a business broker is one of the first—and most important—choices you will make when selling your business. 

On the surface, selling your business without a broker might seem attractive. You save on broker commissions, stay in full control, and negotiate directly with buyers.

But selling a company is very different from selling a home or an asset. It involves:

• Valuation and financial analysis
  
• Confidential marketing
  
• Buyer screening
  
• Negotiation strategy
  
• Legal and financial due diligence
  
• Deal structuring
  
• Closing coordination
  

A single mistake in any of these steps can cost far more than a broker’s commission.

On the other hand, hiring a business broker means having a professional manage the process—finding qualified buyers, protecting confidentiality, negotiating terms, and ensuring the deal actually closes. Brokers often achieve higher selling prices and smoother transactions, but they also come with fees and require trust in their expertise.

Understanding the Difference: DIY Sale vs. Broker-Assisted Sale

Before you decide whether to sell your company on your own or hire a business broker, it’s important to understand what each option actually involves. 

Many owners assume selling a business is as simple as finding a buyer and signing paperwork. But the process is far more complex. 

Knowing what responsibilities you’re taking on (or handing off) will make your decision much easier.

What It Means to Sell Your Company Yourself

Selling your company on your own—often called a DIY sale—means you are responsible for every part of the process.

This includes:

• Figuring out what your business is worth
  
• Preparing financial statements and documents
  
• Marketing the business confidentially
  
• Screening potential buyers
  
• Negotiating offers and deal terms
  
• Managing due diligence
  
• Coordinating with lawyers, accountants, lenders, and closing agents
  

Why some owners choose a DIY sale:

• They want to avoid paying broker commissions
  
• They feel they already know potential buyers
  
• Their business is small or simple to transfer
  
• They want to stay fully in control of the sale
  

A DIY sale can work—but only if the owner understands the workload and risks involved.

What a Business Broker Does

A business broker acts like a real estate agent—but for businesses, not homes. Their job is to manage the entire sale from start to finish so you don’t have to.

A broker typically handles:

• Business valuation
  
• Pricing strategy
  
• Confidential marketing
  
• Finding and screening buyers
  
• Negotiating on your behalf
  
• Helping structure the deal
  
• Coordinating due diligence
  
• Working with attorneys and lenders
  
• Keeping the deal moving until closing
  

Think of a broker as your guide through a process that most owners only experience once in their lifetime.

Who Typically Chooses Each Approach?

DIY Sellers Usually Include:

• Very small businesses or owner-operator companies
  
• Businesses with simple assets (e.g., equipment-only sales)
  
• Sellers who already have a buyer lined up
  
• Owners comfortable handling numbers, negotiations, and legal steps
  

Broker-Assisted Sellers Usually Include:

• Profitable businesses with strong cash flow
  
• Companies worth $250,000+
  
• Businesses with employees, leases, inventory, or recurring revenue
  
• Sellers who want the highest selling price and a smoother process
  
• Owners who want to maintain focus on running the business
  

If your business is more valuable or more complex, a broker often provides a better financial outcome and a higher chance of closing the deal.

Understanding the True Cost of Selling Your Business

Many business owners think, “If I sell the business myself, I’ll save money because I won’t have to pay a broker.”

While that sounds logical, the real financial picture is more complicated. There are hidden costs, time costs, and even lost value if the business is priced incorrectly or negotiated poorly.

This section breaks down the true costs of a DIY sale versus hiring a broker—so you can decide which option gives you the best financial outcome.

Direct Financial Costs of a DIY Sale

When you sell the business yourself, you avoid broker commissions, but you take on several other expenses, such as:

Costs DIY sellers pay out-of-pocket:

• Legal fees (for drafting and reviewing contracts)
  
• Accounting fees (for cleaned-up financials)
  
• Marketing the business online
  
• Advertising on business-for-sale platforms
  
• Paying for valuation tools
  
• Time spent responding to buyers
  
• Time lost from running the business
  

These costs can add up quickly, especially for owners unfamiliar with the process.

The biggest cost of all? Mispricing.

Pricing too high drives buyers away.
Pricing too low leaves money on the table.

Most owners misprice—either emotionally or due to lack of market data.

Broker Fees and How They Work

Business brokers are typically paid on a success fee basis, meaning they only get paid if the business sells.

Typical broker fees include:

• Success commission: Usually 8%–12% of the sale price
  
• Minimum fees: Often $15,000–$25,000
  
• Retainers: Some brokers charge; many do not
  

While this may seem expensive, brokers often:

• Get more offers
  
• Drive higher selling prices
  
• Reduce time on market
  
• Prevent costly mistakes
  
• Increase the chance of closing
  

Most owners only sell a business once—brokers do it every day.

You can check out my detailed guide on business broker fees here. It explains this concept in depth. 

Which Option Really Costs More? (Examples & Reality)

Many owners are surprised to learn that DIY sales often cost more in lost valuation than a broker’s commission ever would.

Here’s why:

• Brokers know how to position businesses for maximum value
  
• Professional negotiation often adds 10–30% to the final sale price
  
• Brokers find more qualified buyers, increasing competition
  
• They prevent last-minute deal collapses (which can be very expensive)
  

Simple example:

If a business is worth $800,000:

• A DIY seller might only get $650,000 due to poor marketing or weak negotiation.
  
• A broker might sell it for $800,000 or more, even after their commission.
  

Net result:
Hiring a broker often puts more money in the seller’s pocket—even after fees.

Valuation: Selling a Business Without a Broker vs With a Broker

One of the hardest—and most important—parts of selling your company is figuring out what it’s actually worth. Most business owners either overvalue their business because they’re emotionally attached, or undervalue it because they don’t know how buyers think. Both mistakes can cost thousands of dollars.

You can read this business valuation guide to learn more.

DIY Valuation Challenges

When selling on your own, you must determine the listing price. This is much harder than it sounds.

Common problems DIY sellers run into:

1. Emotional bias

Owners often price based on how hard they worked—not on what buyers will realistically pay.

2. Lack of market data

Unlike real estate, business sale data isn’t public.
Owners rarely know:

• What similar businesses sold for
  
• Current industry multiples
  
• What lenders require
  

3. Not normalizing financials

Buyers and lenders don’t look at your profit the same way you do.
You must adjust:

• Owner salary
  
• One-time expenses
  
• Personal expenses run through the business
  
• Add-backs
  

Missing these adjustments means your valuation will be off.

4. Wrong pricing = fewer buyers

Too high → buyers won’t inquire.
Too low → you leave money on the table.
Most DIY sellers miss the “sweet spot.”

How Business Brokers Determine the Right Listing Price

Brokers use professional valuation methods and real market data to set a price buyers will take seriously.

Here’s what brokers look at:

1. Cash Flow Normalization

They adjust financials so buyers see the true earning power of the business.

2. Industry Multiples

Brokers know what similar businesses sell for—not just what they are listed for.

3. Lender Requirements (Especially SBA Loans)

SBA lenders have strict rules.
If the price isn’t lender-friendly, buyers can’t get financing.

4. Market Demand

Brokers understand buyer expectations and current trends.

5. Growth Potential & Risk Factors

Buyers pay more for:

• Recurring revenue
  
• Strong customer concentration
  
• Documented processes
  
• Stable financials
  

And they discount for risk.

Brokers balance all of these factors to price the business correctly.

Why Accurate Pricing Matters So Much

Pricing isn’t about guessing—it directly affects how quickly and profitably you sell.

If the price is too high:

• Serious buyers won’t inquire
  
• You waste months waiting
  
• Listings go “stale”
  
• Buyers make lowball offers
  

If the price is too low:

• You lose money—often tens or hundreds of thousands of dollars
  
• Buyers may assume something is wrong (“Why is it so cheap?”)
  

If the price is right:

• Multiple buyers show interest
  
• Competition increases the selling price
  
• The deal closes faster
  
• Financing is easier for the buyer
  

Good pricing creates momentum—and momentum leads to stronger offers.

Does a Business Broker Help in Reaching More Buyers?

Once your business is priced correctly, the next challenge is finding the right buyers. Marketing a business is very different from marketing a product or service. 

Most business owners underestimate how hard it is to market a business without revealing its identity or hurting operations. This section explains the difference between DIY marketing and broker-assisted marketing so you can decide which path fits your goals.

DIY Marketing Limitations

When you choose to sell your business yourself, you’re responsible for finding buyers. This might sound easy, but most DIY sellers face the same problems:

1. Limited reach

Without access to national buyer networks, you’re mostly relying on:

• Local buyers
  
• Craigslist or Facebook Marketplace
  
• A single listing site
  
• Word of mouth
  

This drastically limits your pool of potential buyers.

2. Weak confidentiality protection

If customers, employees, or competitors find out the business is for sale:

• Staff may worry
  
• Customers might leave
  
• Competitors may use it against you
  

DIY sellers often struggle to hide the business identity while still attracting interest.

3. Dealing with unqualified buyers

DIY listings often attract:

• Tire-kickers
  
• Window shoppers
  
• People with no funds
  
• Competitors fishing for information
  

Screening these buyers takes time and skill.

4. Poor listing materials

Serious buyers expect:

• Clean financials
  
• Professional summaries
  
• Clear business descriptions
  
• Growth opportunities
  

Most DIY sellers don’t know how to prepare these effectively.

How Business Brokers Market a Business Confidentially

Brokers specialize in confidential, targeted marketing that reaches serious buyers while protecting your identity.

1. Create a blind listing

A listing that describes the business without naming it.
This protects employees and customers.

2. Require buyers to sign NDAs

No information is shared until the buyer is screened and approved.

3. Tap into large buyer databases

Brokers have:

• Thousands of active buyers
  
• Industry contacts
  
• Investors
  
• Private equity connections
  
• Other brokers they network with
  

This dramatically increases your exposure.

4. Approach strategic buyers

These are buyers who may pay a premium because your business fits their growth goals.

5. Use national business-for-sale platforms

Brokers know where serious buyers search—and how to position your listing so it attracts attention.

6. Handle all buyer inquiries

They respond to questions, screen out unqualified buyers, and protect your confidential information throughout the process.

Why Buyer Quality Matters More Than Buyer Quantity

A business doesn’t need 100 interested buyers—just 1 to 3 motivated, qualified buyers.
However, the quality of buyers matters far more than the number of inquiries.

Low-quality buyers cause:

• Slow negotiations
  
• Broken deals
  
• Wasted time
  
• Frustration and stress
  

High-quality buyers:

• Have the financial ability to purchase
  
• Understand the value of the business
  
• Move quickly through due diligence
  
• Make stronger, cleaner offers
  

Brokers excel at identifying these buyers early, which leads to smoother deals and better outcomes.

Negotiating Without a Broker vs With a Broker

Negotiating the sale of a business is very different from negotiating a regular purchase. 

Because so much is at stake, negotiations can become complex, emotional, and high-pressure. Many deals fall apart simply because the negotiation phase is mishandled.

This section explains the challenges DIY sellers face and how brokers help secure a stronger, safer deal.

Common Negotiation Mistakes DIY Sellers Make

Selling a business yourself means you must negotiate directly with buyers. This often leads to problems such as:

1. Revealing too much information too early

Buyers may take advantage of details like seasonality, personal stress, or declining revenue.

2. Accepting the first offer

Most DIY sellers feel relieved when an offer comes in, but the first offer is rarely the best one.

3. Getting emotional

It’s natural—your business is personal.
But emotional reactions often:

• Scare buyers away
  
• Lead to over-defensiveness
  
• Harm your leverage
  

How Brokers Protect You During Negotiations

A business broker acts as your professional negotiator, helping you avoid costly mistakes and stay in control of the process.

1. Defending the valuation

Brokers know how to justify your asking price using:

• Financial analysis
  
• Profit trends
  
• Industry multiples
  
• Comparable sales
  

This prevents lowball offers.

2. Managing buyer objections and concerns

Instead of reacting emotionally, brokers respond calmly and professionally, keeping buyers confident in the deal.

3. Creating competitive tension

More interested buyers = stronger offers.
Brokers know how to position and time communication to encourage better terms.

Due Diligence: The Hardest Part of the Sale

Most business owners expect negotiations to be the most challenging part of selling a company. However, due diligence is where deals are won or lost. 

This phase is detailed, time-consuming, and often overwhelming for DIY sellers. 

Buyers want to confirm that everything you’ve told them is true. This includes your financials, contracts, operations and more. 

The Burden of DIY Due Diligence

Handling due diligence yourself means becoming the project manager for one of the most complex financial reviews of your life.

Here’s what DIY sellers must prepare and organize:

Financial Documentation

• Tax returns (usually 3 years)
  
• P&L statements
  
• Balance sheets
  
• Cash flow statements
  
• Bank statements
  
• Add-back schedules
  
• Aging reports for A/R and A/P
  

Legal Documents

• Business licenses
  
• Contracts and leases
  
• Permits
  
• Corporate documents
  
• Operating agreements
  
• Employee agreements
  

Operational Information

• Supplier lists
  
• Customer lists
  
• Inventory reports
  
• Employee roles
  
• Equipment lists
  

This is just the beginning. Buyers often request dozens of follow-up items.

How Brokers Streamline the Due Diligence Process

A business broker makes due diligence far more manageable by guiding the seller, preparing documentation, and acting as the communication bridge between buyer and seller.

What brokers do to simplify due diligence:

1. Prepare due diligence checklists

They know exactly what buyers and lenders will request—and make sure you’re ready.

2. Organize documents into a professional data room

This keeps everything secure and prevents endless back-and-forth emails.

3. Handle buyer questions

Brokers protect you from overwhelming requests and filter unnecessary details.

4. Keep the process on schedule

Buyers often drag their feet. Brokers keep momentum so the deal doesn’t stall.

5. Prevent unnecessary renegotiation

When issues arise (and they always do), brokers help:

• Explain discrepancies
  
• Provide documentation
  
• Reduce buyer fear
  
• Keep the deal intact
  

Time, Stress, and Opportunity Cost

Selling a business is a major time and energy commitment. Many owners underestimate how demanding the process is until they are in the middle of it. 

From answering endless buyer questions to gathering documents, the process can feel like taking on a second full-time job.

Selling While Running the Business: The Real Challenge

When you sell your company on your own, you must manage all buyer communication on top of running your business.

This often leads to:

• Slower response times
  
• Missed opportunities with buyers
  
• Declining business performance
  
• Increased stress and frustration
  
• Burnout
  

Here’s the problem:
Buyers lose confidence when a business’s financials dip during the sale process.

If sales drop—even slightly—buyers may:

• Lower their offer
  
• Delay closing
  
• Walk away entirely
  

Trying to juggle everything alone puts both your business and your sale price at risk.

How Brokers Save Time and Reduce Stress

A business broker acts like the project manager for the entire sale. They handle the time-consuming tasks so you can stay focused on running your business successfully.

What brokers take off your plate:

• Responding to inquiries
  
• Screening buyers
  
• Scheduling calls and meetings
  
• Preparing financial summaries
  
• Managing negotiations
  
• Coordinating due diligence documents
  
• Handling lender and attorney communication
  
• Keeping the timeline on track
  

Brokers essentially shield you from the heavy lifting—allowing you to continue operating your business without distraction.

The Opportunity Cost of Selling Alone

When owners sell by themselves, they often spend dozens of hours per week on the sale. That time could otherwise be spent:

• Increasing revenue
  
• Improving margins
  
• Strengthening operations
  
• Building customer relationships
  
• Preparing the business for a higher valuation
  

Every hour spent managing the sale is an hour not spent improving the company.

This can affect the final selling price.

If financial performance slips during the sale buyers may:

• Demand a lower price
  
• Ask for additional concessions
  
• Lose interest altogether
  

A broker helps keep the business stable by freeing up your time, protecting your focus, and ensuring the sale process doesn’t interfere with performance.

When It Makes Sense to Sell the Business Yourself

While hiring a business broker is often the better choice for most established companies, there are situations where selling your business on your own actually makes sense. Not every business needs full brokerage representation, and in some cases, the cost and complexity of hiring a professional may outweigh the benefits.

This section outlines the scenarios where a DIY sale can be practical, cost-effective, and appropriate.

Very Small Businesses or Micro-Businesses

Businesses earning less than $100,000 in annual profit (SDE) often struggle to attract brokers because:

• Commissions would be too small
  
• The buyer pool is local and price-sensitive
  
• The sale resembles more of an asset transfer than a full business sale
  

Examples include:

• Solo owner-operator service businesses
  
• Small retail shops
  
• Home-based businesses
  
• Part-time or side businesses
  

These businesses are often simple enough to sell without professional help.

Asset Liquidation or Equipment-Only Sales

If the buyer is essentially purchasing:

• Equipment
  
• Furniture and fixtures
  
• A brand name
  
• Customer lists
  
• Basic inventory
  

…and not acquiring employees, contracts, or ongoing operations, a DIY sale can work well.

These deals are straightforward and do not require complex negotiations or financial analysis.

Selling to Someone You Already Know

DIY sales are much easier when the buyer is already identified and trusted.

Examples:

• Existing employees
  
• A family member
  
• A business partner
  
• A close competitor you already have a relationship with
  

In these cases, you are not marketing the business to strangers, which significantly reduces the workload and complexity.

Businesses With Very Simple Operations

Some businesses have:

• No employees
  
• Very few assets
  
• No long-term contracts
  
• Minimal bookkeeping
  
• Low operational complexity
  

Because these companies are easy to explain and easy for buyers to take over, owners can often handle the sale themselves without major risk.

When You Should Definitely Hire a Business Broker

While some owners can successfully sell their company on their own, there are many situations where hiring a business broker is essential. If your business is profitable, complex, or valuable, the risks of a DIY sale increase significantly. In these cases, a broker can protect your interests, maximize your sale price, and dramatically improve the chances of closing.

This section outlines the scenarios where a broker isn’t optional—it’s the smart, strategic choice.

Your Business Earns $1,000,000+ in Annual Revenue

If your business generates substantial cash flow, a broker can often increase your final sale price by 10%–30% or more through:

• Stronger valuation
  
• Better buyer targeting
  
• Professional negotiation
  
• Competitive bidding
  

For high-value businesses, the difference in sale price often outweighs the broker’s commission.

Your Business Is Growing or Has Strong Market Demand

Businesses with:

• Year-over-year growth
  
• Recurring revenue
  
• Strong customer concentration
  
• Loyal client bases
  
• High margins
  

…are highly attractive to buyers.
A broker ensures you can capitalize on that demand and avoid selling for less than your business is worth.

Your Business Has Employees, Contracts, or Complex Operations

The more moving parts your business has, the more you need professional help.

A broker becomes especially valuable when your business involves:

• Multiple employees
  
• Long-term contracts
  
• Vendor agreements
  
• Lease commitments
  
• Industry licenses
  
• Specialized equipment
  

Complexity requires experience—especially during negotiation and due diligence.

You Want to Maintain Confidentiality

If employees, customers, or competitors learn about the sale too early, you may face:

• Employee turnover
  
• Customer panic
  
• Competitor pressure
  
• Lower business performance
  

Brokers use confidential marketing and NDAs to protect your business throughout the entire process.

You Need Buyers Who Can Obtain Financing

Most serious buyers use financing—especially SBA loans—to purchase a business.

A broker knows how to:

• Package your financials for lenders
  
• Price the business SBA-friendly
  
• Connect buyers with qualified lenders
  
• Prevent financing delays that kill deals
  

DIY sellers often lose deals simply because the buyer can’t get funding.

You Want Multiple Offers and Competitive Bidding

More buyers = higher selling price.
Brokers create competition by:

• Marketing widely
  
• Accessing large buyer networks
  
• Identifying strategic buyers
  
• Positioning your business for maximum demand
  

Competition is one of the strongest ways to increase your final sale price.

Whether you run a HVAC business, an internet company or a healthcare firm, these aspects will be fundamental to your business sale.

Quick Comparison: DIY Sale vs. Broker-Assisted Sale

Summary: Should You Sell Your Business Without A Broker?

I hope you found my guide helpful if you’re interested in selling your business without a broker or with one. 

If your business makes more than $1 million per year, you can get a free valuation from industry’s leading business brokers. Their experts will be open to answer all your questions as well. 

Consult an expert today.