Blog

When I sold my first business, I thought I could do it all myself. I’d built it from scratch, knew every client by name, and figured—how hard could selling it be? Turns out, it’s kind of like trying to cut your own hair with garden shears. You can do it, but you probably shouldn’t.

That experience taught me a few lessons about pride, patience, and the very real value of hiring a business broker. So if you’re sitting on the fence about whether or not to use one, let’s talk through what it’s actually like—no fluff, no corporate jargon, just real talk from someone who’s been in the trenches.

The Emotional Rollercoaster of Selling a Business

Selling a business isn’t just a financial transaction—it’s emotional. It’s your baby. You’ve spent years building something from the ground up, sweating through payroll weeks, celebrating big wins, and grinding through all-nighters fueled by bad coffee and even worse playlists.

When I tried to handle my own sale, I quickly realized emotions cloud judgment. I’d get offended when offers came in low, defensive when buyers asked tough questions, and straight-up impatient during negotiations. A good business broker doesn’t have that emotional baggage. They’re like a cool-headed referee in a heated game—you might not love every call they make, but they keep the game fair and moving forward.

The Pros of Using a Business Broker

Alright, let’s get into the good stuff—the reasons a broker might actually be worth every penny.

1. They Know the Market

A broker has insider knowledge of what similar businesses are selling for, what buyers are looking for, and where the market’s heading. When I listed my business, I thought my “asking price” sounded fair… until a broker pointed out that I was undervaluing it by almost 30%. Ouch.

2. They Handle the Time-Sucking Stuff

From marketing the listing to screening buyers, brokers handle all the behind-the-scenes work that would otherwise eat up your days. I was still running my business full-time, so trying to juggle that and the sale? Not happening. Having a broker manage that freed me up to keep my numbers strong through closing.

3. They Protect Your Privacy

You don’t want your employees, competitors, or customers finding out you’re selling before it’s time. Brokers are pros at keeping things confidential while still attracting serious buyers. When I tried selling on my own, word got out faster than a high school rumor. Not fun.

4. They Negotiate Like Sharks

Let’s be real: most of us aren’t born negotiators. We’re too emotionally tied to the outcome. A broker negotiates with strategy, not sentiment. Mine knew when to push, when to hold, and when to walk. And that made all the difference in my final sale price.

The Cons (Because Nothing’s Perfect)

Okay, I’m not here to sugarcoat. Brokers aren’t miracle workers, and hiring one isn’t always the best move.

1. They’re Not Cheap

Most brokers charge a commission—typically 8% to 12% of the final sale price. When you first hear that number, your stomach might drop a little. But here’s the catch: if they can get you 20–30% more than you’d get on your own, they’re probably worth it.

2. You Lose a Bit of Control

If you’re a control freak (hi, guilty), this one’s tough. Brokers manage buyer communication, marketing, and even timing. You’ll still make the big calls, but you’re not driving every minute of the process.

3. Not All Brokers Are Created Equal

Some are rockstars. Others… not so much. You need one who specializes in your industry and actually listens to you. When I hired my first broker, he was all flash and no follow-through. The second one, though? Total pro—he cared about the deal and my sanity.

When Going Solo Might Make Sense

If your business is small (under $100K in annual profit) or you already have a buyer lined up, you might not need a broker. In that case, a lawyer and accountant could handle most of the heavy lifting. You’ll save on commissions, though you’ll trade that for a few extra gray hairs.

But for medium to large businesses—or if you have no idea where to start—going solo can be a costly mistake. A broker doesn’t just help you find a buyer; they help you find the right buyer. Someone who understands your business’s value and wants to see it thrive after you’re gone.

My Honest Take

Looking back, hiring a business broker was one of the smartest decisions I made. The process wasn’t painless—nothing involving contracts and six-figure checks ever is—but it was smoother, faster, and far more profitable than my DIY attempt.

If I had to sum it up, I’d say this: trying to sell your business without a broker is like trying to film your own boxing match—you might land a few good punches, but you’ll miss half the action and probably take a few unnecessary hits.

Key Takeaways

• A business broker brings experience, objectivity, and access to serious buyers.

• They’re especially valuable for medium to large sales where confidentiality matters.

• Yes, they take a commission, but the added value often outweighs the cost.

• Selling solo can work—but only if your business is small or you already have a buyer lined up.

Final Thought:
If you’re still torn, ask yourself this—would you rather spend the next six months buried in legal documents and buyer emails, or focus on running your business while someone else fights to get you the best deal?

For me, the choice became pretty clear once I realized I didn’t need to be the hero of every story. Sometimes the best move is letting a pro step into the ring for you.

Alright, let’s get one thing straight: figuring out what your business is actually worth before selling it can feel like trying to guess the price of your own car without checking Kelley Blue Book. Everyone’s got an opinion, but when it’s your life’s work on the line, opinions don’t cut it—you need real numbers.

When I first started thinking about selling my own business, I thought, “This should be simple.” Spoiler alert: it wasn’t. I felt like I was on a roller coaster built by an accountant who secretly hated fun. But once I got a handle on the process (and the emotions that come with it), things started to click. So, if you’re standing where I was, here’s what I wish someone had told me.

Step 1: Start with the Facts, Not the Feelings

The first mistake I made? Overvaluing my business because I was emotionally attached. You know that old pickup in your garage that you swear is worth way more than it is? Yeah, same energy.

Buyers don’t care how many late nights you pulled or how many times you almost quit but didn’t. They care about the bottom line: profits, consistency, and potential.

So, grab your financial statements—income, balance sheet, cash flow. These are your starting blocks. The cleaner they are, the smoother your valuation process will be. I spent an entire weekend cleaning mine up and realized I’d been categorizing personal coffee runs as “client expenses.” Not my proudest moment.

Step 2: Understand the Multiples Game

Here’s where things get interesting. Most small to mid-sized businesses are valued using a multiple of earnings, usually EBITDA (that’s Earnings Before Interest, Taxes, Depreciation, and Amortization).

Sounds fancy, but it’s basically your business’s true profit after stripping away financial noise. Let’s say your EBITDA is $500,000, and your industry average multiple is 3x. That puts your valuation at $1.5 million.

But here’s the kicker—those multiples aren’t set in stone. They depend on stuff like:

• How consistent your revenue is.

• How dependent the business is on you.

• Growth potential and market trends.

When I realized my business’s growth had flatlined because I was the bottleneck (every client wanted to talk to me personally), it was a wake-up call. Buyers want systems, not superheroes.

Step 3: Adjust for Reality (a.k.a. Add-Backs Matter)

This part feels like detective work. Add-backs are the personal or one-time expenses that don’t reflect normal operations—like your personal cell phone bill, or that conference in Vegas that was definitely more fun than educational.

By identifying those, you can show buyers your true profitability. I found nearly $20,000 in add-backs the first time I did a deep dive. My reaction? Somewhere between relief and “wow, I should’ve been watching this closer.”

Step 4: Benchmark Against Your Industry

Every industry has its own rhythm. A local restaurant won’t be valued the same way as a tech startup or a dental practice. Use industry benchmarks as your compass, not your gospel.

I once compared my digital business to a brick-and-mortar retail store. Big mistake. Retail’s overhead costs made their multiples look lower, and I started doubting my own numbers. After getting real about my niche, the numbers finally made sense—and so did my confidence.

Step 5: Bring in a Professional (Before You Blow a Gasket)

If you’re like me, there’s a moment when you think, “I can totally figure this out on my own.” And then you realize business valuation is part math, part psychology, and part voodoo.

Hiring a certified business appraiser or valuation expert was one of the best decisions I made. They saw things I didn’t, like market comparables and risk factors. Think of them as a referee in a game you really don’t want to lose.

And yes, it costs money—but knowing your true value before you enter negotiations? That’s priceless.

Step 6: Be Ready for the Emotional Curveball

Here’s something nobody tells you: seeing your business boiled down to a number hurts a little. You’ve spent years building it, and suddenly someone’s saying, “Cool, it’s worth $1.2 million.”

I remember staring at that number, half proud, half insulted. But then it hit me—it’s not a reflection of my worth, it’s a reflection of what the market sees. And once you accept that, you can start negotiating like a pro.

Step 7: Don’t Rush It (Seriously)

Valuation isn’t something you cram into a weekend like a college term paper. It’s a process. Take time to clean your books, document your systems, and stabilize your income streams. The better your prep, the higher your valuation will likely climb.

When I finally listed my business, the preparation paid off big. The buyer actually told me, “You made this really easy to understand.” I played it cool, but inside I was doing cartwheels.

Final Thoughts: It’s About Clarity, Not Perfection

Valuing your business is a reality check, not a test of how perfect you’ve been. It’s about seeing where you stand and using that knowledge to make smart moves.

So grab a coffee, roll up your sleeves, and dig into those numbers. The process might be messy, but by the end of it, you’ll have something better than just a price—you’ll have perspective.

And trust me, that’s the kind of clarity that makes walking away with confidence a whole lot easier.

Takeaway:
If you’re wondering how to accurately value your business before you sell, remember:

• Start with clean financials.

• Know your EBITDA and industry multiples.

• Use add-backs strategically.

• Get a pro involved.

• Prepare emotionally and practically.

You only sell once. Do it smart, do it right, and make sure the number you get actually reflects what you built.