BreakThru Realty

How Long Does It Take to Sell a Business?

For a well-prepared small business, six to nine months from listing to closing is common. The parts you control are the preparation and the price.

Reviewed by Tyson E. Sam, Founder and Broker of Record, BreakThru Realty, Florida License 3565210

Request a Confidential Business Valuation · (786) 914-1017

Preparation: Two to Six Weeks

Gathering three years of tax returns, current profit and loss, the lease, the equipment list and licences, documenting the add-backs, and preparing a confidential profile. Owners who start this a year before they want to sell usually sell for more, because they have time to fix what a buyer would discount.

Marketing and Finding the Buyer: Two to Six Months

The blind listing goes out, buyers sign NDAs and prove funds, and the serious ones meet you. A business priced from comparable sales with clean records moves at the fast end; an overpriced one sits until the price comes down, and a business that sits becomes harder to sell.

Offer to Closing: Sixty to Ninety Days

After a letter of intent the buyer has a due diligence period, the SBA lender underwrites and orders its valuation, the landlord approves the lease assignment and the licences are applied for. A franchise adds the franchisor's approval; a liquor licence or a healthcare practice adds its own agency time.

What Slows a Sale Down

Books that do not match the tax returns, a lease with little term left or a landlord who resists assignment, licences that must be reissued, equipment that fails inspection, and a seller who is not ready to answer questions quickly. Each is easier to fix before listing than during escrow.

Request a Confidential Business Valuation

Tell us the type of business, the city, how long it has operated, annual revenue, owner benefit or seller's discretionary earnings, EBITDA if you track it, monthly rent and lease expiry, number of employees, how involved you are, why you are selling, your timeline and whether you would consider seller financing. A licensed BreakThru business broker prepares a confidential valuation from comparable sales and replies within one business day. Everything you tell us is confidential, the valuation is free, and nothing is listed or announced unless you decide to sell. Prefer to talk now? Call (786) 914-1017.

Questions Owners Ask

How much is my business worth?
Most owner-operated businesses in South Florida sell for a multiple of seller's discretionary earnings: net profit plus the owner's salary, benefits and one-time or personal expenses run through the business. Where the multiple falls depends on the industry, the lease, the staff, the trend in the numbers and how much the business depends on you. A confidential valuation gives you the range for your business and the reasons behind it.
Will my employees, customers or landlord find out?
Not from us. The business is marketed without its name or address, buyers sign a non-disclosure agreement and prove their funds before they learn who you are, and showings happen after hours or are presented as something else. The landlord is approached only once there is an accepted offer, because the lease has to be assigned.
What does a business broker charge?
Brokers selling small businesses usually charge a success fee paid from the proceeds at closing, commonly quoted in the market at around ten percent of the price, often with a minimum fee; larger sales are usually priced on a sliding scale. BreakThru's fee is set out in writing in the listing agreement before you sign anything, and the valuation costs nothing.

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