Selling
How to sell a small business, step by step
To sell a small business: decide what you want from the sale, gather two to three years of financials, check your lease, get a rough value, choose how to find a buyer, agree a structure, then close and hand over. The steps below walk through each one in plain terms, from the first thought to the last day.
The steps
Each step builds on the one before. Earlier preparation usually means a better outcome.
1. Decide what you want
Full exit, partial sale, or staying on in a smaller role. Your timeline, whether three months or three years, shapes everything else.
2. Gather your financials
Two to three years of profit and loss statements and tax returns, plus a list of personal or one-time costs that run through the business.
3. Review your lease
Know the term left, renewal options and any assignment clause. Buyers will ask early.
4. Get a rough value
Estimate owner earnings and use the valuation calculator for a starting range. Treat it as an estimate only.
5. Choose how to find a buyer
A broker, someone you know, or a direct sale to an operator. Each trades reach against privacy and speed.
6. Diligence
The buyer reviews books, contracts, staff and the site. Be open about deferred repairs; surprises cost more than disclosures.
7. Agree a structure
Cash at close, seller financing, earn-outs or a staged buyout. The right structure fits your actual constraints.
8. Close and hand over
Sign, fund, and transition staff, customers and systems. Decide in advance how long you will stay involved.
Common mistakes
Waiting until burnout forces a rushed sale. Undocumented add-backs. Letting the lease run short. Telling staff before there is a plan. Each of these can be fixed with time.
Questions owners ask
What is the first step to selling a small business?
Decide what you want from the sale and on what timeline. That shapes who you sell to and how the deal is structured.
Should I tell my employees I am selling?
Usually not until there is a clear plan and a buyer. Then tell key staff first, together with the buyer if possible.
Do I need a lawyer and an accountant?
Yes. Both should review any agreement before you sign.
Can I sell my business in stages?
Yes. A staged buyout or partial sale lets you step back over time. We offer minority, majority and partnership stakes.
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The first conversation costs nothing and stays between us. You set the timeline.
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