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Common Ground News

How do I sell my professional business?

Author

Olivia Shea

Updated on March 11, 2026

How do I sell my professional business?

1.Sell as You Serve: Great service providers create better futures for their clients that the clients didn't know were possible.
  1. Ask questions.
  2. Provide expert opinions.
  3. Work hard.
  4. Prepare.
  5. Are accessible.
  6. Build creative solutions.
  7. Deliver what you say you're going to deliver.
  8. Develop relationships.

In this regard, what is the best way to sell a business?

Make selling your business easy with these eight steps.

  1. Determine what your business is worth. A business is generally worth a multiple of its profit.
  2. Prepare your financials with your accountant.
  3. Field offers from potential buyers.
  4. Let the buyer perform due diligence.
  5. Close the deal.
  6. 3 Best Brokers To Sell Your Business.

Also, how much does it cost to sell a business? The upfront fees required to value, market and sell the business range form $1,000 – $2,500. For a larger middle market company. The upfront fees for the required services can range from $2,500 – $25,000+. The broker's commission can range from 3% to 10% of the total sale price.

In this manner, how do you sell professional services?

1.Sell as You Serve: Great service providers create better futures for their clients that the clients didn't know were possible.

  1. Ask questions.
  2. Provide expert opinions.
  3. Work hard.
  4. Prepare.
  5. Are accessible.
  6. Build creative solutions.
  7. Deliver what you say you're going to deliver.
  8. Develop relationships.

What documents are needed to sell a business?

Documents

  • Non-Disclosure Confidentiality Agreement. Personal Financial Statement Form for Buyer to Complete.
  • Financial Ratios and Trends.
  • Client List and Major Client Contracts.
  • Corporate or Schedule C Tax Returns for Past 2-3 Years.
  • Copies Proving Ownership of Patents, Trademarks and Other Intellectual Property.

How do I know what my business is worth?

Business valuation methods
  1. Price to earnings ratio (P/E) Businesses are often valued by their price to earnings ratio (P/E), or multiples of profit.
  2. Entry cost.
  3. Valuing the assets of a business.
  4. Discounted cash flow.
  5. Industry rules of thumb.
  6. A valuation based on what can't be measured.

Do I pay tax on selling my business?

If you are selling a business, the most important consideration (as far as tax is concerned) will normally be whether or not you will qualify for Entrepreneurs' Relief – this means that you only pay 10% Capital Gains Tax on any qualifying gains.

How can I sell my small business fast?

The seven steps to sell your business fast:
  1. Prepare a Business Summary.
  2. Market your business aggressively.
  3. Screen buyers and email them your Business Summary.
  4. Meet with qualified buyers and screen them appropriately.
  5. Accept an offer.
  6. Manage the due diligence process.
  7. Handle the closing.

What happens to cash in the bank when you sell a business?

The simple answer is NO. The business owner retains any and all cash or cash equivalents, such as bonds or any money market funds. Cash is deemed to include any petty cash on hand and funds in the company's bank accounts.

How do I sell my small business products?

Then, we'll discuss six key methods of marketing your products to increase leads and sales.
  1. Selling on Your Own E-Commerce Website.
  2. Selling on Other E-Commerce Platforms.
  3. Your Own Physical Storefront.
  4. Selling Your Product in Other Stores.
  5. Advertising on TV and Radio.
  6. Using Pay-Per-Click Ads.
  7. Search Engine Optimization (SEO)

How are you taxed when you sell a business?

If your business is a sole proprietorship, a sale is treated as if you sold each asset separately. Most of the assets trigger capital gains, which are taxed at favorable tax rates. But the sale of some assets, such as inventory, produce ordinary income.

How do you sell a struggling business?

Can You Sell a Failing Business: 7 Top Advice to do it Correctly
  1. Point out the value in the business' asset.
  2. Identify the problem and solve it.
  3. Be honest and patient with the buyer.
  4. Show that the business was once profitable.
  5. Clear all outstanding debts and legal issues.
  6. Get a broker to handle the deal.

Is reselling a good business?

Lower Financial Risk: A benefit to starting a reseller business is that the financial cost is low. You only pay for goods as customers order them through your reseller online shop. Thus, the financial cost for setup is low. Able to Set Your Own Margins: When you become a reseller, you're free to set your own margins.

How do I sell myself as a consultant?

Follow these steps to properly qualify new clients and sell your consulting services.
  1. Put Yourself in the Selling Mindset.
  2. Figure Out Your Potential Client's Needs.
  3. Get to Know the Decision Maker.
  4. Conduct a Needs Assessment.
  5. Tailor Your Pitch.
  6. Be Honest and Transparent.
  7. Build Your Pipeline.

How do you start a professional business?

  1. Step 1: Secure necessary licensures.
  2. Step 2: Establish the firm's legal identity.
  3. Step 3: Find smart ways to work with vendors.
  4. Step 4: Establish a place of business.
  5. Step 5: Market the firm to clients.

How do professional services business grow?

5 Proven Growth Strategies for Professional Services Firms
  1. Increase Market Penetration. This approach involves offering more services to the same client.
  2. Develop New Markets. Another relatively low-risk strategy involves finding new markets for your existing services.
  3. Develop Alternative Distribution Channels.
  4. Develop New Services.
  5. New Services to New Markets.

How do you sell a process?

Steps to selling
  1. Find customers. Research your potential customer base.
  2. Plan your approach. Review information you have gathered about your customers and their needs.
  3. Make initial contact.
  4. Identify specific customer needs.
  5. Select the appropriate product or service.
  6. Make the sales presentation.
  7. Handle objections.
  8. Close the sale.

How can I sell my services online?

How to Sell Your Services Online: 5 Steps to Getting Started
  1. Consider Your Service and Market. Before you even build out your website and start marketing your services you'll need to think about how you're going to position yourself.
  2. Build Out Your Website.
  3. Create the Necessary Pages.
  4. Generate Traffic and Clients.
  5. Do the Work!

What is professional service firms?

Professional services firms exist in many different industries. They include lawyers, advertising professionals, architects, accountants, financial advisers, engineers, and consultants, among others. Basically, they can be any organization or profession that offers customized, knowledge-based services to clients.

How do I sell my engineering services?

Here are 8 of the most important things you need to do to sell engineering services:
  1. Keep the fluff away.
  2. Start from where they are.
  3. Build trust.
  4. Engage people with a need.
  5. Focus on LCV.
  6. Be selective about your sales channels.
  7. Be realistic about whether or not you're a good fit.
  8. Be narrower than you want to be.

How do you package consulting services?

How to Package Consulting Services:
  1. Outline all of your consulting services.
  2. Evaluate your audience and the market.
  3. Determine the consulting service to package.
  4. Map out your process.
  5. Evaluate your costs and time.
  6. Determine pricing for your consulting package.
  7. Write your sales copy.
  8. Design your package landing page.

What is the rule of thumb for valuing a business?

The most commonly used rule of thumb is simply a percentage of the annual sales, or better yet, the last 12 months of sales/revenues. Another rule of thumb used in the Guide is a multiple of earnings. In small businesses, the multiple is used against what is termed Seller's Discretionary Earnings (SDE).

Can I sell my business without a broker?

Yes. It is possible to sell a business without a broker, just as it is possible to sue someone without the help of an attorney. Although a broker is not always necessary, brokers are useful and helpful in many instances, but there may be times when you can sell without the help of a broker.

How many times earnings is a business worth?

nationally the average business sells for around 0.6 times its annual revenue. But many other factors come into play. For example, a buyer might pay three or four times earnings if a business has market leadership and strong management.

How long does it take to sell business?

about eight to ten months

How much are closing costs when buying a business?

Buyers and sellers both generally have closing costs, and they typically range from 2 percent to 5 percent of the purchase price of the property. Closing costs can include real estate agent fees, transfer taxes, lender fees, title fees, and more.

How do you sell a business?

If you're considering selling your small business, consider these seven steps to stay on the offensive.
  1. Determine the value of your company.
  2. Clean up your small business financials.
  3. Prepare your exit strategy in advance.
  4. Boost your sales.
  5. Find a business broker.
  6. Pre-qualify your buyers.
  7. Get business contracts in order.

How much do business brokers make?

Typically, a business brokers commission is between 5-10% of the business sale price. This varies depending on the expected price of the business and the amount of work the broker predicts is involved in the sale.

What does a business broker do?

A business broker is an individual or company that assists mainly in the purchase and sale of small, main street businesses. Their tasks include helping companies to secure a favorable price, submit paperwork correctly and fulfill any licensing and permitting requirements.

What are business broker fees?

Commission Fees

Typically, the commission will be anywhere from 8-12% of the total sales price paid at closing. A broker's commission fees are outlined in advance of the sale in the marketing agreement (service contract) executed by the business owner and the brokerage firm.

Do I need a lawyer to sell my small business?

Do I Need a Lawyer for Help Selling a Business? If you are selling your business, you should consult with a skilled and knowledgeable business lawyer. The process of selling a business is complicated and requires a thorough knowledge of not only business law, but local laws as well.

How do I sell my small business without a broker?

How To Sell Your Business Without a Business Broker
  1. Delays Kills Deals. First, understand that delays kill deals.
  2. Market Small Businesses on the Web. Most small businesses these days are marketed on the Internet.
  3. Manage the Process.
  4. Keep on it Through Due Diligence.
  5. Pay Attention To Taxes.
  6. Use an Attorney.

What do you do with money from a business sale?

Here are 10 ways to do this:
  1. Structure the Transaction Beneficially.
  2. Seek Capital Gains Treatment.
  3. Take a Loss on Other Investments.
  4. Consider Tax-Free Investments.
  5. Remember Charitable Donations.
  6. Consider Gifts.
  7. Max Out Your IRA or Other Retirement Plan Contributions.
  8. Prepay Your State and/or Local Taxes.

Do I need a lawyer to buy a business?

A lawyer is needed for interactions, contracts, documentation and various transactions, but an accountant is necessary for the financial data, numbers and funds either being obtained or when buying a new business.

What is an IM when selling a business?

An IM or Information Memorandum is a working document provided to potential acquirers once vetted an NDA is signed. The IM describes the business and operations and often includes limited financial information. It is important to get this document right as it is one of the main selling tools used to elicit interest.

How do you write a bill of sale for a business?

Know How to Fill Out the Business Bill of Sale
  1. Date of Sale.
  2. Buyer's name and address.
  3. Seller's name and address.
  4. Business name and details, which include: State of incorporation. Address of the business's main headquarters. Assets, shares, personal property and other interests included with the company.

How long does it take to close a business sale?

On the average, this is about 3 to 6 months. It can take as little as a day to negotiate an offer to several weeks if either party is slow to respond. Once the business is under agreement, it usually takes 2 or 3 months to close on the sale.

Do you pay GST when selling a business?

If a business is sold and GST applies, the purchaser is usually required to pay an additional 10% of the purchase price at completion to cover the GST. The purchaser will be entitled to get the GST back, through a 10% input tax credit, but the purchaser will not get this input tax credit until after completion.

Can I sell my corporation?

When the owners of a corporation, the stockholders, want to sell the business they usually want to sell the stock. While the sale of the stock will accomplish the sale of the business, the business can be also be sold by having the corporation sell its assets or by having it merge with another company.

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