Selling Your Business — the questions owners actually ask

Most Nexus Bridge engagements close in 6-9 months from listing to close. The listing-to-LOI period typically runs 60-120 days for well-prepared businesses, followed by 45-90 days of due diligence and closing. Very clean businesses in high-demand sectors (HVAC, medical, specialty distribution) can close faster; complex businesses with customer concentration or operational issues take longer.

No — not until you're ready. Every buyer signs an NDA before receiving any information about your business. Our confidential marketing ensures your employees, customers, landlord, and competitors don't know your business is for sale until you want them to. Most sellers tell key employees only after signing an LOI or during due diligence with buyer permission.

Yes, and it's often the best time to get certainty on value. A sale provides an independent, market-tested business valuation rather than relying on a dueling appraisal. We've closed multiple deals during divorce proceedings — we'll coordinate with your attorney to ensure the sale timing works with the legal process.

Yes. SBA loans get paid off at closing from the sale proceeds. Unpaid state or federal taxes can also typically be resolved at closing — NJ's bulk sales process (Form C-9600) is specifically designed for this. If you have large IRS or NJ Division of Taxation balances, we'll coordinate with your CPA to structure an escrow that satisfies the tax authorities.

Usually yes, via a lease assignment. The landlord's consent is almost always required, and strong buyers are typically approved quickly. If your lease has only 1-2 years left, we may push for a lease extension as part of the deal — longer remaining term materially improves valuation.

Yes, but the franchisor has approval rights over the buyer. Most national franchises have standardized transfer processes. Factor in 60-90 extra days for franchisor approval, and expect a franchise transfer fee ($5K – $25K typical). Franchise businesses often trade at premiums because brand + system de-risks the deal for buyers.

Customer concentration is the #1 diligence issue. Strategies we use: (1) structure an earnout that bridges customer-retention risk, (2) diversify revenue in the 12 months before listing, (3) lock in a multi-year contract with the key customer before sale, or (4) target strategic buyers (not financial) who can absorb concentration risk more easily.

Seller's Discretionary Earnings is the total economic benefit flowing to the owner from the business: net income + owner's W-2 compensation + owner's benefits (health insurance, car, phone) + depreciation + interest + one-time non-recurring expenses. It's how buyers of Main Street businesses (under ~$1M profit) evaluate and price the business.

SDE includes the owner's compensation as a benefit (because the buyer is essentially buying a job). EBITDA excludes owner compensation (the buyer is hiring management and buying operations, not a job). Small deals use SDE multiples (typically 2-4×). Larger deals ($1M+ profit) use EBITDA multiples (typically 4-7×+).

Both. Our marketing drives inbound inquiries from BizBuySell, BusinessesForSale, our email list, and referral networks. We also do outbound — targeted outreach to strategic acquirers, PE-backed search funds, and private investors who are actively acquiring in your space. For specialized businesses, outbound usually finds the best buyer.

You don't legally need one, but unrepresented sellers typically sell for less and with more failed deals. A broker screens buyers (most small-business tire-kickers are not qualified), protects confidentiality, negotiates on your behalf, coordinates due diligence, and manages the 50-80 distinct steps between LOI and close. The commission typically pays for itself in the price delta between DIY and broker-represented sales.

10% success-only on Main Street deals. No retainers, no listing fees, no upfront costs. If we don't close your deal, you owe us nothing. For larger deals, we use a sliding scale (Modified Lehman) that reduces the percentage on higher price brackets.

Yes. We have a Buyer Screening program that matches qualified, NDA-signed buyers to listings. We represent sellers, so we don't charge buyers fees — but we do vet buyers thoroughly before releasing any seller information.

Yes. Employee buyouts are common — we can structure a purchase price, seller financing, and transition plan. The tax and legal structure matters: we'll coordinate with your CPA on whether a straight asset sale, ESOP, or installment-to-key-employee structure is best for your situation.

Very common. Most sales include a 30-90 day transition period during which you stay involved. Some sellers negotiate longer consulting agreements (6-24 months) to ensure customer relationships and team continuity. Consulting pay is taxed as ordinary income — structure matters.