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MarginGraph

FAQ

Selling

7 published.

1 min

What is an earn-out?

Part of the price paid later, conditional on performance. It is what a buyer proposes when they cannot price a risk — most often customer concentration or owner dependence.

1 min

How long does selling a business take?

Six to twelve months from first conversation to completion, plus twelve months of preparation beforehand if you want the outcome to be good.

1 min

Should I use a broker to sell my business?

Usually yes above €1M of value, where access to buyers and process management earn the fee. Below that, the fee is a large share of the proceeds.

1 min

What is due diligence?

The buyer's verification of everything you have claimed. It typically runs six to twelve weeks, and its purpose is to find reasons to adjust the price you already agreed.

1 min

How do I prepare my business for sale?

Twelve months, in four blocks: reduce owner dependence, clean the accounts, improve revenue quality, clear the legal ground. The first block matters most and takes longest.

1 min

What do buyers look at first?

Revenue concentration and owner dependence, usually within the first hour and usually before the profit figure. Both answer whether the business survives the transaction.

1 min

When is the best time to sell my business?

After two years of demonstrable improvement, not after one exceptional year. Buyers pay for trends, and a single strong year raises the question of why you are selling now.