Where these businesses actually are

The short version

• Most small businesses for sale are listed with a business broker. Many good ones are never listed at all.
• Listed businesses are found on online marketplaces, broker websites and broker email lists.
• Unlisted businesses are found by reaching owners directly or through people who know them.
• Most buyers who close use more than one channel at the same time.
• Your buy box tells you which channels to spend your time on.

Listed businesses

Online marketplaces. Several websites list businesses for sale from many brokers and some owners. They are the easiest place to start and the most crowded. The best listings draw many inquiries in the first few days.

Broker websites. Many brokerages list their businesses on their own sites, sometimes before or instead of the marketplaces.

Broker email lists. Brokers often send new listings to buyers on their list first. Getting on those lists, and being taken seriously, is the subject of Lesson B4.2.

Unlisted businesses

Many owners who would sell have not hired a broker or told anyone. Some have never thought about it until someone asks. These sales are often called off-market.

Reaching owners directly. Letters, calls and introductions to owners of businesses that fit your buy box. Lesson B4.3 covers how.

Your network. Accountants, attorneys, bankers, insurance agents and industry suppliers often know which owners are thinking about retiring.

Industry associations and events. Owners in a trade often know each other, and who is getting ready to step back.

Buy-side advisors. Some advisors search for unlisted businesses on your behalf. Lesson B2.3 covers them.

Listed or unlisted?

Listed businesses come with a broker, a package of information and a process. More buyers see them, so competition is higher, and the asking price is set to attract offers.

Unlisted businesses have fewer competing buyers and more room to shape the deal. They take longer to find, the owner may not be prepared and you often have to help the owner through the process.

Most buyers who close look at both.

Let your buy box decide

A narrow buy box in a specific industry often points to direct outreach and industry networks. A broader buy box in common industries points to marketplaces and brokers. Either way, decide where you will spend your hours each week.