What Does Advice Cost When Selling a Business, and When Does It Pay Off?

There's no single fixed price for advice when selling a business — it depends on which fee model is agreed, how complex the deal is, and how much of the process the advisor handles. Here are the most common models, and how to assess whether it's worth the money.

The most common fee models

• Fixed price: A pre-agreed amount for a clearly defined task, e.g. drafting a transfer agreement. Gives predictability, but fits best for limited tasks.
• Hourly rate: You pay for the time the advisor actually spends. Can be advantageous for smaller, defined tasks, but makes the total price harder to predict in advance.
• Results-based fee ("success fee"): A percentage of the sale price, only paid once the deal is completed. Means the advisor's interest is more closely aligned with yours — if the sale doesn't succeed, you typically pay less or nothing.
• Combination: A smaller fixed fee along the way in the process, combined with a results-based portion at closing. Often used for larger deals, so the advisor is also compensated for the work along the way, regardless of the outcome.

When does it pay off?

The key question isn't whether advice costs money — it does — but whether the total gain outweighs the expense. This is typically the case when:

• The advisor can negotiate a significantly better price or better terms than you would have achieved yourself.
• The process becomes significantly faster, because the advisor already has a network of relevant buyers.
• The deal is complex enough that mistakes along the way — legal, tax-related, or in the negotiation — could genuinely cost you more than the fee.
• You lack the time to run the process yourself alongside day-to-day operation of the business.

When does it make less sense?

If the business is small, the buyer is already found, and the deal is simple, a full advisory package will often be an unnecessary expense. Here, a self-service solution — possibly supplemented with one-off assistance from a lawyer or accountant on the most critical points — can be the more sensible choice.

Get the price in writing before you start

Whichever model you choose, the fee and the assumptions it's based on should always be agreed in writing before work begins — this avoids ambiguity if the deal drags on or develops differently than expected.

Want a specific quote based on your situation? Book a free, no-obligation call about our Advisory & Mediation package — the price is always set individually, so you know exactly what you're paying for.