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Sellers' Costs When Selling a Business

 

 

There are different costs that sellers should consider when selling a business, which include:

Capital Gains Tax on sale of business. It is best to consult your accountant to understand the tax impact of the sale.

Other Tax Liability – state, county, city taxes will be due prior to or at the time of sale

Landlord Fees – repairs and back rent • Escrow Fees – For example, for a business that is sold for $200,000, escrow fees can vary from $1,500 to $3,000 depending on escrow companies used and services rendered.

Broker Commission - for services rendered. The commission is typically a percentage of the purchase price.

Advisor Fees – Fees related to a CPA, attorney, or wealth manager.