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Business brokers typically work on commission, earning a "success fee" only when a sale closes.
For small businesses (Main Street deals), commissions usually range from 8 to 12 percent of the sale price, with many brokers setting a minimum fee, often $10,000 to $15,000, to cover smaller transactions.
For larger, middle-market deals, percentages shrink as deal size grows. Many brokers use a sliding scale like the Lehman Formula (5% on the first million, 4% on the second, and so on) or a "double Lehman" version with higher rates.
Some brokers also charge upfront retainers or consulting fees, though most compensation comes from the final commission at closing.