Businesses for Sale by Owner: How to Find and Evaluate Them
Dylan Gans
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6 min read
Businesses for sale by owner are businesses the owner is selling without a broker. You find them on marketplaces that accept owner listings, through local and industry networks, and by contacting owners directly. No intermediary has packaged or checked the numbers, so you take on more of the verification work yourself.
This guide is for buyers looking at owner-sold U.S. businesses. It covers why owners sell on their own, where to find these deals, how to verify the numbers, and how to protect yourself when there is no broker in the middle.
Why owners sell without a broker
Most owners who sell on their own want to avoid a broker commission, keep the sale quiet, or already know a likely buyer. That affects you in a few ways:
Pricing may be off. The asking price often reflects what the owner hopes to get. It may not match what similar businesses sold for or what a lender will finance.
Information is thinner. You may get a one-page summary instead of a full information package. Records may need cleanup before diligence.
You drive the process. No one else schedules calls, chases documents, or keeps the timeline moving.
The owner is emotionally close to the deal. Clear, respectful communication matters more when there is no intermediary to absorb friction.
Where to find businesses for sale by owner
Online marketplaces. Many business-for-sale sites accept listings from owners as well as brokers. Compare them in our guide to the best websites to buy a business.
Owners exploring interest. Some platforms show owners who have not hired anyone and are not actively selling, but would consider an offer. See how to find off-market businesses.
Local and industry networks. Trade associations, suppliers, chambers of commerce, and local CPAs and bankers often know owners who want to retire.
Direct outreach. Write to owners in your target industry and region. Some will say they were planning to sell anyway.
How to verify a by-owner deal
Treat the seller’s numbers as a starting point. SBA lenders verify the financial data behind a business valuation against the seller’s IRS tax transcripts. Do the same kind of checking before you spend money on lawyers and inspections.
Ask for | Why it matters | Red flag |
|---|---|---|
Three years of business tax returns | The numbers the owner reported to the IRS | Returns show much less profit than the listing |
Profit and loss statements and a balance sheet | Shows trends and the current year | Owner cannot produce them or they do not tie to the returns |
12 to 24 months of bank statements | Confirms that reported revenue was deposited | Large unexplained gaps between deposits and sales |
A list of add-backs with support | Explains how the owner got to cash flow | Add-backs with no receipts, or ongoing costs called one-time |
Customer list by revenue | Shows concentration risk | One customer is a large share of sales |
The lease and key contracts | Confirms you can keep the location and customers | Lease ends soon or cannot be assigned |
A lien search | Finds loans secured by the assets you are buying | Liens the seller has not disclosed |
For the full set of questions, see questions to ask when buying a business. Use our guide on how to evaluate a business for sale to check whether the asking price fits the cash flow.
How to protect yourself without a broker
Hire your own deal attorney and a CPA who has worked on acquisitions. They work for you, not the seller.
Sign an NDA before you receive financials. It also makes the owner more comfortable sharing them.
Put the key terms in a letter of intent with an exclusivity period and a clear due diligence window.
Use escrow or the lender’s closing process to move money. Never wire funds directly to the seller before closing documents are signed.
Agree on how the price is allocated among assets. In an asset sale where goodwill attaches, both buyer and seller report the sale to the IRS on Form 8594.
Write the seller’s transition help into the purchase agreement: how many weeks, how many hours, and what happens if they leave early.
If you finance with an SBA loan, the seller of a first acquisition cannot stay on as an owner or employee. The seller can work as a consultant for up to 24 months.
How Baton helps buyers
Baton is a marketplace for buying and selling U.S. businesses worth roughly $500K to $100M. As of November 2026, the Baton marketplace shows 1,753 businesses. Baton says every business on its marketplace has financials reviewed by Baton. That takes some of the guesswork out of comparing owner-provided numbers.
Listings show asking price, gross revenue, adjusted cash flow, and the cash flow multiple.
Some owners on Baton are exploring interest rather than running a formal sale. You can express interest, and the owner is notified and can view your profile.
Category pages such as building and construction let you filter by cash flow, state, and asking price. You can save a search for email alerts.
One platform NDA opens detailed financials on listed businesses. Read how buying with Baton works.
If you own a business yourself and are weighing a sale without a broker, Baton’s comparison of ways to sell covers the options.
FAQ
Are businesses for sale by owner cheaper? Not always. The owner saves a broker commission, but the asking price often rests on the owner’s expectations rather than market data. Check it against the cash flow and what a lender will finance.
Where can I find businesses for sale by owner near me? Search business-for-sale marketplaces filtered by your state. Ask local CPAs, bankers, and trade associations for introductions. Contact owners in your target industry directly.
How do I verify a seller’s financials when buying a business? Compare the profit and loss statements to three years of business tax returns and to bank statements. Ask for support for every add-back. If you use an SBA loan, the lender will also verify the seller’s financial data against IRS tax transcripts.
Do I need a lawyer to buy a business from the owner? Yes. A deal attorney drafts or reviews the letter of intent and purchase agreement and checks liens and the lease. The attorney also makes sure liabilities stay with the seller where intended. Without a broker, that protection matters even more.
Can I get an SBA loan to buy a business for sale by owner? Yes, if you and the business meet SBA 7(a) rules. As of October 2026, a first acquisition needs at least a 10% equity injection. Above a $350,000 purchase price, the lender orders an independent valuation that must support the price. Our guide on how to buy a small business explains the steps.
Sources
SBA SOP 50 10 8.1, effective October 1, 2026, Appendix 15, changes of ownership
Baton marketplace, checked November 2026
Baton: Off-market businesses for sale, checked November 2026
Baton: Building and construction businesses for sale, checked November 2026
Baton: How buying with Baton works, checked November 2026