How to Sell a Business in Australia: The Step-by-Step Owner's Guide

Selling your business may be the most significant financial decision of your life. It is also one of the most misunderstood. So here is your step-by-step guide on how to sell a business in Australia.

Most owners think selling is just about listing with a broker and waiting for offers. The truth? If you want the best outcome, you need a structured approach, not a rushed sale.

This guide gives you a clear, Australian-specific roadmap to follow. Whether you're ready to sell now or in two years, these steps will help you exit on your terms.

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Step 1: Get a Realistic Valuation

Before you do anything, you need to understand what your business is worth today. Not what you hope it's worth. Not what someone else's business sold for. Your actual valuation.

Use your most recent EBITDA and compare against market multiples for your industry. Or better yet, get a personalised Business Valuation Report based on your numbers and sector benchmarks.

Want one for free?
Get your valuation report here

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Step 2: Get Sale-Ready

A high-value business is clean, systemised and not reliant on the owner.

Focus on:

• Removing personal expenses from your books
• Delegating key decisions
• Documenting standard operating procedures
• Building a team that can run without you

Want to assess your readiness fast?
Try the Business Sale Readiness Report

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Step 3: Decide How You Will Sell

There are three common methods in Australia:

1. Business Broker
   Best for small to mid-sized businesses. Brokers help market the business, find buyers and manage negotiations.
2. Private Sale
   Useful if you already have a buyer or want to approach competitors, staff or suppliers directly.
3. M&A Advisor or Corporate Finance Specialist
   Ideal for businesses above $5M in value or with complex ownership structures.

Each has pros and cons. The key is to match your business to the right sale path.

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Step 4: Prepare for Due Diligence

This is where most deals fall apart. Buyers will inspect every detail of your business.

Have the following ready:

• Three years of financials (P&L, balance sheet, cash flow)
• BAS statements, tax returns and payroll records
• Staff contracts and retention plans
• Supplier and client agreements
• Lease agreements and asset registers
• IP documentation and trademarks

Create a digital folder (a data room) and keep it updated.

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Step 5: Clarify Your Ideal Deal Structure

Selling your business is not just about price. It is also about terms.

Decide:

• Your minimum price and walk-away number
• Whether you're open to staying involved for a handover period
• How much vendor finance, if any, you're willing to offer
• Your preference for a lump sum vs earn-out payments

A great offer with the wrong structure can still be a bad deal.

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Step 6: Market Your Business Strategically

If you are using a broker, they will manage this. If you are selling privately, make sure you:

• Prepare a clear information memorandum (IM)
• Qualify buyers before giving access to details
• Use a confidentiality agreement (NDA)

Professional presentation builds trust and helps you justify your valuation.

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Step 7: Negotiate and Close the Deal

Once an offer comes in, the negotiation process begins. Focus on:

• Price
• Terms (e.g. settlement period, handover, working capital)
• Warranties and representations
• Transition plans

Use an experienced business solicitor to handle the contract. You do not want to miss key clauses that could hurt you later.

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Step 8: Plan Your Life After the Sale

It is easy to get so focused on the transaction that you forget about what happens next.

Think about:

• Your next project, investment or role
• How you will manage the payout (tax, financial planning)
• Emotional impact of stepping away

Clarity here can help you avoid post-sale regret.

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Selling a Business in Australia Takes More Than a Broker

Remember:

1. Know what your business is worth
2. Get your business buyer-ready
3. Choose the right sale path
4. Prepare for due diligence
5. Clarify your ideal deal structure
6. Present your business like a pro
7. Negotiate smart
8. Plan for what comes next

Selling your business is not a transaction. It is a transformation. And it starts with being prepared.

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Ready to Get Started?

📩 Get your free Business Valuation and Sale Readiness Reports
🔗 Access the reports here

📞 Book a strategy call with Sam
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