Updated 3 November 2026
Most owners only sell a business once. So when it's time, the first question is simple: who do I call? In South Africa the two usual answers are a business broker or an M&A advisor. They sound alike, and both will help you find a buyer. What happens after that buyer appears is where they part ways.
What a business broker does
A broker works a lot like an estate agent. They list your business on a website or in a newsletter, field calls from interested people and pass serious ones to you. When someone wants to buy, the broker's main job is done. The paperwork usually goes to a lawyer you appoint and pay separately.
That works for some sales — a small shop, a franchise outlet, a business with few staff and simple contracts. It is quick to set up and many brokers only charge when the business sells.
What an M&A advisor does
M&A simply means mergers and acquisitions — businesses being bought and sold. An M&A advisor runs the whole sale, not just the search. That means pricing the business properly, approaching buyers quietly instead of advertising, checking that buyers can actually pay, then writing and negotiating the sale agreement and staying with you until the money lands.
When the advisor is also a legal firm, the person negotiating the price is the same person writing the contract. Nothing gets lost in a hand-over between a salesperson and a lawyer who joined at the end.
The questions that tell them apart
- Who writes the sale agreement? If the answer is 'your lawyer', budget for a second set of fees and a second set of opinions.
- How do buyers hear about my business? A public listing reaches more people, but it also reaches your staff, customers and competitors.
- How do you check a buyer? Ask what proof of funds they ask for and when a confidentiality agreement is signed.
- Who deals with tax, employees and customer contracts? These are where most deals stall. Someone has to own them.
- When does your job end? On the day a buyer says yes, or the day you're paid?
When a broker is the better fit
If your business is very small, has no company structure, few employees and you want a fast sale with little negotiation, a good broker may be all you need. Be honest about what your business is and what you want from the sale.
When you need an advisor
- Your business is a company with shareholders, loans or property inside it.
- You have staff who need to move across to the new owner properly.
- Big customers or suppliers are on contracts that a buyer will want to keep.
- You want confidentiality — nobody should know until the deal is signed.
- The amount involved is large enough that a badly written clause could cost more than the fee.
