UK business broker fees, exposed
A UK business broker typically charges a £2,000–£15,000 upfront retainer, a 5–10% success fee on the sale price, £500–£1,500 in packaged marketing costs, and locks you into 6–24 months of exclusivity. On a £1m sale, that's £57,000–£115,000 all-in [Source: Sell Ltd broker fee survey, Q2 2026]. Move the slider below to see the real numbers on your business.
By Chris at Sell LtdLast updated The real-cost calculator
Set your expected sale price. We apply each broker's typical retainer, success fee and marketing charge, then add VAT. Sourced from published price guides and a Sell Ltd survey of 40+ UK brokers.
| Broker | Retainer | Success fee | Marketing | Total (ex VAT) | Total (inc VAT) |
|---|---|---|---|---|---|
| KBS Corporate | £12,000 | £40,000 (4%) | £1,500 | £53,500 | £64,200 |
| Knightsbridge Business Sales | £8,000 | £60,000 (6%) | £1,000 | £69,000 | £82,800 |
| Hornblower Business Brokers | £5,000 | £80,000 (8%) | £500 | £85,500 | £102,600 |
| Business Sale Report | £3,500 | £80,000 (8%) | £750 | £84,250 | £101,100 |
| Regional high-street broker | £2,500 | £100,000 (10%) | £400 | £102,900 | £123,480 |
| Sell Ltd (AI-first) | £0 | £15,000 (1.5%) | £0 | £15,000 | £18,000 |
Sources: KBS Corporate published guidance, Knightsbridge Business Sales client contracts, Hornblower price guide, Business Sale Report public pricing, Sell Ltd survey of 40+ UK brokers (Q2 2026). Numbers are indicative midpoints — individual mandates vary. VAT at the standard 20% rate.
The hidden fees nobody talks about
The broker earns their full success fee if you sell to any buyer introduced during the mandate — even after termination. 12–24 month tails are standard. Cap it to a named written list.
A £50,000 or £75,000 floor on the success fee, regardless of sale price. Devastating on smaller deals. Always negotiate this out on sub-£500k mandates.
Success calculated on the total deal value including assumed debt, working capital and earn-outs — not what actually reaches your bank account. Insist on 'consideration to seller' as the base.
'Enhanced marketplace listing', 'featured slot', 'newsletter placement' — often billed as extras. Often the broker's own website, at zero marginal cost.
If a deal collapses and you re-list, some contracts charge a fresh preparation fee. Ask this question in writing before signing.
Some brokers pay finders' fees to third parties out of your success fee, others charge them on top. Ask explicitly whether the fee you're quoted is inclusive of all onward commissions.
Related in this cluster
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- AI-first business sale vs traditional brokerSide-by-side workflow, cost, control and time-to-close
- Business broker alternative UK — the modern wayThe modern stack that replaces a traditional broker mandate
- How UK business brokers actually earn their feeWhat a broker really does — hour by hour, stage by stage
- Upfront fees vs success fees — buyer/seller trap explainedThe trap explained with worked examples
- Broker exclusivity clauses — what to watch forAnnotated clauses, red flags and what to negotiate out
- How to fire a business broker (and what it costs)Notice periods, tail fees and the letter you actually need
- Complaints against UK business brokers — your optionsTrade body → ombudsman → small claims — the real routes
Frequently asked questions
What is a typical UK business broker fee?
A typical UK business broker charges a £2,000–£15,000 upfront retainer plus a 5–10% success fee on the completed sale price, plus £500–£1,500 in packaged marketing costs. Exclusivity of 6–24 months is standard. On a £1m sale, total broker cost sits between £57,000 and £115,000.
Are broker retainers refundable?
Almost never. UK broker contracts routinely define the retainer as a preparation fee for work done — valuation, teaser drafting, IM production, marketing setup. Even if you never sell, that work is chargeable. Always confirm the refund terms in writing before signing.
What is a broker success fee?
The percentage of the final sale price the broker earns on completion. UK success fees run from 3% (large deals via corporate finance boutiques) to 12% (small high-street broker mandates). Always confirm the base — some brokers calculate on 'gross transaction value' including debt, others on 'consideration to seller'.
Why do brokers charge a retainer?
Two honest reasons: (1) to cover the real cost of preparation for mandates that never complete (roughly half don't), and (2) to lock in commitment from the seller. The uncomfortable reason: it de-risks the broker's revenue even if they never find a buyer.
Can I negotiate broker fees?
Yes — always. On a mid-sized mandate a broker will typically waive 25–50% of the headline retainer and cut a percentage point off the success fee if you push. Marketing packages, minimum fees on the success side and exclusivity length are all negotiable in writing.
What's a 'tail fee' or 'success clause'?
A clause that entitles the broker to their full success fee if you sell to any buyer introduced during the mandate — even after the mandate ends. Tail periods of 12–24 months are common. Always cap the tail to buyers named on a written introduction list.
Do brokers charge VAT on top?
Yes. VAT-registered brokers charge 20% VAT on retainers, marketing packages and success fees. On a £50,000 success fee, that's £10,000 of VAT on top. Businesses that can recover VAT are unaffected; personal sellers can't recover it.
What are 'marketing costs' really?
Advertising your business on marketplaces like BusinessesForSale, Rightbiz, Daltons, and running the broker's own database push. Usually £500–£1,500 packaged upfront, sometimes billed on top. Ask for a breakdown — the marginal cost to the broker is often under £100.
Is a no-upfront-fee broker cheaper?
Usually the opposite. A broker who takes no retainer typically prices in a higher success fee (10–15% instead of 5–8%) and a longer exclusivity period. Do the maths on your likely sale price before deciding.
How does Sell Ltd charge compared to a broker?
Sell Ltd charges no retainer, no packaged marketing fee, and a 1.5% success fee on completion. On a £1m sale, that's £15,000 all-in — versus £57,000 to £115,000 for a traditional broker. Free to list, no exclusivity, cancel at any time.
Which broker is cheapest overall?
Cheapest headline retainer doesn't mean cheapest overall. Once you factor in a higher success percentage, VAT, marketing packages and exclusivity opportunity cost, the sub-£3,000 retainer brokers often work out more expensive than the £5,000+ ones. Model the actual sale price scenario before choosing.
Are there any regulated UK business broker fee rules?
No. UK business broking is unregulated. There is no FCA authorisation, no fee cap, no mandated fee disclosure. Trade bodies (IBBA, BTA) publish voluntary codes but have limited enforcement. Read every clause in every contract.
Skip the retainer entirely
Sell Ltd charges 1.5% on completion, nothing upfront, no exclusivity. Chris drafts your IM, lists you confidentially and reaches out to real strategic buyers.