10 Mar The Timeframe to Sell a Business: Explaining the 7/7/70 Rule
Ask Me Anything: The Nuts and Bolts of Selling a Business in 2025
Question:
What is the timeframe for a business sale these days?
Answer:
We typically tell people to expect a 7 / 7 / 70 timeframe:
- 7 Weeks: To prepare the Confidential Information Memorandum (CIM).
- 7 Months: To find a buyer and negotiate a deal.
- 70 Days: To close the sale once you have a signed Letter of Intent (LOI).
While the process can certainly move much faster, this is the realistic timeline for an owner who is not under pressure and wants to secure a premium value for their business.
During the 2024 Managing and Accounting Practice (MAP) Conference hosted by the Massachusetts Society of CPAs (MassCPAs), Beacon Equity Advisors presented an AMA (Ask Me Anything) to the CPA firm partners attending. We thought we would share some of their questions and our answers.