Business Broker vs Real Estate Agent: The Real Differences That Decide Your Cheque
Short version: Real estate agents sell property. Business brokers sell operating businesses (cashflow, team, customers, contracts) — sometimes with no property involved. The work, pricing logic, confidentiality, and legal boundaries are different. Choose based on what you want to manage: open marketing and viewings vs discreet succession and multi-party negotiations.
Table of Contents
1) Scope: What’s actually being sold
Real estate agent: sells/leases property or land; the asset is physical. Marketing is public by design.
Business broker: sells an operating concern — cashflow (SDE/EBITDA), team, contracts, brand, systems, often without selling property. Marketing is usually confidential. Learn the role here: What Does a Business Broker Do?
2) Pricing logic and valuation
- Property: comparable sales, yield, square-foot metrics, location premiums.
- Business: normalised earnings (SDE/EBITDA), add-backs, working capital, multiples by sector, buyer synergy. Narrative matters (customer concentration, staff dependence, handover risk). Start here: Become a Business Broker (Start Here)
3) Licensing & compliance (important)
Rules vary by jurisdiction. In some places, certain business transfers intersect with real estate or securities rules (eg, share sales). In others, asset sales can be brokered under different frameworks. Always check locally and involve licensed professionals where required. Overview: Do You Need a Licence to Be a Business Broker?
4) Process, confidentiality, and timelines
- Real estate: public listing, viewings, offers, conveyancing. Timelines often shorter and more predictable.
- Business: mandate → teaser → NDA → info pack → diligence → negotiation of price/terms → handover. Timelines are typically longer due to diligence and transition planning. See the First-Deal Playbook.
5) Fees & earnings reality
Property agents and business brokers often work on a percentage success fee. Business cheques can be larger per close because the asset is a cashflow system, not just a building, but closes are less frequent and the work is deeper. Realistic income framing: How Much Do Business Brokers Make?
6) One-page comparison table
| Dimension | Real Estate Agent | Business Broker |
|---|---|---|
| Asset sold | Property/land/lease | Operating business (cashflow, team, contracts, IP); may exclude property |
| Go-to valuation logic | Comps, yield, £/sq ft | SDE/EBITDA, add-backs, sector multiples, buyer synergy |
| Marketing style | Public listings/portals, open exposure | Confidential teasers, NDAs, curated buyer shortlists |
| Primary risks | Title, survey, financing | Misstated financials, leaks, staff/customer churn, licence boundaries |
| Timeline | Generally shorter; more predictable | Generally longer; diligence + handover milestones |
| Fee trigger | Completion of sale/lease | Completion + sometimes staged earn-outs or milestone releases |
| Confidentiality | Usually low to moderate | High; leaks can damage value |
| Best background | Sales/marketing, local area knowledge | Owner-operator, property/finance/consulting, calm negotiator |
| Daily work feel | Viewings, public enquiries, vendor updates | Mandates, analysis, curated outreach, negotiations, transition planning |
| Switching path | — | Common for agents with owner access; learn valuation & confidentiality |
7) Who should pick which path?
- Pick real estate if you enjoy public marketing, steady deal cadence, and visible inventory dynamics.
- Pick business brokerage if you prefer discrete advisory work, complex negotiations, and are comfortable with financials/NDAs — and you want fewer, larger cheques. Learn the craft here: Broker Role.
Transition from Property to Business Deals (without starting from zero)
Use your existing owner access and local credibility. We give you valuation logic, mandate protection, confidential outreach, and negotiation structure — so the first cheque is real, not theory.
Apply for the 30-Day Business Broker Programme →9) FAQ
Do I need a different licence to broker businesses?
It depends on your jurisdiction and whether you are brokering assets vs shares, and whether property/leases are part of the deal. Get local legal/accounting advice. Start with our overview: Licensing for Business Brokers.
Is business brokerage “harder” than property?
It’s different. You handle confidential information, price a living system (not only a building), and negotiate staff/customer handover. The reward is fewer but larger cheques if you close well. See the First-Deal Playbook.
Can I practice both property and business sales?
Many do, especially in local markets where owners sell both premises and operations. Keep compliance clean, disclose roles, and avoid conflicts. When in doubt, separate mandates and get legal advice.
Where should I start if I’m a property agent moving across?
Begin with owners you already know who are tired or retiring. Secure a signed engagement, protect your fee, and approach 2–5 logical buyers quietly. Learn the method in Start Here and join the 30-Day Programme.