Buyer Representation Terms & Fee Schedule

Overview

EDGE Business Advisors (“EDGE”) offers professional Buyer Representation services to individuals and companies seeking to acquire a business. Buyers can choose between two levels of engagement depending on their needs. Each option provides expert guidance and representation throughout the acquisition process.

By engaging EDGE, the Buyer agrees to the following terms and fee schedule.

1. Engagement Term

All Buyer Representation Agreements with EDGE are valid for 18 months from the date of signing.
To begin, the Buyer must sign a written Buyer Representation Agreement with EDGE Business Advisors.

2. Full Search Representation

This option is designed for buyers who want EDGE to actively search for business opportunities on their behalf.

Upfront Fee: $5,500 (non-refundable)
This fee covers business search and outreach, deal sourcing, valuation guidance, offer strategy, and coordination with lenders and attorneys.

Success Fee: 4% of the total purchase price (including any assumed debt or seller financing).
The Success Fee is earned and payable at closing and is typically disbursed through the closing attorney or escrow agent.

Offset by Seller Advisor:
If the Seller’s Advisor provides a co-brokerage or referral fee to EDGE, that amount will be credited toward the Buyer’s Success Fee.
If the referral or co-brokerage fee equals or exceeds the 4% Success Fee, no additional Success Fee is owed by the Buyer.
If it is less than 4%, the Buyer will pay the difference at closing.

Example:
If the Seller’s Advisor pays EDGE a 2% co-broke and the total purchase price is $1,000,000, EDGE would receive $20,000 from the Seller’s Advisor. The Buyer would then owe the remaining 2% ($20,000) at closing.

3. Single Transaction Representation

This option is for buyers who already have a business opportunity identified and would like EDGE to represent them for that specific transaction.

Engagement Fee: $500 (non-refundable)
This begins the engagement and includes valuation review, deal structure planning, and preparation of the Offer to Purchase or Letter of Intent.

Due Diligence Fee: $2,500 (due only if the offer is accepted)
This phase includes guidance through due diligence, assistance with obtaining financing, and transaction coordination through closing.

Success Fee: 3% of the total purchase price (including any assumed debt or seller financing).
The Success Fee is earned and payable at closing.

Offset by Seller Advisor:
If the Seller’s Advisor provides a co-brokerage or referral fee to EDGE, that amount will be credited toward the Buyer’s Success Fee.
If the co-brokerage or referral fee equals or exceeds 3%, the Buyer owes no additional Success Fee.
If it is less than 3%, the Buyer pays the difference at closing.

4. Term and Coverage

The Buyer Representation Agreement applies to any business opportunity that EDGE introduces, evaluates, or negotiates on behalf of the Buyer during the 18-month term.
If the Buyer acquires a business that EDGE introduced or assisted with within six (6) months after the agreement’s termination, the Success Fee will still apply.

5. Payment Terms

All fees are due as stated in the schedule above.
Success Fees are due upon closing and are typically paid through the closing attorney or escrow agent at settlement.

6. No Refund Policy

All engagement and due diligence fees are non-refundable once services begin, regardless of whether a transaction is completed.

7. Engage With EDGE

Engage with EDGE Business Advisors at inquire@buyselledge.com to discuss your search or acquisition and sign a contract to begin your engagement.