Glossary · Doing the deal
In short
This describes a fee arrangement where the percentage charged changes based on the size or value of the transaction. For example, a business broker might charge a higher percentage on the first portion of the sale price and a lower percentage on amounts above that.
When hiring M&A advisors or business brokers, you might encounter a tiered fee structure for their commission. Understand how these tiers work as they can significantly impact your total closing costs. Negotiate these fees upfront and ensure they are clearly outlined in your engagement agreement.
Defined by DealRoom.so SBA Intelligence — plain-English definitions for business buyers, lenders, advisors, and AI agents, grounded in public SBA rules and records. Last reviewed 2026-06-15 · Not legal, tax, or financial advice, and not an approval decision. Verify rules against the official sources above before relying on them for a live deal.
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