The Big Question
How Much Does It Cost to Buy a Small Business?
Four numbers decide it: the price, the cash you bring, the deal costs, and the search itself. Here they are with sources.
Median Closed Sale Price
$350,000
Across all listed businesses sold in 2025
Median SBA Acquisition Loan
$700,000
FY2025 change-of-ownership 7(a) loans
The Price Itself
Small businesses are priced on earnings, not assets or dreams. The median business sold through the largest listing marketplace closed at $350,000 in 2025, per the acquisition statistics; the median SBA-financed acquisition runs roughly twice that, because bank-financeable businesses skew larger. What a specific business is worth is its earnings times an industry multiple: compute the earnings with the SDE Calculator and apply the cited band with the Business Valuation Calculator.
Cash at Close
SBA 7(a) financing, the standard structure at this scale, requires an equity injection of at least 10% of the total project cost. On a $700,000 deal that starts at $70,000, but the honest number is higher: lenders finance the price, while working capital, inventory, and closing costs ride on top. The Sources & Uses Builder totals the real project cost, and a seller note on full standby can cover part of the injection under current rules. Model your ceiling with the SBA Acquisition Calculator, which runs the math at today's rates (typically around 9%).
The Deal Costs Buyers Miss
Between LOI and closing, real money goes out before you own anything: a quality of earnings review (one provider we review publishes $11,200 to $16,500 for full engagements), legal work on the purchase agreement, lender fees, and the SBA guaranty fee. Budget for diligence you might walk away from; the ability to say no is what the money buys. The Diligence Checklist shows the work these dollars pay for.
The Search Itself
The least discussed cost is the months of living expenses while you look. A self-funded search run alongside a job costs discipline; a full-time search costs runway. The Search Runway Calculator totals living costs, deal war chest, and buffer for your numbers, and stage 3 of the Roadmap covers funding structures for the search phase itself.
Putting It Together
A realistic floor for buying a bank-financeable business: roughly 10% to 15% of the project cost in equity, plus $25,000 to $50,000 of deal costs, plus the runway to search. For the median SBA-scale deal that means somewhere around $100,000 to $150,000 of committed capital, less for smaller main-street businesses, and less again when a seller note or investors carry part of the injection. Start with the Path Quiz to see which capital structure fits your situation, or walk the full Searcher's Roadmap from the beginning.