Business Intermediary Agent in Denver

business intermediary


A business intermediary agent is an individual that brings buyers and sellers together. They assist buyers and sellers in the transfer of privately-held businesses through an agency relationship. Intermediaries are also known as business transfer agents or as business brokers.

These business transfer agents help to ensure a “clean” deal where both buyers and sellers benefit from full disclosure and transparency and a thorough understanding of the transaction.


An intermediary agent is someone that is authorized to represent the interests of another individual. A business broker working as a sole practitioner or on behalf of a brokerage firm may represent the buyer or the seller. The principal broker (and their agents) becomes an agent of the broker’s client, which is also known as a principle. The other party in the transaction not being represented by the broker is known as the customer.

Some states, like Colorado, allow business brokers to act as transaction brokers whereas these brokers represent neither party as an agent, and simply facilitate the transaction, working with both parties utilizing the same level of trust with both the buyer and seller.

There are basically three different types of agency relationships:

  1. Special agents (single or specific agent) are hired by an individual (client or principal) to represent that person in a single transaction. So a real estate agent of business broker that represents someone in the sale or purchase of a home or business is considered a special agent.
  2. General agents represent someone in a range of activities, such as a property manager’s role of collecting rents, authorizing repairs, negotiating leases, paying bills, etc.
  3. Universal agents act on a client’s behalf regarding all matters and situations. These individuals have the power of attorney to act in all real estate matters on someone’s behalf.

Some states allow dual agency whereas the agent represents both the buyer and the seller in the transaction. In Colorado, dual agency is illegal. Most business brokers in Colorado acquire the listing from the seller and represent the seller in an agency relationship, acting as a  fiduciary.

Some business brokers do represent buyers, and some brokers act as business consultants for a fixed or hourly fee with both buyer and seller clients who may have found a business through other means or may need some help in valuing the business or in negotiations, introductions to strategic partners, or in structuring the deal.


Some business brokers are will to co-broker transactions and split their commission, and many will not. Wright Business Advisors is open to a co-brokerage arrangement providing the other broker is knowledgeable and will provide proper representation and support the overall efforts of the transaction in an ethical manner.

Our Principal Broker, Wayne Wright is a Certified Business Intermediary agent in Denver CO and he likes to work with other professionals that have gone through the rigor of acquiring this distinction as well.

Broker Duties

After an initial consultation, brokers will collect and recast the financial statements, and prepare a Broker Opinion of Value. Once a listing agreement is endorsed, the broker will learn more about the business and prepare the advertising material, create the prospect list through research, create the pitchbook and Confidential Buyer Review (Confidential Information Memorandum) including financial modeling, and enter data into the company CRM.

The marketing campaign is launched using a variety of sources, media, and techniques, and the buyer capture and vetting process begin. Once qualified buyers are found, these individuals tour the business and initial due-diligence begins.

The broker provides strategic partner introductions and assists in the preparation of draft agreements, helps to move the deal through the process as smoothly as possible, and coordinates the entire due diligence process, through to the closing documentation and process.

This of course is all done while managing many emotions from all parties involved in the process.

If you’re looking for experienced and reputable Denver business broker intermediaries, call us at 720-436-1472