The “For Sale” Sign That Spooked Me This Morning (And Why You Should Never Do It)

This morning, I was walking down the street, hot chocolate in hand, when I passed a local business. And then I saw it- taped inside the front window was a simple piece of paper: “For Sale.”

I stopped in my tracks. Immediately, a dozen questions popped into my head. “Are they going out of business? Is something wrong? Are they going bankrupt and desperate?” That one little sign, meant to attract a buyer, had the opposite effect- it made me uneasy. And if I felt that way, so did every customer walking by.

Let me be clear: posting a “for sale” sign on your storefront is one of the worst things you can do when trying to sell your business. Here's why:

1. It Breaks Confidentiality

Selling a business should be a confidential process. Once word gets out- whether it’s from a sign in the window or a chatty vendor- it can cause unnecessary panic among employees, customers, and even your competitors. Employees may start looking for other jobs, vendors might tighten payment terms, and customers can start drifting away. All of this tanks the value of your business. Not to mention the time talking to buyers which keeps your eyes off the most important task- which is running your business.

2. It Signals Desperation

A sign in the window screams, “I need out now!” Buyers will sense that desperation a mile away and use it to their advantage. That’s not leverage you want to give them. The goal is to appear calm, confident, and well-prepared, not rushed and vulnerable.

3. It Damages Buyer Trust

Serious buyers expect a professional, buttoned-up sales process- one where they’re vetted, sign a Non-Disclosure Agreement, and receive proper documentation before even knowing the name of the business. If a buyer finds out the business is for sale from a wrinkled paper sign in a window, they start wondering: “What else is being done the wrong way?”

And often, that’s not the only red flag. A business with a “For Sale” sign taped to the door may also have deeper issues behind the scenes: messy or incomplete financials, unreported cash, or a seller who refuses to seek professional help or price the business realistically. That combination of poor presentation, disorganization, and unrealistic expectations destroys trust and kills deals before they even begin.

4. It Can Undermine the Sale Entirely

Deals fall apart when there’s too much noise. If your landlord hears you’re selling from a sign before you’ve talked to them directly, they may become hesitant to approve a lease transfer or can line up their own tenant for when the lease expires. If competitors get wind of it, they might poach your staff or customers. That one little sign can set off a chain reaction that blows the whole deal.

So What Should You Do Instead?

Work with a business broker who knows how to manage this process discreetly and professionally. A good broker will qualify buyers, protect your confidentiality, and make sure your business is presented in the best light possible.

The best deals happen behind closed doors- not on your storefront.