Choosing between an advisor and a broker
The buyer decides the model
The right intermediary depends on who is most likely to pay the most for your business. For a local services company, it is often an individual owner-operator, and brokers are built to reach them. For a software, SaaS or fintech business with recurring revenue, it is usually a strategic acquirer or financial sponsor that values the business on what it becomes in their hands. Those buyers rarely browse listings. They are approached directly.
Where the price is won
Price is set by competition and protected in the terms. A structured process brings several qualified buyers to indicative offers on the same timetable, then negotiates the full package: cash at completion, earn-outs, working capital targets, warranties, indemnities and escrow. A headline price can lose a fifth of its value in the terms if nobody is fighting for them. Our deal structure comparison tool shows how those components change what you actually receive.
Where a broker is the right answer
We would rather say it plainly: below $1M in value, a good broker is usually better value than an M&A advisor, and many do excellent work. Check their recent completed deals in your sector, how they protect confidentiality, and what you pay if the business does not sell.
Frequently asked questions
- What is the difference between an M&A advisor and a business broker?
- A business broker usually lists a business, markets it to a broad pool of individual buyers and handles enquiries, which suits smaller, owner-operated companies. An M&A advisor runs a structured, confidential process aimed at strategic acquirers, private equity and family offices, prepares institutional materials, and negotiates price and terms through competing bids.
- When is a business broker the better choice?
- For businesses valued below roughly $1M, especially local or lifestyle businesses with a natural buyer among individuals and search funds, a good broker is often the more economic choice. Acquiry’s minimum transaction size is $1M.
- Does using an M&A advisor get a higher price?
- Nobody can promise a price. The advantage of an advisor comes from competition: approaching the buyers most likely to pay for strategic value, running them to a common timetable and negotiating structure as well as the headline, including earn-outs, working capital, warranties and escrow.