The right advisor should help a founder make a considered decision, not push them into a sale. A useful selection process makes expectations, responsibilities and potential conflicts clear from the start.
Look for relevant agency experience
Agency businesses are shaped by people, client relationships, utilisation, pricing, intellectual property and the transferability of delivery. A specialist should be able to discuss those practical issues without relying only on generic corporate finance language.
Ask for a clear explanation of the team that would work on the mandate and the experience they bring to the work. Verify any track-record statements before relying on them.
Practical checklist
- Who will lead the engagement day to day?
- How does the advisor assess agency-specific value drivers and risks?
- What preparation work is expected before approaching buyers?
- How will the advisor support the founder during due diligence and negotiations?
Understand how the process will be run
A well-designed process should define confidentiality, information handling, target buyer criteria, communication and decision points. It should give the founder control over when information is shared and with whom.
The headline price is only one part of a transaction. A founder should understand the proposed approach to terms, earnouts, culture and the transition after completion.
Practical checklist
- Ask how confidentiality agreements and buyer outreach are managed.
- Ask how a long list becomes a focused buyer list.
- Ask how competing interest is handled without losing control of the process.
- Ask how commercial terms and non-financial priorities are evaluated together.
Check alignment and incentives
Be clear about engagement terms, fees, exclusivity, timing and what happens if a process pauses. An advisor should be able to explain their incentives in plain language.
Good advice leaves room for a founder to decide that now is not the right time. Preparation and growth work can be the right outcome when a business is not ready to market.
Frequently asked questions
Do I need an M&A advisor before I am ready to sell?
Not necessarily, but an early conversation can help a founder understand what preparation may be required. The decision to begin a formal process should follow a clear assessment of goals and readiness.
What should I ask about confidentiality?
Ask who will receive information, when it will be shared, how non-disclosure agreements are used, and how the advisor will avoid unnecessary exposure for employees, clients and the market.
Should I choose the advisor who suggests the highest valuation?
A valuation should be credible and explained. It is more useful to understand the assumptions, risks and evidence behind an estimate than to select a number that may not survive buyer review.