How to choose an intermediary to sell your IFA business
- Simon Bourke
- Mar 31
- 8 min read
Updated: 2 days ago
31st March 2026
If you are considering selling your IFA business or financial planning firm, one of the most important decisions is who you appoint to guide the process. Appointing the right intermediary will make a significant difference to how your sale process is handled and, ultimately, the outcome you achieve. For many owners, that means choosing an intermediary, IFA business broker or financial planning M&A adviser with direct experience of the financial advice and wealth management market.
Financial planning is a relationship business. The value of the business is in the trust and faith your clients place in you to handle their financial affairs. On this basis, the outcome for clients needs to be a top priority when identifying the right acquirer. You should only speak to a selection of highly qualified firms that match your specific criteria. There should not be an open auction process inviting bids and interest from firms that are not a suitable fit for you, your clients, or your team.
In the following article, we delve into what a good intermediary looks like, and the key red flags to look out for.
What does an IFA business broker or intermediary do?
An IFA business broker or M&A intermediary guides owners through the process of selling a financial planning firm, IFA, or wealth management business. Typically, that involves more than simply finding interested buyers. It means preparing the right information, giving you a valuation, identifying suitable acquirers, protecting confidentiality and helping the seller compare offers properly and negotiate key commercial terms. Owners who are still at an early stage may also find our guide to preparing to sell your IFA business useful.
An IFA broker works with the seller in a number of areas:
Helping you understand your sale options
Setting the key criteria for a buyer
Preparing data and buyer materials
Assessing valuation based on your business and real-world buyer appetite
Identifying suitable acquirers
Coordinating buyer meetings and communications
Supporting commercial and due diligence negotiations
Helping manage the process through to exchange and completion
The list above is not exhaustive, but it does set out the main areas a broker or intermediary should be able to support during a financial adviser business sale. At Chapters Capital, that support runs from helping sellers clarify their objectives and prepare the right information, through to identifying suitable buyers, managing negotiations and diligence, and guiding the process through to exchange and completion. Your chosen adviser should also be able to demonstrate expertise in both corporate finance and the financial planning profession.
Is it better to use an intermediary or go direct to a buyer?
Some IFA owners choose to directly approach a buyer when selling their financial planning business and decide to explore those conversations themselves. That can work in some cases, but it usually gives the seller a narrower view of the market.
Working with a broker will often mean a higher sale price for your firm. It is not guaranteed that doing the deal yourself will lead to a bad deal, but in almost all the cases we have seen, a seller going direct will receive an offer significantly lower than what we know they could have achieved.
A better sale price does not have to come at the expense of fit; in many cases, we know we could likely have secured a better offer from the same buyer, or from another with a similar proposition.
That being said, the headline figure is not the only reason to engage a broker. The conditions and terms of the deal are crucial to understand and to get right. Knowing what to accept and what to push back on is vital to ensuring the best deal. Ultimately, you are only going to sell your business once, so we will always recommend you explore options with a broker so you can make an informed decision when you come to sell.
So, in short, yes, you should almost certainly opt to go with a broker on your transaction, not only for the ease of the transaction and to take the extra workload off your desk, but also to ensure you get the best possible deal for yourself, your staff, and your clients.
Why does sector specialism matter when choosing an IFA business broker?
There are many nuances to financial planning transactions that do not come up in other business sales. Those nuances start with knowing what data to prepare across areas like client make-up, proposition, revenue sources, compliance history, team structure, platforms, providers, adviser packages and employment terms to name a few. From there, it is about understanding how to present that data, what creates value, what detracts from value, and how to structure the deal around the characteristics of your firm.
Having a specialist financial services intermediary at your side, with direct experience of IFA and wealth management M&A, ensures the deal you secure is in your best interests and tailored to you.
What should you look for in a financial planning M&A intermediary?
A good intermediary should be able to explain the market clearly, challenge your assumptions and help you understand the options available to you.
They should also be able to show relevant transaction experience, sector knowledge, buyer relationships, a clear process, strong confidentiality controls and an understanding of what matters to you beyond headline valuation.
In practice, you should expect them to help you answer questions such as:
what could my IFA firm be worth?
which buyers are likely to be suitable?
how many firms should I speak to?
how will confidentiality be protected?
what information will buyers need?
how will clients and staff be treated?
what terms should I accept, challenge or avoid?
what happens if I want to stay involved after completion?
For owners who are planning a full exit, our sell and retire service for financial planning firm owners explains how we help with buyer fit, client continuity and the route to completion.
Starting with your objectives
A good intermediary will spend time understanding you and your business. What are your personal and professional objectives? What drives you? What is important to you? What do you do for clients? What do you want and need from a sale?
This information is crucial for us before thinking about which buyers to approach. Only once we understand you and both your priorities and red lines will we start on the transaction. If you are not ready to approach buyers yet, our pre-sale planning service for IFA owners can help you understand what to prepare before going to market.
Valuation
Having assessed you and your business, a broker should give you an honest, evidence-based view of what your firm is likely to achieve in the current market, with a clear explanation of what drives that range. At Chapters Capital we provide you with valuation ranges based on your data and on actual buyers that match your criteria.
Buyer introductions
Your time is valuable. Be cautious of working with brokers that treat volume of introductions as a measure of quality. There will be no shortage of interest in a good business. The real key here is not to speak to every possible buyer, but to identify the firms most likely to deliver the right outcome for you, your clients and your team.
We believe up to five initial meetings is sufficient. This gives enough choice and allows for the competitive tension needed in a professionally run sale process. Any more than five and there need to be seriously compelling reasons as to why, because a good process is not about maximising meetings, but about identifying the buyer best placed to deliver the right outcome for clients.
Confidentiality and trust
Confidentiality during a sale process is of the utmost importance. The information shared during a sale is sensitive, and you want to be in control of when, and to whom, it is disclosed.
We use non-disclosure agreements (NDAs) before any sensitive information is shared, limit disclosure to those directly involved in the transaction, and use secure communication channels and data rooms to share documents safely. We do not share your details with any buyer without your consent.
Ultimately, confidentiality is one part of a broader question of trust. For most IFA owners, selling the business is among the most important decisions they will make. The right broker will understand the significance of the decision and will not rush you. They will need to be someone you can see yourself working with over that six-to-nine-month period (or even longer, depending on the deal structure).
What should you expect from a broker on fee structure?
At Chapters Capital, our fee is typically paid by the buyer on successful completion of the transaction. Our terms mean we are not an agent of any buyer, nor are we exclusive to any buyer. We remain completely independent throughout the process and in our view of the market. If a seller would prefer to pay our fee instead, we can accommodate that, and in those cases we would not charge the buyer.
We also don’t charge retainers or onboarding fees. We are paid on completion. Our fee is only payable if a deal completes, and is calculated as a percentage of the final sale price. That means our financial incentives are aligned with yours: if we achieve a higher price for you, our fee is higher too. Equally, we have no incentive to take on projects we are not confident we can deliver on.
Red flags to watch out for
There are many firms offering brokerage services. While many will have relevant experience, it is still worth looking closely at the deals they have completed and the calibre of firms they have worked with.
Questions to consider include:
What corporate finance experience and qualifications do they have?
How strong is their sector-specific knowledge?
How organised and responsive are they in your early stages of communication?
Are they charging retainers and fees upfront, before any substantive work has been done?
Do they make a living from deal completions, or from signing up firms to pay them retainers?
Can they introduce you to the sellers they have worked with on previous deals, or point you towards relevant seller testimonials and case studies?
Frequently asked questions
What is an IFA business broker?
An IFA business broker, sometimes also described as an IFA business sale adviser, is a person or firm that helps owners sell an IFA, financial planning or wealth management business. At Chapters Capital, we would usually describe this role as a specialist M&A intermediary because the work involves valuation, buyer selection, confidentiality, negotiations, due diligence and deal management.
Is an intermediary the same as a business broker?
The terms are sometimes used interchangeably. In financial planning M&A, an intermediary should do more than introduce buyers. They should understand the sector, help prepare the business, identify suitable acquirers, manage confidentiality and support the commercial process through to completion.
Do I need a specialist intermediary to sell my financial planning firm?
It is usually sensible to work with someone who understands financial planning and wealth management transactions. These deals involve client relationships, recurring income, compliance, adviser roles, investment propositions and buyer fit, which may not be properly understood by a general business broker.
How many buyers should I speak to when selling my IFA business?
There is no fixed number, but more meetings does not always mean a better process. At Chapters Capital, we would argue that a small group of carefully selected buyers is always more effective than a broad auction-style process.
How are intermediary fees usually structured?
Fee structures can vary from broker to broker. At Chapters Capital, our fee is typically paid by the buyer on successful completion. We are not exclusive to any buyer and are not an agent of any buyer. If a seller would prefer to pay our fee instead under a sell-side mandate however, that can also be accommodated.
What should I ask before appointing an intermediary?
Ask about relevant transaction experience, sector knowledge, buyer relationships, confidentiality, valuation approach, fees, process, due diligence support and how they decide which buyers are suitable for your firm.
Speak to us about your next steps
If you are considering selling your IFA business, or simply want to understand what your options look like, Chapters Capital offers a free, confidential consultation.
We can talk through what a deal could look like for your firm, the likely route to market, buyer fit, valuation and the factors that may shape the process in your specific circumstances.
Considering your next chapter?
At Chapters Capital, we specialise in financial planning and wealth management M&A.
Whether you are considering a sale, merger, or want to learn more about buyers in the space, please contact one of our professional associates today for a confidential, no-obligation consultation.
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