Quick answer: Advisors keep their place in a client’s sale by being useful early and by agreeing roles with the M&A advisor before the process starts. The owner’s CPA, attorney, wealth advisor and banker each protect a different part of the outcome, and a well-run transaction uses all of them. Ask the M&A advisor how it works with existing advisors, who communicates with whom, how confidentiality is handled and how fees and referrals are disclosed.
Key points
- A sale needs several specialists, and none of them replaces the others. The M&A advisor runs the process, the attorney drafts the contract, the CPA structures and reports, and the wealth advisor plans for the proceeds.
- Relationships are protected by contribution, not by gatekeeping. The advisor who helps the owner prepare, and who speaks up in the right places, stays relevant after closing.
- Agree communication rules in the first meeting: who speaks for the client, what is confidential, and how information moves between advisors.
- Be open about compensation. Referral fees and commissions are regulated for some professions and require disclosure to the client.
Why advisors worry
Selling a business is likely the largest financial event in a client’s life. Advisors who have worked with an owner for years often wonder what happens to their role when another professional arrives to lead the sale. The concern is understandable. It is also manageable, because a sale needs more specialists than any one firm provides, and the quality of the outcome depends on how well they work together.
Who does what
| Advisor | Main contribution to the sale | What the client needs from them |
|---|---|---|
| M&A advisor | Runs the process: valuation guidance, buyer outreach, negotiation of commercial terms | Competitive tension and a clear view of price and structure |
| Attorney | Drafts and negotiates the letter of intent and purchase agreement, advises on risk allocation | Protection against liabilities and clear contract terms |
| CPA | Financial readiness, tax structuring, diligence support, closing statement and filings | Credible numbers and a tax-efficient structure |
| Wealth advisor | Goal setting, planning for proceeds, investment and estate planning | A plan for life after the sale |
| Banker | Financing for a buyer or the seller’s debt payoff | Smooth transition of banking relationships |
Each contributes something that the others cannot. The overview of the sale process shows where each fits.
Staying relevant by contributing
The advisors who remain close to the client after a sale are generally those who were useful during it.
Help the owner prepare. Start the readiness work before the process is launched. A CPA who has already cleaned up the financials, an attorney who has tidied contracts and a wealth advisor who has defined the client’s goals each make the later stages easier. The guide to CPAs in a sale describes the accounting side.
Know the client’s goals. The owner’s priorities may be price, certainty, speed, a continuing role, employees’ welfare or a legacy. Advisors who understand those priorities can speak up when an offer does not fit them.
Be available and responsive. A sale moves quickly in places, and a delayed answer can cost time or leverage.
Stay within your lane, and speak up at its edge. Give advice where you have expertise, and flag concerns outside it to the right person.
Connect the client to a valuation early. A client who knows what the business is worth is better positioned in every conversation. The guide on when to refer covers the cases.
Ground rules to agree at the start
- Who speaks for the client. The owner decides. Advisors should know who they report to and who communicates with buyers.
- How information flows. Set up one channel for documents and decisions, with copies to those who need them.
- Confidentiality. Employees, customers and competitors should not learn of a sale before the owner chooses. Everyone with access should be bound by a confidentiality obligation.
- Conflicts. Disclose relationships with buyers, lenders or other parties.
- Compensation. Be open with the client about how each professional is paid, including any referral arrangements.
- Scope. Agree in writing who handles which tasks, to avoid duplicated work and gaps.
Illustrative example: How roles can go wrong, and how to fix them
A client’s CPA, attorney and M&A advisor are all asked by a buyer for the same financial schedule. Each prepares a version, and two of them differ by a small amount because of different cutoff dates. The buyer asks which is right, and the discrepancy delays diligence. A single point of contact, agreed at the outset, would have prevented it. The example is hypothetical and meant to show why process rules matter.
Questions to ask the M&A advisor
- How do you work with the owner’s existing advisors on a transaction?
- Who will be my point of contact, and how often will you update the client and the team?
- What do you need from the CPA and the attorney, and when?
- How do you handle confidentiality, including with the team?
- Do you have relationships with potential buyers that create conflicts, and how are they disclosed?
- How are you compensated, and does the compensation depend on the outcome?
- What happens to the client relationship after closing?
The answers show whether the advisor sees the owner’s other professionals as partners or as obstacles. The comparison of M&A advisors and business brokers and the comparison of sell-side and buy-side advisory give more background on the options.
After the sale
The transaction ends, but the client’s need for advice does not. The owner now has proceeds to manage, taxes to pay, an estate plan to revisit and a new way to spend time. Advisors who supported the client through the sale are well placed to help with all of it. Those who were absent when the decisions were made may find that the client has built a new set of relationships.
Frequently asked questions
Will the M&A advisor try to take over my client relationship?
A well-run advisory firm should not. Its engagement is with the owner for the transaction. Ask directly how it works with the owner’s existing advisors, and ask for the answer in writing in the engagement letter or in an introductory discussion with the client present.
What if I disagree with the M&A advisor’s recommendation?
Raise it with the advisor first, and with the client if it matters. Advisors are paid to give their own views within their own expertise. Where the issue involves tax, law or the client’s financial plan, your advice is often decisive, and it should be heard.
How involved should a wealth advisor be during the sale?
More than many expect. The structure of the deal determines how and when the client receives money, and the planning for the proceeds is easier when it begins before closing. A wealth advisor can help the client define goals, model the effect of deferred payments and prepare for the transition from owning a business to managing assets.
Can I be paid for referring a client to an M&A advisor?
The answer depends on your profession, your jurisdiction and the arrangement. Rules on referral fees and commissions exist for CPAs, attorneys and registered representatives, and they often require disclosure to the client or restrict payments altogether. Check your obligations before accepting or offering any compensation.
A client asking what their business is worth?
The Impetus Group works with CPAs, attorneys and other advisors on transactional valuations and M&A advisory, so the client relationship stays with you. Book a discovery call to talk through a client situation.
Related guides
- How CPAs Support Clients Through the Sale of a Business: Where the CPA fits when a client sells a company: readiness, normalized financials, tax structure, diligence support, the working capital true-up and proceeds.
- When to Refer a Client for a Transactional Valuation: A Guide for Advisors: For CPAs, attorneys and wealth advisors: the situations in which a business-owner client needs a transactional valuation, and when another tool fits better.
- Sell-Side vs. Buy-Side M&A Advisory: What Each Does: Sell-side advisors represent the owner selling a company. Buy-side advisors represent the acquirer. See what each does, how they differ and when you need one.
- M&A Advisor vs. Business Broker: Which Fits Your Business?: M&A advisors and business brokers both help sell companies, but they usually serve different sizes of business and buyers. Compare the two and see which fits.
- How an M&A Sale Process Works: Stages From Preparation to Closing: A step-by-step view of a sell-side M&A process: preparation, marketing, bids, the letter of intent, diligence, the purchase agreement and closing.
- What a Useful Valuation Analysis Contains: A Checklist for Reviewing Advisors: A checklist for advisors reviewing a client’s business valuation: scope, normalized earnings, evidence, reconciliation, net proceeds and the warning signs.
This guide is general education. It is not a valuation opinion, appraisal, investment advice, or legal or tax advice. How these guides are made.