Are you feeling overwhelmed by the army of professionals claiming they can help sell your business? You might be asking yourself, “Who do I trust?” or “Who do I actually need right now?”
I want to educate you so you can make the best decision, even if that means you don’t buy from me.
What do we mean by ‘Choosing An Advisor’?
Choosing an advisor is the strategic process of assembling the specific team of professionals required to prepare, manage, and execute your business exit. It involves distinguishing between preparation specialists (Mentors), transaction agents (Brokers), and compliance experts (Accountants) to ensure you have the right expertise at the right stage of the process.
Why Trust This Guide?
This guide is built on the lived experience of Christine Nicholson, a UK Business Mentor of the Year who has guided owners through over 100 business transactions. It draws on the hard lessons from real cases, such as Robert and Peter, who saw their deal collapse because they hired a transaction-focused broker before they were operationally ready. I rely on evidence, not theory.
What we will cover in this Guide:
- Building Your Deal Team: Who to Hire and When
- Vetting a Business Broker
- Selecting the Right Exit Advisor
- Understanding the Total Fees
- The Cost of Exit Mentoring
- Frequently Asked Questions about Choosing An Advisor
- Next Steps for Your Project
Building Your Deal Team: Who to Hire and When
You need to hire an Exit Mentor for preparation 2-5 years out, a Business Broker for the transaction 6-12 months out, and an Accountant for compliance throughout. The most common reason business sales fail is not a lack of buyers, but engaging the wrong expert at the wrong time.
Many business owners make the expensive mistake of asking their day-to-day accountant to manage a strategic exit. You must understand the distinct roles of an Exit Mentor vs. Business Broker vs. Accountant to avoid chaos.
An accountant looks at history and compliance. A mentor helps you build the future value required for a sale.
If owners engage a broker before their business is operationally ready, they risk exposing the company’s flaws to the market too early.
A transaction specialist cannot fix operational chaos; they can only sell what is currently there. By ensuring you have the right player in the right position, you move from reacting to the market to leading the process.
Vetting a Business Broker
A good business broker will have a success rate of over 80% and a business model heavily weighted towards success fees, not upfront retainers. If a broker is more interested in listing a business than selling it, they are a liability to the exit.
You need to know how to tell if a business broker is any good by asking specific questions that cut through the noise. Ask them directly about the percentage of businesses they take on that actually complete.
If they evade the question or focus on volume, they are likely living off non-refundable retainers rather than successful completions.
Avoid brokers who promise a quick sale to a “vast database” without a specific strategy.
A reputable professional will challenge you on your readiness and have a proactive plan to find strategic buyers. Your financial future depends on their competence. Do not accept vague answers.
Selecting the Right Exit Advisor
The right exit advisor focuses on deep preparation and de-risking the business long before a sale, rather than just managing the transaction. This role is about ensuring the business is a valuable asset, not a high-stress job.
When you are looking to choose the right exit advisor, look for someone with lived experience who has “been there and done that.” They should be able to walk you through a detailed process for preparing a business, identifying weaknesses like owner reliance or poor financial records.
Be wary of advisors who offer a templated approach or who cannot provide references for deals that didn’t go well. Transparency is key. You want a partner who will tell you the uncomfortable truths about the business now. This allows you to fix them before a buyer uses them to chip the price later.
Understanding the Total Fees
The total fees for selling a business typically range from 4% to 5% of the deal value, split between brokers, corporate lawyers, and accountants. It is essential to budget for the entire team, not just the broker’s commission.
Many owners are blindsided by costs because they fail to anticipate the total fees when selling a business. Legal fees alone can reach 1% of the deal value. Complex due diligence can drive accountancy costs significantly higher.
The single biggest factor that inflates the bill is a lack of preparation. If lawyers and accountants have to clean up a mess of disorganised records during the deal, the owner pays a premium for their time. Getting your house in order early is the only effective way to control these costs.
The Cost of Exit Mentoring
Full exit mentoring typically requires an investment between £15,000 and £50,000+ over an 8-18 month engagement. This is an investment in protecting the value of the asset, not an operational cost.
You should ask how much business exit mentoring costs in the context of the potential return on investment. The cost of inaction (failing to sell or underselling by millions) is far higher than the fee for expert guidance.
Cheap advice is often a false economy that leads to a templated process and a failed result.
A bespoke programme ensures that specific risks, such as owner reliance or customer concentration, are addressed systematically. This preparation proves the value of the business to a buyer. It often results in a significantly higher final sale price.
Frequently Asked Questions about Choosing An Advisor
Do I need a broker if I already have a buyer? Not necessarily. If you have a buyer, you may need a corporate finance advisor to manage the deal and a lawyer for the contract, rather than a broker to find a buyer. However, a broker can help maintain competitive tension.
Can my accountant handle the sale? Your accountant is essential for tax planning and financial data. However, they rarely have the strategic M&A experience to lead a sale. Relying on them for the entire process is a common mistake that can leave money on the table.
When should I hire an exit mentor? Ideally, you should engage a mentor 2 to 5 years before you intend to sell. This gives you enough time to implement the necessary operational changes, such as building a management team, to maximise your valuation.
Why do brokers charge retainers? Retainers cover the initial work of valuing and marketing the business. However, be wary of high retainers that are not deductible from the success fee. This can incentivise the broker to list the business rather than sell it.
Next Steps for Your Project
Many business owners stick with advisors who aren’t right for the exit journey simply because they don’t know what ‘good’ looks like. They worry about making a change, yet sticking with the wrong team is the biggest risk to their exit value.
Your business is your pension. You need to be certain that you have the right support to protect that asset and maximise its value.
If you are ready to stop worrying and start building a plan that actually delivers, here are your next steps.
1. Get a reality check
Take my confidential Exit Ready Quiz. It takes just 3 minutes and will show you exactly how saleable your business is right now.
2. Let’s talk
If you are serious about getting your business ready for sale and want to ensure you have the right team in your corner, book a call or message me. Let’s have a frank conversation about where you are and what you need to do to secure your financial future.ur financial future.
