5 key questions to ask a buyer of your advice firm

August 22, 2025

A person, shrugging, with their head covered by a question mark

It’s easy to approach the sale of a financial planning business like it’s a mortgage application:

“Here’s our revenue, here’s our profit, here’s our client demographics. What will you offer?”

Selling your business isn’t all about the money. It’s about finding the right future, for you, your team and your clients.

“Culture before cash” as Victoria Hicks, Melo’s CEO would say.

And that means asking better questions of the person buying your legacy.

Here are the five questions Cherie-Anne, our Exit Partner, thinks every seller should be asking potential buyers before they get serious.

1. “What don’t you like about my business?”

Most sellers are afraid of this question. Why? Because businesses could always be better. You know what’s not perfect and there might be a temptation not to draw attention to it.

EVERYTHING is going to come out in due diligence, so you might as well have the conversation up front.

This is the fastest way to flush out hidden deal risks and show what the buyer is thinking.

It shows you’re serious and accept, things aren’t perfect. It gets them off-script and tells you whether they’re honest.

If they say “nothing”, that’s a serious red flag.

2. “Can I speak to firms you’ve already acquired?”

This should be a given. If it’s not, walk away.

You’re about to sell everything you’ve worked so hard to build. You deserve real-world insight into what it’s like to deal with the buyer.

Ask previously acquired firms:

What was the buyer they like to work with?
What didn’t work?
How did the buyer react?
Was everything as you expected?

Buyers who are proud of how they treat people want you to speak to past acquisitions.

Those who don’t want to connect you clearly have something to hide.

3. “What’s the average payout rate on your deals?”

You’ve seen the headline offer: £500k, £1m, £10m.

But you never truly know how much you’ve sold your business for until the last cheque hits your bank account.

Sale proceeds are normally dependant on clients sticking with the buyer post deal. If they leave, your payout goes down proportionally.

We’ve spoken to selling financial planners who have only received 50–60% of the headline value. (None of ours, we hasten to add!)

Why? Because the integration plan was poor.

Limited client communications, selling adviser handing over to an unknown new adviser, immediate change in fees and proposition.

A good integration plan will result in more clients staying the course. It will also preserve the value of your deal.

Ask for the average payout rate across recent deals.

Not just the initial offer, the actual payout at the end of the deal.

If they can’t, or won’t, tell you it’s probably time to walk away.

4. “What has gone wrong in past deals?”

Hardly anyone asks this question, but everyone should, because every buyer has a few war stories:

Founders who checked out early.
Failed integration plans.
Clients or teams that didn’t transition well.
Cultures that quietly clashed post-completion.

Asking this does three things:

It shows maturity. You’re not naïve to the risks.
It tests the buyer’s honesty and how they deal with challenges.
It creates space for a real, honest conversation.

You’re not looking for a perfect track record. You’re looking for honesty and self-awareness.

Has the buyer learned from past mistakes and what have they changed as a result? Because if they can’t talk openly about past mistakes, you probably won’t hear about future ones either.

5. “What will life look like for my clients in 5 years?”

The client/financial planner relationship is often close.

They’ve told you their hopes and fears.

You’ve helped them build a better life.

It’s personal and professional.

After the deal is done, you’ll still bump into these people. In the supermarket, at the golf club, walking the dog.

This question shows you’re thinking long-term.

It also gives you clarity for those handover meetings.

So when a client asks, “Why this company?”, you can answer with conviction.

If you can’t confidently describe what life looks like for them in 5 years, the deal isn’t clear enough.

Selling your business isn’t just a transaction, it’s a turning point.

It’s personal and emotional, for most owners it only happens once.

We’ve helped over 50 financial planning firms navigate that moment with clarity, confidence and control.

📩 If you’re starting to think about selling, talk to us before you make your next move.

This is too important to figure out on your own.

Are you interested in understanding what your business could be worth?

Would you like to understand how to meet your target valuation simply by playing around with some figures? Our free valuation calculator tool could be just what you need.