Has any searcher successfully or unsuccessfully used a buy-side broker?

searcher profile

April 27, 2019

by a searcher from Temple University - The Fox School of Business in King of Prussia, PA, USA

I am researching using a buy-side broker for my search. I wanted to know if anyone has had positive or negative first-hand experience? If so, can you please leave your experience below or get in contact with me for a quick conversation. 

Thanks

10
11
249
Replies
11
commentor profile
Reply by a searcher
from Temple University in King of Prussia, PA, USA
Thanks for all of the helpful feedback. A little clarification. I previously had a startup in the human resources industry. I was approached by a buy-side broker who was actively looking for tuck-ins for a larger company. I developed a good relationship with this broker, and his clients were able to extract significant value out of his services. They rolled up a few companies. He was a buy-side broker with great connections within a specific industry — more of a deal facilitator, less of your traditional broker. Forget valuation, diligence, etc....that I have no problem doing. I am also very familiar with formulating and executing a search since I have done it for PE in the past. I just wanted to know what an individual's experiences have been. I will be doing 99% of my work for my search, but as a solo searcher, I would like to reduce my search time while increasing my chances of acquiring a company.
commentor profile
Reply by a searcher
from Harvard University in New York, NY, USA
If by buy-side broker, you mean a broker who looks for acquisition opptys for you, I think they are a complete waste of time/money. Whatever deals they find for you (for a fee), they would post anyway. So it's not like you're getting any true proprietary flow. If you are using them, as Zack said above for help in valuation, due diligence, etc, the vast majority won't be of any use beyond the simple basics. And if you need their help for the simple basics, then maybe you're not ready yet ;)
commentor profile
+9 more replies.
Join the discussion