What Makes a Good Broker (And Where To Find Them)

Imagine you’ve spent 30 years building a business. You’ve poured your life into it with, early mornings, late nights, and short weekends. Now you’re ready to sell. Where do you start? For many owners, the answer would be to find a broker. It might sound simple, but choosing the wrong one can undo decades of work in a matter of weeks. A bad broker can turn your retirement dream into a re-trade nightmare. They might create weak CIMs, overlook some disclosures, and have a process so messy that it scares off serious buyers. But a good broker will do the opposite: prepare you early, set clear expectations, and protect the value of what you’ve built. Unfortunately, the search for a good broker is typically conducted by word of mouth. And, as I’m sure you’ve experienced, word-of-mouth works up until it doesn’t. We interviewed Tom Semko, co-founder of DealTrust, about this very issue. He’s well aware of it, pointing out that “We have pizza places that have better reviews than we have brokers.” With DealTrust, that’s exactly the problem he set out to fix. Meet Tom Semko and DealTrust Like many people entering in the M&A world, Tom didn’t start in finance. His first career was in education, where he did everything from teaching to directing curriculum development and helping schools navigate systemic change. Post-pandemic, he took a step back to reassess and found himself drawn to business acquisition. But the more he looked, the more problems he saw. One of the first things that stood out was how opaque the broker ecosystem was. The M&A world lacked a central place to verify reputation, shared data on who actually closed quality deals, and just overall accountability. Sellers were trusting the biggest transaction of their lives to people they’d found through word of mouth. So Tom and his business partner Will Blommer built DealTrust, a platform that brings visibility and verification to the M&A advisory world. It lists broker profiles with both quantitative data (such as past deals, industry focus, and achieved multiples) as well as qualitative feedback gathered from verified buyers and sellers. It’s like Yelp for business brokers, except that it is a more controlled and community-driven platform. Qualities of a Good Broker Don’t be drawn into how many listings a broker’s had or how slick their marketing is. A good broker is defined by how they communicate, prepare, and protect both sides of the deal. Tom breaks it down to a few simple but essential traits. First, good brokers provide a good education about what’s going on. This is especially helpful for people doing their first sale. They walk through stuff like a proof of cash, licensing requirements, and customer concentration issues, and they make sure you understand realistic timelines. Setting those expectations upfront is a sign of respect for both the seller and the process. Second, integrity matters more than anything. Some brokers relist deals that have already fallen apart without disclosing it, or they withhold known issues to keep a deal alive. The best ones tell you the truth even when it costs them. They value reputation over short-term revenue. This can be seen most clearly through a well-done CIM (Confidential Information Memo). If it’s done right, a CIM can function to lay the foundation for trust between both parties. A strong broker delivers one that’s detailed, accurate, and honest. If instead it reads like a marketing flyer or lacks supporting data, the odds of re-trade rise dramatically. On a more practical level, a good broker should be transparent about their process and fees. Sellers deserve to know exactly what they’re paying for, whether it’s a flat success fee, a monthly advisory retainer, or a percentage of enterprise value. The cost should align with the service, as opposed to feeling like a penalty for listing. Red Flags to Avoid If you’re a seller, the warning signs of a not-so-good broker are often subtle at first. Be cautious of brokers who inflate valuations to win your listing. These brokers will be eager to tell you what you want to hear, not what the market will bear. Others may post vague CIMs that barely outline the financials, or they’ll hide behind complicated NDAs and unnecessary personal information requests. Some will insist all communication go through them, shutting down direct access between buyer and seller. And perhaps most tellingly, they disappear when things get hard or a deal gets difficult. As Tom notes, these red flags are signals of deeper misalignment. “If the broker didn’t do a good job putting together that CIM,” he says, “everyone loses: the buyer retrades, and the seller’s expectations collapse.” The small stuff matters, whether it’s prompt communication or the layout of a document. They can sometimes be your only insight into the character of the broker, especially if you don’t have access to a platform like DealTrust. The Human-First Approach DealTrust was built to create a space where brokers could carry their reputation with them, even if they left a large franchise or started their own firm. That reputation shouldn’t vanish because of a career move. Instead of ranking people by popularity or ads, DealTrust highlights consistency and honesty. Reviews come from both buyers and sellers, are verified, and can’t be bought. “Most ETA advice boils down to one thing,” he says. “Build relationships. If people don’t trust you, they won’t tell you what you need to know.” How QOE Prep Fits In At QOE Prep, we think the same way. Numbers are just part of the story; it’s the relationships behind them that determine how a story ends. We’re selective about the deals we take on because good work requires good partners. We want brokers who value transparency, clients who prioritize clean data, and teams who care about doing things right. If you’re interested in learning more about what a quality of earnings report can do for you and your business, go to our website to get a free quote today. Thanks for reading QOE Prep! Subscribe for free to receive new posts and support my work. https://qoeprep.substack.com/