Succession Exchange or M&A Adviser? What Really Lifts the Price

A succession exchange brings supply and demand together. A structured, confidential M&A process brings the right buyer to the table. The difference shows up in the end where it counts: in the price.

Succession exchanges are a sensible entry point — free or cheap, with broad reach. But they are a marketplace, not a process. And that is exactly what makes the difference for valuable companies.

What a succession exchange achieves — and where it reaches its limits

Platforms such as the Austrian Chamber of Commerce succession exchange or the German nexxt-change lower the barrier to entry: they cost little, are quick to set up and reach many searchers. For small, easily transferable businesses they can find the right successor.

Their limits lie in the nature of a marketplace. A listing is public — discretion is hard to maintain. The process is passive: you wait for who responds, instead of actively approaching the best buyers. And the success rate is low: of the more than 10,000 listings on nexxt-change, only a small single-digit percentage leads to an actual transaction, according to market observations.

Why the buyer pool decides the price

The most important lever for the price is not the formula but competition. Those who wait only for responses from an exchange often have one or two interested parties. Those who proceed in a structured way approach a curated selection of potential buyers specifically — strategic acquirers from the industry, financial investors, MBO/MBI candidates.

Several serious interested parties reviewing in parallel create exactly the competition that protects and lifts the price. Which buyer type fits your goals is set out in "Strategic buyer or financial investor?".

The structured, confidential process

A managed process begins not with the listing but with preparation: a realistic valuation, prepared documents, an anonymous first approach via a curated buyer list, non-disclosure agreements before any disclosure — and an auction process that narrows from a broad market test to a few serious interested parties. What this looks like is shown in "The process of selling a company" and the guide "Selling a company".

The core: not an open marketplace, but the right conversations rather than many — conducted in confidence.

What this means for the price

Market experience is clear: a professionally run, competitive process regularly achieves noticeably higher prices than the route via an exchange — market observations cite orders of magnitude of 15 to 30 percent, driven by broader buyer approach, a better negotiating position and the avoidance of typical seller mistakes.

These figures are orientations, not a promise: results depend on the individual case and cannot be guaranteed. But the direction is clear — discretion and competition cost the seller nothing and often bring the most.

When the exchange is enough — and when it is not

To be honest: for a small, simple business where the effort of a structured process is out of proportion to the value, a succession exchange can be the right route. It is a good "nice to have".

For a valuable, more complex company — with earning power, substance or strategic appeal — the structured, confidential process is the lever that makes the difference. Here it is not about a few percent but often about a substantial part of a life's work.

Selling a company is the most important transaction of an entrepreneur's life. Have it guided independently and discreetly — IGCP Capital Partners. → igcp.at

Frequently Asked Questions

Is a succession exchange worthwhile?

As a low-threshold entry point yes, especially for small, easily transferable businesses. It is cheap and far-reaching, but public, passive and with a low success rate. For valuable or complex companies a structured, confidential process usually delivers considerably better results.

Does an M&A adviser really increase the price?

A professionally run, competitive process, according to market observations, often achieves 15 to 30 percent higher prices — through broader buyer approach, competition and better negotiation. A result cannot be guaranteed, but the order of magnitude shows the lever the process has.

What is the difference between a succession exchange and an M&A adviser?

The exchange is a public marketplace where you wait for who responds. The M&A adviser runs an active, confidential process: valuation, targeted buyer approach, competitive bidding and negotiation. The difference lies in discretion, buyer pool and the price achieved.

Can I combine both?

In practice rarely sensible: a public exchange listing and a confidential process contradict each other, because discretion, once given up, does not return. Usually you decide early on one route — depending on the size, value and complexity of the company.