How do I find an executive search firm for sale?

A search firm is a small, relationship-heavy business, and its owners often prefer a quiet sale. That shapes where you will find one. Some appear on listing sites, some sit with brokers who never post them, and some are only reached by a direct, polite conversation with an owner. Plan to use more than one route, and expect the first contact to be about fit, not numbers.

Where firms come to market

Start with business-for-sale listings and then ask brokers who handle professional-services firms. Ask the broker to confirm in writing whom they act for in a deal. Many firms also change hands through a partner buy-in or an internal succession, so mention your interest to people in the industry. You can also approach an owner directly.

What a listing should tell you

• How much of the work is retained search and how much is contingency.
• The sectors and seniority levels the firm specializes in.
• How many partners and researchers there are, and who holds the client relationships.
• Whether the owner expects to stay on after the sale.

A short listing is normal. Treat it as a reason to ask questions, not as a finished picture of the firm.

First questions before you sign an NDA

Sellers often ask for a non-disclosure agreement to protect their clients and candidates, so expect to be asked to sign one before you see names. Your lawyer can explain what it covers. Read it first. Ask what you may share with your lawyer, accountant and lender, and how long the duty lasts. Before you sign, ask whether any of the firm’s clients would object to the sale. A short call with the broker usually answers these quickly.

Narrowing your search

Decide whether you want a firm built around one sector or a generalist firm, and whether you want to take over the partner’s role yourself. Once you have a target, see what a buy-side advisor does for help with a purchase, and read the guide on buying a recruiting firm in Canada for the wider picture.