I’m not sure why this is true, but it seems the only legitimate transaction I read about in the wealth management world is to sell your firm to a third party. For most of us in the industry this is the absolutely worse way to transfer a business. The fact is, most wealth/investment management firms only sell of 40% in cash and the rest financed by the owner over five years or so.
To me, this is not a great way to transfer your business. When you hold 60% of your purchase price as a sellers note to people who you don’t know, there’s a very good chance you’re not going to get paid. I have no idea why people in the wealth management world think this is a good idea.