Broker Dealer Market endeavors to make the buy, sell and merge process completely confidential. Therefore, upon execution of a mutual confidentiality agreement, BDM goes to work in identifying Broker Dealers or Registered Investment Advisor that meet the needs of the buyer.

Once an appropriate broker dealer or Registered Investment Advisor (RIA) has been identified, general information about the Broker Dealer/RIA is provided to the Buyer, including their current approved products to sell. Introductions are then made. If the wishes to do due diligence, he will place a refundable deposit in escrow, in order to take the Broker Dealer/RIA off the market for 10 days.

The Broker Dealer/RIA is now taken off the market, and made unavailable to others for a 10 day period – allowing proper time for due diligence. If there is a delay, and due diligence will take longer than 10 days, the potential Buyer may request additional days.

Once due diligence has been successfully completed by both parties and have agreed to the transaction, at this point the seller will notify the FINRA of its intention to sell, and identify the potential buyer. The buyer and seller will agree on a closing date. Please note that the closing date will always be no sooner than 30 days after notification of intention to sell to the FINRA. Broker Dealer Market will send “Generic” Purchase Agreements to the Buyer and Seller, and both will tailor these agreements to suite their specifics, management arrangement, etc.

Buyer will wait to receive a 1017 package from the local FINRA office. It is important to note that the Buyer will have 30 days to create and file the 1017 package. There is a significant amount of work involved in preparation of the 1017, and if need be we can recommend attorneys and securities consultants to assist in completing the 1017 package.

Depending upon the particular arrangement the Buyer and Seller have made, closing may take place prior to, or at the same time as the conclusion of the FINRA review of the Change in Membership (1017), when, as and if approved. Please note that depending upon the current work burden that the district regulators are facing, review times will vary.

Broker Dealer Market has completed thousands of successful transactions, and will guide the Buyer through all phases of the purchase process. Our attorneys and securities consultants have significant transactional experience, and can make the process easier and smoother – done correctly the first time.

To reduce time on the phone and lengthy explanations, before calling about any particular Broker Dealer/RIA, it would be enormously helpful if potential buyers:

1. Fill out “Confidentially Agreement” and Fax it back to (954) 565-8831
2. Read the short “Complete Procedures for Buyers” document
or call (954) 565-2465 for a copy.
3. Be prepared to take the Broker Dealer/RIA “Off the Market” for
Ten Business Days with an Escrow Deposit. No one else will
be sent to the Seller until you have done the Due Diligence
on the Broker Dealer/RIA, The Escrow Deposit is fully refundable Bank-to-Bank. *Note: the ten-day period may be extended by several days upon request of the buyer.
4. If you need a “Generic” Purchase Agreement, ask us to
fax or e-mail you one. Work must be done on this agreement to adapt
it to what you and the Seller have agreed to do.
5. Make sure that Seller has sent written notification to FINRA
and identification of the Buyer. “Closing can take place 30
days after notification and identification,” unless buyer
has tied the closing date to the FINRA’s approval.
6. Important! On the larger (5MM) Broker Dealer’s/RIA's for Sale, the Potential Buyer must provide “Proof of Funds” before being introduced to the Seller.
7. If a Buyer needs a securities attorney to assist in putting
together a purchase agreement or a securities consultant to put together the rule 1017 (change of membership) package, click here.
8. When given Seller's name and telephone number:

A. Please be discreet. Speak only to the Seller and to no one else.

B. Ask the Seller if this is an appropriate time for him to discuss the subject.

C. Try to get all your questions answered at this time or with subsequent calls. Please do not ask for the due diligence package until you take the Broker Dealer off the market with an escrow deposit.