Reijmer/Russell on M&A Directions: Can We Talk? Not Necessarily

A seller who is well-acquainted and on good terms with a potential buyer in his or her region probably can approach the buyer directly—the mutual knowledge and trust are already there. Be advised, though, that approaching only one buyer candidate may not result in a favorable price for the seller.

In most cases, it's wisest for the seller to let a skilled third party manage the introductions. A do-it-yourself overture to an unfamiliar buyer might not be taken seriously or, worse, might stir negative rumors about why the seller's company is being offered for acquisition.