By Michael D. Bilotta, President, Gladstone Group
I’ve been in this business for nearly 20 years, and in that time I’ve watched the RIA M&A market transform from a relatively quiet corner of financial services into one of the most active deal environments in the industry. The number of buyers we track at Gladstone has grown from two major players two decades ago to more than 70 legitimate acquirers today.
It is also common knowledge that transaction volume has accelerated significantly. You’ll read reports tracking an incredible number of transactions in 2025, ranging (depending on which survey you believe) from 322 to 466 acquisitions, up 27% from last year’s record. Every major research firm is saying the same thing: 2026 is expected to match or surpass that pace.
The deal volume numbers, however, don’t tell you what happens to the founders after the ink dries.
The Next Act For The Founder
When an entrepreneur first raises their hand and makes the mental decision to explore a sale or partnership, what I hear most often isn’t pure excitement. What I hear is mixed with anxiety, fear of the unknown, and a long list of things they’re convinced they’ll lose.
I don’t want to retire. I don’t want to let go of my team. I don’t want to lose my clients.
These are real concerns, and they’re also, in most cases, based on assumptions that don’t hold up once someone actually gets into a process. Sellers are in the control position at every step. You set the terms, you choose your timeline, and you reserve the right to say no. The anxiety starts to diminish, the mist of uncertainty starts to fade, and what you’re left with is the fundamental question: what do you want?
What Founders Are Actually Solving For
Most entrepreneurs who come to us are solving for two things: liquidity and succession. They want to unlock the value they’ve spent 20 or 30 years building while knowing their clients and team have a future. As deal structures have grown more sophisticated, with earn-outs, equity rollovers, and retain-and-grow arrangements now standard, buyers are no longer simply acquiring assets. They’re acquiring people and culture, and they want founders to stay and grow within their platform.
Here’s what I find remarkable: founders who enter a process thinking they want to exit in three years often end up not leaving at all. Once the transaction closes, the operational burden (compliance, HR, and technology decisions) gets absorbed by a larger organization. Suddenly, the founder can focus entirely on serving clients. If you love what you do and someone is paying you for it, why would you ever stop? I’ve watched this play out more times than I can count.
What This Market Means for You
We are in a seller’s market, and that’s not hyperbole. PE-backed buyers accounted for the majority of all deals with AUM above $1 billion in 2025. Valuations for quality firms with strong organic growth, next-generation talent, and clean data are holding at or near peak multiples, according to Mercer Capital’s Q4 2025 RIA M&A Update.
The window isn’t unlimited, though. Founders who come to the table prepared and clear on what they’re solving for are the ones who get the outcomes they want.
The Human Element
This industry is filled with good people, and buyers are not looking for a gotcha moment. They are looking to build their business with other good businesses. The due diligence they run on you isn’t only financial. They’re assessing whether they can get along with you and whether this relationship can last. If you’re talking with someone and not connecting after 15 or 20 minutes, it’s probably not the right fit, and that’s fine. You move on.
That’s why Gladstone is in this business: to make sure founders go into the process with clear eyes, find partners whose model aligns with what they’re solving, and come out the other side in a better position than they started.
If you want to experience the M&A exploration process where you are in control and meeting with potential buyers who run businesses the way you run yours, schedule a time to talk with our team.
Michael D. Bilotta is the President of Gladstone’s M&A advisory practice. He has advised on RIA and wealth management transactions for nearly 20 years.