Inside the Broker’s Playbook: Greg Kovsky on Valuation Integrity, Buyer Fit, and Retirement-Driven Deal Flow | Ep. 60

In today’s M&A market, the difference between a clean transaction and a painful one often comes down to pricing discipline, seller integrity, and how prepared the buyer is before the first call.

In this episode of Before You Buy or Sell a Business, Jared Johnson sits down with Greg Kovsky, President and CEO of International Business Associates (IBA), the Pacific Northwest’s largest and oldest business brokerage firm. Greg has spent more than 30 years in the industry and has personally facilitated over 300 transactions. He shares what he’s seeing in the last 12–18 months, why buyer demand is the strongest he’s seen, and how retirement-driven transitions will continue to fuel deal volume for years.

Greg also explains IBA’s paid-on-performance model, why they only take about one out of three potential listings, and the three reasons they will refuse to represent a seller. On the buyer side, he breaks down exactly how to stand out in competitive processes, why relevant experience matters for SBA-backed acquisitions, and why full financial transparency is non-negotiable. Finally, Greg gives a practical take on where AI helps and where it can mislead, especially when valuing businesses without local and state-level context.

Main Takeaways:

1. Buyer demand is the strongest Greg has seen, driven by a growing “buy and build” culture
2. Retirement-driven ownership transitions are expanding supply, but quality sellers still have options
3. Paid-on-performance brokers have built-in incentives to price honestly and only take sellable deals
4. IBA only lists about 1 out of 3 businesses: unrealistic value expectations, weak business model, or lack of seller integrity
5. Due diligence should “follow the money”: verify deposits, review bank statements, and drill into expense detail
6. Buyers stand out by being ready early: resume/bio, personal financial statement, banker pre-qual, CPA and attorney
7. Relevant experience matters, especially under SBA guidelines, because you cannot sell “management ability”
8. AI can support marketing and education, but valuation still requires local knowledge and tax context

Episode Highlights:

[00:00] Intro: Greg Kovsky and IBA’s transaction footprint

[03:05] What’s changed in the last 12–18 months and why demand is so high

[06:10] The rise of buyer demand from “buy and build” entrepreneurs

[09:20] Why retirement-driven transitions will keep deal flow strong long-term

[12:10] Exit cycles: why entrepreneurs often sell and move on within 7–8 years

[14:35] Immigrant buyers and the Pacific Northwest tech corridor

[17:15] What sellers care about: protecting employees, customers, vendors, and legacy

[19:40] Paid-on-performance vs. upfront fees: incentives, pricing, and sellability

[23:15] Why overpricing hurts sellers and can cost years of exit timing

[25:40] IBA’s screening: the three reasons they refuse a listing

[29:10] Integrity red flags: moving expenses across entities and why diligence matters

[34:10] “Follow the money”: bank statements, QuickBooks detail, and full disclosure

[37:30] Training brokers: why this job requires legal, tax, finance, real estate, and psychology

[41:50] How buyers stand out: preparation, financial strength, and a built deal team

[46:05] Fit...