No Obvious Buyer? How Management Buy-Ins Can Support Business Succession

For many founder-led and family-owned businesses, succession planning is one of the most difficult issues to resolve. A company may be profitable, well positioned and strategically valuable — but if there is no next-generation successor, no internal management team ready to take over, and no obvious strategic buyer, a transaction can become more complex.

In a recent podcast interview with Peter Nieberg, Founder of the Investment Banking Leaders Club, Gábor Szendrői of Concorde MB Partners discusses the creation of his advisory business in Hungary and how Management Buy-Ins (MBIs) became a core part of their approach to mid-market succession.

The discussion offers practical insight for business owners who may be considering liquidity, a future sale or long-term ownership transition, but are unsure who the natural buyer for their business might be.

Management Buy-Ins: An Alternative Succession Route for Business Owners

An MBI involves an external manager or operator acquiring a business - often alongside investors, bank financing and seller support - and then stepping into the company to lead it.

Unlike a Management Buy-Out (MBO), where the existing management team buys the company, an MBI brings in a new leader from outside the business. For company owners, this structure can be particularly relevant when the business has strong fundamentals but lacks a clear succession path.

In the right circumstances, an MBI can help create a credible route to liquidity while supporting continuity for the company, its employees and its customers.

When a Business Needs a Different Buyer Strategy

The podcast explores why the buyer universe is not always fixed, and how alternative transaction structures can create new options when the obvious buyer is not there.

For owners of mid-market businesses thinking about succession, liquidity or a future sale, the key message is clear: a lack of an obvious buyer does not necessarily mean there are no viable succession options.

Listen to the full podcast to learn more about how MBIs can help create a succession option when the natural buyer for a business is not immediately clear.

If you want to learn more about the differences between MBOs and MBIs and the strategic considerations as a potential succession solution for your company, check out Gábor's recent insights article on the subject here.