Can an M&A advisor share client information when introducing a client?

The short answer: permission first, then fit facts only

An advisor can share client information with a third party when the client has agreed and the disclosure stays within what the engagement letter and any NDAs allow. For a SourceX introduction that means two steps: ask the owner first, then share a handful of fit facts, never documents.

A useful test: if the owner would be surprised to hear what you said, you said too much.

Where do your confidentiality duties come from?

Usually from several documents at once, and the strictest one controls.

An active sale process is itself confidential. Unless the owner says otherwise, do not tell anyone, SourceX included, that the company is for sale.

What can you share, and what should you never share?

SourceX asks partners for basic fit information only. Partners never export, upload or describe confidential records; the company completes its own data inventory later, and it settles redaction and de-identification rules with SourceX before anything starts.

How do you ask the owner for permission?

Ask in writing, name exactly what you will share and promise nothing. A short note is enough:

The owner's reply by email becomes your consent record. The guide on how to talk to business owners about AI has scripts for the questions that usually follow.

The cleanest route: let the owner apply

The least information passes through you when the company applies itself.

1. Get the owner's permission in writing.
2. Send your referral link, which takes the company to sourcex.si/apply with your referral code attached, so your credit is preserved.
3. The owner enters the company's own details; nothing confidential passes through you.
4. SourceX qualifies the company directly with the owner or another authorized sponsor.
5. Any later inventory, pricing and contracting happen between SourceX and the company.

If you use the referral form instead, keep it to the fit facts the owner approved. For a client in the middle of an acquisition, the advisor playbook for introductions during integration covers timing.

Do you need to disclose your own referral reward?

Yes, and at the moment you ask permission, not afterwards. Partners earn 25% of the eligible platform fees SourceX actually collects from the referred company's licensing deals, capped at $100,000 per referred company, payable only after the buyer pays and SourceX receives its fee. The reward is never deducted from what the company receives, and no reward is guaranteed.

If you also recommend SourceX publicly, for example in a newsletter or a LinkedIn post, the FTC staff FAQ on the Endorsement Guides says a connection that a significant minority of readers would not expect, and that would affect how they weigh the recommendation, should be disclosed clearly and close to it (FTC Endorsement Guides FAQ; 16 CFR Part 255). Whether you may accept a reward at all depends on your registration and firm, and the question page on referral fees for investment bankers and M&A advisors covers that.

This is general information, not legal, tax or financial advice. Confirm with your own counsel or compliance team before acting.

When is the answer no?

• The owner has not agreed, or agreed only to a conversation rather than to sharing details.
• Your engagement letter or a buyer NDA forbids the disclosure.
• The company's records mainly belong to its own clients, so even fit facts would describe someone else's data.
• You are a registered representative and your firm has not approved the activity.

Next step

Before asking permission, compare the company with who qualifies or run it through the company fit checker, which needs no contact details. When you are ready to introduce clients, register as a partner; the program page for M&A advisors describes how advisors take part.