Marketplace Standards
What we accept, and what we decline
A marketplace is only as good as the standard it enforces. Ours is written down.
Here is what we assess
Vareth is judged on the quality of its introductions, not the size of its database. A smaller marketplace where every opportunity has been reviewed is worth more to a buyer than a large one that leaves them to do all the filtering. It is also worth more to a seller, because the buyers stay engaged.
That only works if we decline things. Here is what we assess.
Opportunities we accept
An opportunity is eligible when:
The submitter is the owner, a shareholder with authority, or an authorized representative with documented authority
The business is a real, operating entity, registered and in active status
Financial information is provided in good faith and supported by documentation appropriate to the size and type of business
The opportunity is genuine: the seller is actually exploring a sale, not testing the market with no intention of transacting
Any restriction on using additional buyer-sourcing channels has been disclosed
The business fits, or is close to, our focus: established U.S. businesses of approximately $2M to $50M in annual revenue
Reasons we decline
Most declines are procedural and fixable:
Authority cannot be established. We cannot confirm ownership or representative authority.
Information is too incomplete to present. A buyer could not form a preliminary view from what was provided.
The entity cannot be verified. Registration, status or existence checks fail or return material discrepancies.
Figures are inconsistent with the documentation. Where this appears innocent, we ask first. Where it does not, we decline.
No buyer demand. We have no acquirers whose criteria fit. This is a statement about our marketplace, not your business.
Broadly marketed already. Where an opportunity has been widely circulated, curated distribution adds little and buyers will have seen it.
Outside scope. Capital raises, pre-revenue companies, asset-only sales and businesses outside our focus range.
Undisclosed restrictions. Exclusivity or contractual limits that make an additional channel inappropriate.
Integrity concerns. Misrepresentation, undisclosed material litigation or regulatory issues, or unlawful activity.
Buyers we accept
Identity, organization and role reviewed
An acquisition mandate stated in enough detail to match against
Where appropriate to the opportunity: relevant track record and a credible funding approach
Acceptance of confidentiality terms before receiving protected material
Introduction requests that state a genuine rationale
Grounds for removing a buyer
Misrepresenting identity, role, mandate or capability
Requesting introductions without genuine acquisition intent
Breaching confidentiality terms
Attempting to circumvent the introduction process to contact sellers directly
Using the marketplace for competitive intelligence rather than acquisition
Conduct that a seller or advisor could reasonably describe as bad faith
Keeping information current
Participants must keep their information accurate. If your financial position, ownership, timeline or availability changes materially, tell us. If your business is no longer for sale, tell us. An opportunity we distribute after it has gone stale costs a buyer real time and costs us credibility.
Buyers must keep mandates current for the same reason.
What happens when standards are breached
Depending on severity, we may request clarification, pause an opportunity, suspend an account, or permanently remove a participant. Where a buyer has been affected by a seller-side breach, we apply our discrepancy policy. Where the failure originated with us, we correct it, disclose it and make it right.