Are you a Financial Advisor based across the South East looking to sell or merge with a holding firm which recently merged two successful IFA businesses?

Sell and retire – acquisition options

This option would suit Financial Advisors or IFA businesses considering retirement immediately or at some point in the future.

  1. Wholly owned acquisitions
  2. Partly owned acquisitions
  3. AR firms for deferred purchase

Acquisition Deal Value

Competitive multiple of recurring income of between 3 and 4 times with a payment structure typically over 2 years.

Have a budget of circa £2m for the right business(s)

This is ideal for Financial Advisors based in South East where you:

  • Are considering retirement and want your clients to be looked after by local Financial Advisers
  • Ideal business is a Principal with a couple of Employed Advisers running a 0.5% ongoing model
  • Want the acquirer to have open architecture, where client’s investments can remain on existing mandates and charging structures, with no plans for immediate changes unless where the firm can add clear value to the client
  • Want an Acquirer where most of their clients are on 0.5% to 0.6% Adviser fee charging with no intention of increasing fees
  • Want to handover to a firm where one of the founders has circa 40 years industry
  • Have some clients are ex-pats – this firm has covered this marketplace for many years (until Brexit had dual authorisation through the FCA and since 1st Jan 2021 has split permissions by remaining DA with FCA for UK based advice and became AR’s of a leading Offshore Advice business with permissions in Europe for offshore advice).
  • Or have corporate clients where the firm has expertise in HR and Employee Benefits

The Company

With over 40 years financial industry experience, our client founded his Kent based IFA practice over 10 years ago. This was set up to provide specialist financial planning services to UK and Ex-Pat clients with accumulated capital who prefer the personal touch of a dedicated and trusted financial adviser.

The firm merged with another IFA firm based in Surrey with two areas of specialism being wealth management and employee benefits.

The aim of the combined group which consist of 3 IFAs and 7 Support Staff managing circa £85m of funds under management is to grow through acquisitions.

The firm combine with the expertise of other professionals:

  • Active investment managers, dedicated to managing client funds
  • Tax advisers, where additional expertise is required
  • Legal advisers when specific input is needed
  • And the back office for record keeping, compliance & administrative support

Their team of highly-qualified advisers cover specialist areas including pensions, investments, protection, mortgages, alternative investments, ex-pat advice, employee benefits including consultancy payroll and HR services.

With open architecture the firm can retain clients on existing investment mandates and charging structures.

The firm has cash reserves and other funding in place to fund suitable acquisition(s) of up to £2m consideration. They will consider options of full acquisition, part acquisition or providing Appointed Representative services with a deferred buyout.

IFA Client Bank Criteria

  • This will suit client banks made up of wealth clients, corporate clients or ex-Pats
  • Ideally, Adviser charging is no higher than 0.5% to 0.6% as this is the maximum amount charged by the Acquirer
  • Will consider asset or share purchases
  • Would rule out businesses with large protection books paid out under indemnity

Financial Advisor Client Acquisition Benefits

  • Directly authorised, independent with open architecture
  • Offices located in Kent and East Sussex
  • Over 40 years industry experience
  • Receptive to paying 4 times 0.5% recurring income, dependent on client bank

Locations

South East

Call us now on 0208 0044 162 to discuss this further

Liability and Disclaimer

The information contained in our advert including any on target earnings information are given in good faith and IFA Acquisitions Ltd uses all reasonable efforts to ensure that it is accurate. However, IFA Acquisitions Ltd gives no representation or warranty in respect of such information and all such representations and warranties, whether express or implied, are excluded. No liability is accepted by IFA Acquisitions Ltd for any loss or damage which may arise out of any person relying on or using any information within this advert.

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