The Company
Our client company was established in 2021 with offices based in London. They have grown their FuM to £190m FuM with 7 advisers. They offer independent financial advice with open architecture to enable clients to stay invested on existing investment mandates.
The firm have strong financials with funding in place to support their growth plans through acquisitions.
They have a great acquisition track record by having undertaken 3 previous acquisitions with many in pipeline where they have developed a tried and tested model of retaining clients.
Option – Sell and Stay (in the short/medium or long term)
This is ideal if:
- You would like to give up running your advisory business, however, not ready to stop advising
- You want to create a capital event with a highly competitive price for your business with competitive ongoing remuneration for continuing to advise
- You would like open architecture to allow your client to migrate on existing mandates where these best meet the clients’ needs
- You would like clients to benefit from economies of scale 80%+ of clients whom can save money with their inhouse investment proposition offering a broader range of cheaper products,
- Through economies of scale and using state of the art technology this allows the business to diversify revenue stream with higher margins and improve client outcomes
Value
Generally a multiple of 3x to 3.5x of ongoing fee income.
Typical deal structure of 50% upfront on completion, 25% at 12 months and 25% at 24 months. Or a longer earnout over c5 yeas is available which will unlock a higher multiple.
Benefits
- Independent Financial Advice
- Open architecture to leave clients on existing mandates whilst new relationships are built with advisers
- Deals are non-contingent to moving clients to in-house DFM / centralised investment proposition – although will often be in the clients best interest to do so
- No Minimum average holdings per household required
- Using digital marketplace model technology allows 60% more efficient processes
- Autonomous engagement with AI driven guidance enables lower value clients to manage finances independently, reducing the need for frequent adviser interactions
- Tried and tested acquisition model which will enable smooth transition of clients to maximise retention
- Will consider DB transfers subject to file checks via due diligence where transfer advice meets ‘Gold Standard’
Criteria
- You must be a Financial Adviser looking to carry on advising post sale – prepared to stay as long as you desire on the basis that you will not leave until clients are suitably migrated to new advisers
- You must be tech savvy and champion the use of technology and AI moving forward
- You must be charging 0.75% ongoing or less
- Clean compliance record with no / few upheld complaints
- Will consider DBTs as long as this is a relatively small % of FuM
- Needs to be an asset purchase
Locations
Nationwide
Call us now on 0208 0044 162 or click Apply
Liability and Disclaimer
The information contained in our advert including any valuation calculations and percentage of up front and deferred payments are given in good faith and Premier Jobs UK Ltd uses all reasonable efforts to ensure that it is accurate. However, Premier Jobs UK 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 Premier Jobs UK Ltd for any loss or damage which may arise out of any person relying on or using any information within this advert.