This well-established acquirer has secured a £10m funding facility meaning they are enjoying great success in the acquisition market as they aren’t facing delays with funding like many of their competitors. As a result, they completed on 4 acquisitions in 2024 alone.
Acquisition Deal Value
They will consider paying 3.5 to 4.5 times recurring income for the right business / client bank and have completed on a number of deals on a payment structure of 60% upfront, 20% at 12 month and 20% at 24 months. They will consider both share or asset purchases subject to due diligence.
This is ideal for Financial Advice businesses who:
- Are considering retirement and want your clients to be looked after by a well-established financial advice firm of over 16 years
- Want to handover to a firm with experience of other acquisitions where there would be opportunity to speak with other satisfied vendors. Completed 16 successful acquisitions in total
- Are seeking a business that is able to advise whole of market, so your clients investment propositions can be retained
- Are looking for a firm with financial strength and a strong team of directors and management to lead the growth of this business
- Can have confidence that you will receive fair value for your business
The Company
The firm was established in 2009 and we have been involved with this firm since 2013. The team has grown to 30 which includes 11 Financial Advisors. The business has a head office in Manchester and a smaller office South of Liverpool and South Cumbria. However their clients are spread all over the UK. The business has an excellent back-office team, with 7 qualified Paraplanners and a 4 in their client care team, freeing up advisers to spend time with clients.
Their typical ongoing charge is;
- 1% up to £750k
- 0.75% for £750k – £2.5m
- 0.6% for over £2.5m
Any funds over £750k would be 2 f2f reviews per year, rather than 1 for anything under £750k. However, the firm would intend building client relationships during the deferred buy out period before making increases in ongoing fee charges or changing existing investment mandates. Either of these earlier changes would be in the context of adding value which could be in a variety of ways and with the client’s agreement.
IFA Client Bank Criteria
- Will consider all size firms from £10m to £300m+ FuM
- Average household values ideally in excess of £150k. Average within Compass currently is £350k
- Preference for none or few DB Pension Transfers if you are seeking a share sale
Financial Advisor Client Acquisition Benefits
- Over 100 years’ experience in the financial services industry, so you can be confident about the advice your clients will continue to receive
- A tailored personal service from investments to retirement planning to wealth management
- £10m banking facility that gives comfort over meeting acquisition payment terms
- This acquirer has completed 16 acquisitions providing peace of mind that they have a tried and tested transition process which will result in happy clients
- Very competitive multiples and payment terms with their typical range being 3.5x – 4.5x recurring income payable over 2 years with 60% upfront.
Locations
North West, North Wales, Midlands and South East
Call us now on 0208 0044 154 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; we give 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.