Background
Located within the County of Somerset. A well organised and managed IFA / Wealth Management business providing investment, pension, protection and mortgage services.
A total of 250 clients, holding c£25m of funds and generating c£104k of recurring revenue.
The average client holding is £330k.
The clients are largely based in the South West of England with some long standing clients based in Hants/Surrey.
There have been 12 DB transfers undertaken for 9 clients with a total value of c£3m. No issues have arisen or are anticipated.
A “vanilla” business. Clean, low risk, and efficient.
Requirement
The owner / Director has developed the firm and enjoys advisory activity / client facing work. Ongoing growth opportunity is quite evident.
Recent health issues, since past, have driven some reflection and re-calibration of life / work priorities.
Ever increasing demands from the Regulator makes ongoing wholly compliant and profitable trade a challenge. The same for many modestly scaled advisors / advisory firms.
To introduce the clients to a larger firm with local client servicing capabilities whilst assuming an employed advisory position is the ideal scenario.
Consideration
Normal market valuation dynamics will apply i.e. 3.25 to 3.5x the recurring revenue paid over 24 months with 50% of the consideration paid upfront. So, a headline valuation in the band £340k – £360k is reasonably expected.
Ongoing employment terms to be negotiated separately.
It is hoped deal terms can be achieved and a business sale completed during 2023.
Express Interest
