We help clients investigate and transact on buying financial planning businesses and client bases, managing expectations, pricing right and your payback period.
Why it’s important to buy the right practice, the right way
With the increasing regulatory costs, scale is a major contributor to financial success in these businesses. As such, buying a client base or business, can build your own base faster, allowing you to derive strong profits, pay down debt and build a healthy asset. If you’re starting out, or already at 2m in revenue, it’s likely that more revenue, is going to contribute significantly more to your bottom line.
We’ve seen plenty of examples where a purchaser has overpaid for a client base and not done their due diligence, being left out of pocket. Other times, unrepresented buyers complain of not being taken seriously.
Our 8 step process for buying a practice
- Understand your existing business
- Understand your incremental profit and the value the planned acquisition brings
- Understand how much you can offer
- Document a terms sheet, including terms you require to make the deal work (e.g. handover periods, staff transitioning etc.)
- Assist with negotiations
- Inform lawyers
- Provide guidance about financing
- Support you through completion and execution
Why Choose Accru
Accru has been helping clients buy businesses since inception. Our experience is underpinned by:
- Our valuation expertise
- Our understanding of financial services transactions
- Our understanding of cashflows in the industry
- Our understanding of business risks
- Our understanding of relevant payback periods
- Our understanding of the ownership journey
- Success stories and horror stories of business valuations
If you are thinking of growing through acquisition, and would like to ensure the get the right practice for the right price, please get in touch.
