Dont Burn IFA Bridges

As a new acquirer of an IFA Business you will no doubt have a lot of very important things you have to deal with. 

Have you thought about the possibility that the exiting owner can be a valuable asset to your newly acquired firms ongoing profitability and success?  

When acquiring an IFA business, it is really important to look at the retiring proprietor as someone who can assist you in:

Retention of staff 

Retention of clients

And, retention of profits

They are a leader and skilled at what they do. They are the keeper of this gold mine of opportunity for you in the years of goodwill and solid relationships they have built up. 

And, anxious to achieve the best price the exiting owner will be happy to add value to their business sale by conducting a full and healthy handover with you!

But even with these facts there are so many acquirers that do not take advantage of what the retiring proprietor can do for them. 

By clicking here to download our eBook you can learn why it is so important to have a smooth handover to ensure you continue healthy relationships with your clients after acquisition. 

So how to achieve this:

Well agreeing the purchase is one thing… Agreeing the specifics of the handover and definition of success is another matter entirely.

In short, make sure you put forward clear expectations of what you want the retiring proprietor to do for you by setting out exactly: 

How long the handover period will be. 

Minimum hours they need to fulfil in the office. 

Appointments per week to be carried out (with a total over the whole handover period). 

Agree a plan for joint meetings and definition of success.

Contacting clients to inform them of the sale and present them with the new business model. 

The reason that doing this is so important is two-fold:

Firstly, having the retiring owner in client meetings can help with instances such as a clash of personalities. Their ongoing relationship and physical presence can assist in smoothing over any conflict that may arise. 

Secondly, it enables you the buyer to give clients the truthful impression that the exiting proprietor is still involved in the business as a part time consultant. You can read here in our eBook all about how the feeling of continuity will help you to reap the benefits until the client is completely and contently under your wing.

And by the time you have gotten to the handover stage, you will have already built up a reliable and trustworthy connection with the IFA seller which will make the specifics of the handover run so efficiently. 

But if you have made the mistake in thinking that the IFA seller doesn’t matter in the acquisition process, it means you won’t have built up a positive relationship with them and this will have a very negative and knock on effect!

Over 80% of IFA buyers we have spoken to didn’t realise just how indispensable a healthy and communicative relationship with their seller was, and as a result they lost clients and their profits decreased rapidly.

Don’t let that be you!

If you are in the market for acquisition and you are looking to attract top IFA sellers, here are 3 ways I can help:

Claim your FREE copy of our guide that reveals why you are missing out on premium acquisition opportunities. Why retiring IFA owners are selling to your competitors and not you and how to fix it, by clicking here. 

Book in with one of our expert consultants who can give you the lowdown on the acquisition process. Can update you with sellers hot on the market right now and how to win them over, by clicking here. 

And if you want to find top sellers in your area, reply to this email with the words ‘IFA acquisition’ and I will see if I can help. 

Best Wishes

Stephen Hagues

P.S. Click here to download our eBook on the 5 Fatal Errors when buying IFA practices and remember, the more black and white rather than grey areas you and your exiting proprietor have then the less chance for errors, resentment and lost value later on!