Headlines:
- A huge amount of Merger and Acquisition activity in the sector
Key Issues and Challenges:
- There is a conflict of interest between the wall of Private Equity money that is flooding the market. Their
short-term investment horizon (3-5 years) conflict with a client’s long-term investment horizon (often 30 years
plus) - To have good succession planning we need more new blood in the adviser industry but the traditional routes
of entry no longer exists. The industry as a whole should invest in new recruitment strategies
Conclusion and Solutions:
- The key to a happy exit is to plan early. Don’t leave things until the last minute, it will restrict your options
- Good succession planning should be reviewed at least once per annum and don’t dismiss the opportunity
of current staff/advisers acquiring the business from you. Prices are very competitive so that’s not always
possible. However, Chris Budd’s book, “The Eternal Business” is worth a read. It focuses on how
Employee Ownership Trusts can be used to transition the business to staff and is worth considering as an
option) - Good succession planning means giving staff some security about the future
Experts:
John Chapman, Orion Consultancy Ltd
Keith Hare, Benchmark
Facilitator:
John Chapman, Orion Consultancy Ltd
John Chapman, Orion Consultancy Ltd
