Preparing to sell? Smarter IFAs are becoming more corporate first, says consultant

Harrison Spence director Brian Spence said there is uncertainty about the value of adviser businesses at present. Firms can still get about three times recurring income if they have a model of 0.5% trail, he said. However, new model firms that work on the basis of receiving 1% trail are only being offered about 2.2 times recurring income as the uplift has already been priced in with their higher charge, he said. "If you are buying a business, you want to be able to increase margins. With firms on 1% trail that is already priced in so you see a situation where better companies are a...