Advisers thinking of selling their business should do so before 2021 budget - M&A specialist

Tax changes on the horizon

Hannah Godfrey
clock • 2 min read

Advisers looking to sell their business should consider doing so before the 2021 budget because next year could see tax rises that reduce the value of sale proceeds or make buying a firm more costly, according to Giles Dunning, a merger and acquisition (M&A) specialist.

Given the levels of government borrowing, public finances need to be repaired and tax rises in the next budget cannot be ruled out, Dunning, who is a partner at law firm Stephens Scown and specialises in adviser M&A work, has argued.  "Of course, we will not know until the next budget but those likely to sell in the near future should at least consider possible tax changes with their advisers," he added.  Dunning said there was a pent-up demand to buy "quality IFA firms", particularly from consolidators with war chests, and a growing number of would-be sellers who would have sold in 2...

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