PA360 North: Smaller advice firms outshine as the most profitable

More than 95% of advice firms with one adviser are making a profit

Isabel Baxter
clock • 1 min read

Smaller advice firms with under five advisers are currently generating more profit, delegates heard.

Speaking at PA360 North yesterday (4 October), Benchmark Capital senior business development consultant Dan Fairweather revealed that 95.5% of advisory firms with just one adviser are making a profit and 42.9% average profit as a percentage of revenue. Meanwhile, an advisory firm with between two and five advisers do not come far behind with 93.9% and a firm with six-50 advisers at 90.6%. That percentage amount drops when it comes to firms with over 50 advisers, with 72.2%. Additionally, the average profit as a percentage of revenue those firms make is -1.5%. Fairweather explained:...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Your Business

Justine Randall: There has never been a better time to be an IFA

Justine Randall: There has never been a better time to be an IFA

Number of advisers not high enough to service client demand

Jenna Brown
clock 18 April 2024 • 2 min read
Is your advisory firm menopause-friendly? Five key areas of focus

Is your advisory firm menopause-friendly? Five key areas of focus

Why it makes business sense to talk about menopause

Jenna Brown
clock 17 April 2024 • 3 min read
PA360: Only two weeks left to secure your place for the big day!

PA360: Only two weeks left to secure your place for the big day!

Join us at etc.venues in the City of London on Thursday 26 April

Professional Adviser
clock 17 April 2024 • 1 min read