Fairstone refines buyout terms to focus on high-growth potential IFAs

Updated DBO model to ‘support increased valuations’

Jenna Brown
clock • 2 min read

Fairstone has updated its downstream buy out (DBO) model to give enhanced support to growth-focused IFA practices

Fairstone said the overhaul would place "greater emphasis on driving higher valuations for growth-focused wealth advisory firms".  It said its valuation framework would be directly tied to business performance and client outcomes, adding this would enable firms to "realise greater value as they grow".  The DBO model sees the firm take a minority stake in an advisory business looking to sell. Fairstone then provides operational and financial support, giving principals time to grow their business before full acquisition.  It said the revised DBO model would focus on "ambitious firms ...

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 profession

Polling high – should advisers bank on Reform UK holding on?

Polling high – should advisers bank on Reform UK holding on?

Nigel Farage-led party's policies would likely mean big tax changes if Reform came into power

Isabel Baxter
clock 30 July 2025 • 7 min read
Financial planning 'badly' needed PFS £1m talent pledge – what next?

Financial planning 'badly' needed PFS £1m talent pledge – what next?

Considerations include representation, showing not telling, and small business support

Jen Frost
clock 29 July 2025 • 6 min read
FNZ hit with $4.6bn class action from employee shareholders

FNZ hit with $4.6bn class action from employee shareholders

Claimants argue institutional investors received new shares and warrants on more favourable terms

Sahar Nazir
clock 28 July 2025 • 1 min read