Exiting advisers on the hunt for buyers for their firms are being warned to beware tempting deals which could have hidden pitfalls.
Merchant House Group today revealed it made a £1.69m pre-tax profit in the year to December 2010.
Merchant House has taken on 120 ex-Clarkson Hill advisers and raised £345,000 in a share issue to help fund the growth of the business.
The first tranche of former Clarkson Hill advisers who joined Moneygate Group today received their CF30 authorisations from the FSA.
Clarkson Hill Group, the financial adviser in administration following concerns over its capital position, has had its share trading on AIM cancelled after failing to re-appoint a nominated adviser (nomad).
Merchant House is looking to become a market leader in the IFA space after acquiring assets and advisers from Clarkson Hill and is currently holding acquisition talks with another IFA firm.
Merchant House has acquired a number of assets from Clarkson Hill as it seeks to launch a new financial planning venture, but it has not agreed a bulk transfer of its advisers.
Moneygate has revealed it spent £100k on due diligence into the failed acquisition of Clarkson Hill, but says it will now take on advisers wishing to join the firm.
AIM-listed national IFA Clarkson Hill has appointed Bridge Business Recovery as administrator.
IFA consolidator Moneygate says it has been carrying out due diligence on beleaguered national Clarkson Hill for three months with a view to making an offer but has been forced to review its position after the IFA was prevented from carrying out regulated...