Tom, an accountant, had a partnership in a financial planning business with a financial adviser. The financial adviser wanted to retire and sell the business.
For Tom the major concern was the proposed purchaser was an accounting / advice business and there was a chance the accountant, although he would get paid for the advice business, would loose the accounting clients to the new business.
HNW agreed to purchase the partner’s share of the business and continued to service the clients. In the 12 months since the transaction:
- No accounting clients have left the practice
- The retiring partner was paid out 100% upfront
- The business revenue has grown as new opportunities were identified
- Profit has increased