The official Retiring Accountant blog.
Don’t wait around for good things to happen…
You might be waiting forever in the current climate…
With coronavirus taking hold for a long year, climate change continuing to be a hovering grey cloud, and Brexit refusing to leave, it seems positivity is nowhere to be found.
However, you can create your own good news…
Let us help.
The process of selling your Accountancy practice can be tricky, but our eBook The 9 Steps to Stop Unwittingly Losing Cash During Negotiations on the Sale of your Accountancy Practice, makes it a piece of cake.
Download it now, and learn everything you’ll need for exiting the industry.
You could wait (potentially forever), for the world to become right again…
Or…. You could take care of your world and start the process of a lifetime.
I know what I would do…
Best wishes,
Steve Hagues
PS If you want to understand the difference between perspective and cognitive intelligence, click here.
PPS Want to know what the market is doing right now? Click here, our expert consultants are here to update you with all the information you seek!
What’s under your tree?
Christmas is soon approaching, and I think it’s fair to say we all deserve a few extra gifts under our trees for putting up with this year…
One of those extra gifts could be a new pair of socks…
Or a new winter jacket…
Or… you could get yourself and your family the gift of a lifetime.
Why don’t you reach for the stars this Christmas, and start the process of acquiring an Accountancy practice before the year is out.
It could make 2021 your best year to date.
However…
Starting this process can be tricky…
Don’t get snowed under with thoughts and queries on how to seamlessly acquire a fruitful practice. Let us do all the hard work for you.
Download our eBook five fatal errors when buying accountancy practices now.
It’ll steer you straight on your journey to a harmonious handover.
Make your families Christmas an unforgettable one, whilst also securing their happiness and safety in an undulating, ever-changing world.
Best wishes,
Steve Hagues
PS If you want to know what our Due Diligence Checklist consists of, click here.
PPS Want to know what the market is doing right now? Click here, our expert consultants are here to update you with all the information you seek!
Covid-19 Changing Your Game?
Are you an Accountancy business owner who, before the Pandemic, wanted to start the process of Retiring and selling your Accountancy business?
Maybe you were planning to cut back on your schedule and wanted assistance to ensure that your clients would be looked after whilst taking away a premium cash sum for all your hard work over the years...
Well, just because Covid-19 adjusted the rules, doesn't mean that your game plan has to change.
The object of the game is to....
Make sure your clients are well looked after...
Walk off into the sunset with that lump sum in your pocket...
Basically.....Live your best life!
With all the news about Covid, it would be easy to completely forget the fundamental basics that will steer you in the right direction to pick the right acquirer for your Accountancy business.
And don't forget that acquirers are only looking for the best Accountancy businesses out there...
Which is why our eBook - which includes the eight key metrics which determine the value of your business - and the essential tips for making your business attractive so you can secure a premium offer is worth it's weight in gold right now!
Give just 10 minutes of your time now to sit and read The 7 Steps to Selling Your Accountancy business here...
And learn how you can turn the object of the game into a reality.
Best wishes,
Steve Hagues
PS. There are only 97 copies of this eBook available, click here to get your copy!
PS. Any questions you have on the eBook just give one of our experts a call here.
Preparing Your Accountancy Practice for Acquisition – Part 3!
Welcome to part 3 of how to prepare your Accountancy practice for acquisition!
Over the last two blogs we discussed how important it is for you to have in your mind’s eye exactly what you want to achieve from the sale of your Accountancy practice before you even start the process…
And exactly how to make that happen…
From both your perspective and the perspective of the acquirer!
If you are only just joining us, then check out our first two blogs to get yourself caught up and then you can round it off with…
This third and final blog!
In this week’s segment, we will go through the importance of preparing a sellers pack and carrying out your own due diligence.
Let’s get started!
Prepare a seller pack.
A seller pack is a specially prepared pack put together by you the exiting party.
It outlines your proposition, and includes client make up and key financial information.
Why is it important?
Well, it helps you to focus on what you want to achieve out of the sale and what is important…
**Remember we said at the beginning, that roughly 2 years of planning and preparing before starting the process is best to ensure you cover all your basis.**
Well this is essentially putting your thoughts and planning onto paper and presenting it to the acquirer.
Having the seller pack won’t leave room for doubt or potential discord and it will let acquirers know that you are serious in your deal.
Do your due diligence.
I cannot stress enough how important this is!
You might think that because you are the exiting party then the act of due diligence doesn’t apply to you.
If you don’t carry out your due diligence then how can you be absolutely sure of your acquirer’s ethical and financial position and intentions?
Would you hand over your life’s work over to someone you don’t know?
No, you wouldn’t.
Your due diligence on them is as important as their due diligence on you.
The ‘sale and purchase’ agreement.
Once the due diligence is completed and you are approaching the closure of the deal, you will be provided with a sale and purchase agreement.
Before you get to this stage it would be wise, if you could attain a sample of this document due to some SPA’s running to 100 pages long.
It will help you if you know your way around the document beforehand.
The ultimate payday.
The ultimate question that you will hopefully have a clear answer to…
How do you want to get paid?
Whether it is a one off lump sum or a longer term of payments based around a lifetime income…
Make sure you know exactly which method of payment will best suit you and the lifestyle you want for yourself after you have sold your business.
Consider the timing.
Make sure you are familiar with the statutory notice periods that you need to give to your network and insurers.
It is important to let all these people know in good time, so they don’t think they are an afterthought.
It is also cost effective. Considering your costs for PI, regulatory fees and authorisation, these are usually paid in advance for 12 months with little or no refunds for cancellation during the year.
We hope this checklist gives you a strong idea of how to go through the process of preparing yourself and your Accountancy practice for sale.
This blog has two main aims…
We want to assist you in achieving a premium price for your Accountancy practice, whilst being comforted in the knowledge that your business is going to be well taken care of by its new owners.
And to stress the importance of preparation.
Because as cheesy as it sounds, if you fail to plan then you plan to fail…
And that saying is so true when it comes to getting the best for your Accountancy practice sale.
Best wishes,
Steve Hagues
PS. Click here, to speak to one of our experienced and dedicated consultants who can:
Preparing Your Accountancy practice for Acquisition – Part 2!
Welcome back to our blog on how to prepare your Accountancy practice for acquisition!
For those new to this segment, if you are looking to exit the industry and sell your Accountancy practice, then this blog can provide you with the steps you need to take and the changes you might need to make, to ensure that you have what it takes to attract in potential acquirers…
And earn you a premium offer for your Accountancy practice!
Last week we covered how to start preparing not just the business but yourself for the process of putting your Accountancy practice on the market.
If you haven’t read part 1 yet, don’t worry you can find it below and come back to part 2 when you have finished…
Go on… Give it a read!
For our readers who are already caught up, let us dive right in…
Segment your client base.
So ask yourself these questions…
Which clients make me the most money and which clients don’t?
Do I have clients that I love working with but make very little profit on?
For now whilst you prepare, nobody else needs to know the answer to those questions…
But you sure do!
If you can’t really answer them honestly, why not try a client segmentation exercise? It will not only help you understand where your business is at now. It will also help you adjust your proposition to be more attractive for sale by focussing on quality professional relationships.
Cleanse and reboot.
For potential acquirers, there is nothing worse than being faced with piles and piles of paperwork when they are carrying out due diligence on the business they are interested in…
And in the past, we have had acquirers pull out of deals because they felt they couldn’t properly go through everything they needed to because the paperwork was so extensive and unorganised.
Investing in a decent CRM system to go paperless is a great way to keep your paperwork accurate, up to date and organised.
It will also be easier for potential acquirers to go through when deciding if they should invest in you!
Where do your clients go from here?
I could put money on the fact that even at this really important milestone in your life your biggest concern isn’t you right now…
It is your clients!
Where will they go?
What will become of them?
Will they be looked after?
Am I right?
Yes I am…and of course you have every right to be concerned about the uncertainty that these questions pose.
But ultimately, who you decide to sell your business to, is your choice.
Because you have worked hard to build up a loyal client following and know your clients better than anyone, I am sure you won’t just let them go to the first firm or Accountant that gives you the highest offer.
And don’t forget that it is crucial for your post-exit reputation that your clients continue to be well looked after...
So don’t put off really thinking about what type of firm or Accountant you want your clients to go to.
Protect yourself
To further protect yourself and your clients during the process, don’t give potential acquirers unrestricted access to your business data and client records.
Utilise an NDA to ensue your obligations are met under The Data Protection Act and protect you against data misuse.
The other POV.
Here at Retiring Accountant, we are firm believers that if you understand what a potential acquirer is looking to achieve it can help greatly to help you achieve your goal of a premium price for your business without you needing to sacrifice anything else that might be important to you.
Categorise the acquirers you meet with so you know right off the bat, whether they will fit in with what you envision going forward.
Are they:
Of course, these examples are only few but have a think about it if you were in the acquirers shoes.
What other acquirer motivations can you foresee yourself coming up against and how would you deal with them to ensure the perfect moulding of your business with them?
After reading Part 1 and now Part 2 of this blog, you will be starting to get a feel for the exact steps you need to take to ensure you are steering yourself towards the right acquirer for your business.
Join us next week for the 3rd and final part!
Best wishes,
Steve Hagues
PS. Join us again for Part 3, which focusses on you the seller and what you need to do to ensure that you walk away with a premium offer for your Accountancy practice!
Preparing Your Accountancy Practice for Acquisition – Part 1!
Over many years of experience we have dealt with countless Accountants seeking an acquisitions specialist and have had the opportunity to locate, facilitate and support a number of Accountancy business sales.
Whether or not you have a fully ‘prepared for sale’ business, can make or break not just the valuation and offer but if the buyer even decides to proceed!
Over the next 3 weeks, our blogs aim to share with you, your very own quick fire starter checklist that will highlight all the points you should consider when preparing your Accountancy practice for acquisition…
Even the most prepared Accountancy firms should start to begin the process at least 2 years before you start opening doors to discussions with prospective buyers.
As you read further into the blogs, you will see why…
Why do you want to exit the industry?
Why do you want to sell your Accountancy practice?
Understanding your emotional motivators will keep you focused on your end goal. To help you achieve this, try and picture and understand what your world will look like post sale.
When you meet potential acquirers you want to put forward a clear and concise picture for them of…
What your Accountancy practice is…
Your firms USP’s…
Your preferred outcome.
A business that isn’t efficiently run will make any acquirer run a mile…
So you need to make sure yours is an efficiently run Accountancy practice with strong turnover which, will be far more attractive than a practice that wastes money.
Burn this formula into your mind and don’t forget its meaning or just how powerful it will be for you to achieve the optimum result…
Improve efficiency + cut out unnecessary costs = Increased turnover
Two words that have very important meaning for the price you can get for your Accountancy practice.
Many acquisition strategies and valuations emphasise greatly on your businesses level of recurring income…
The most lucrative strategies expect to see business where at least 50% of turnover includes annual recurring income.
If your business isn’t quite there yet then make sure you get it there…
Because the difference will be great!
Best wishes,
Steve Hagues
PS. Visit the Retiring Accountant website next week for Part 2 of our blog which explains why segmenting your client base is important to attracting high quality buyers and a premium price for your Accountancy practice.
Getting The Right Price For Your Accountancy Practice?
If you want to sell your Accountancy practice...
It is always great to hear about how someone else has done it right... Right?
Click the link below to watch the video with Accountancy practice sellers we have helped.
Listen to how we have helped them achieve a premium price for their Accountancy practice...
And if you are an Accountancy practice owner who is looking for the right people to push you forward to achieving your premium price, then reply to this email with the word 'Premium'.
I have the exact thing that you need!
Best wishes,
Steve Hagues
Will You Settle For The Unsavoury Accountant?
When it comes to selling your Accountancy practice it is imperative to have a high buyer base.
Because the higher the buyer base…
The higher the potential price for your business!
So how do you find the most suitable acquirers out there and how to you spot the ones to stay away from?
Listed below are the 4 most unsavoury buyers to stay away from when it comes to selling your Accountancy practice!
Click here to download our eVideo, so you can learn how to spot them a mile away and most importantly…
Stay away from them!
Not being able to recognise the hesitation of Phil Frozen or the cunningness of Fish and Chip Charlie are the fundamental reasons that you will end up signing away your IFA business…
For less than a premium offer!
So if you definitely don’t want to sign away your life’s work for anything less than a premium offer, then here are 3 ways I can help:
Watch your FREE video on the 2 Most Costliest Mistakes you will make when selling your Accountancy practice to uncover the tricks of these 4 ugly characters by clicking here.
Speak to one of our highly trained consultants who can answer any questions you have and give you a full no obligation valuation of your Accountancy practice by clicking here
Do you want access to the most elite acquirers on the market right now? Reply back to this email with the word ‘Access’, and I will be in touch.
Best wishes,
Steve Hagues
PS. You might think handing over your Accountancy practice to someone you know is a good idea. Download our eVideo here to find out why you would be wrong!
Accountants: Is it Your First Time?
Buying an Accountancy practice is definitely a game changer in your career. You can earn more whilst being your own boss.
But it comes with a lot of responsibilities too.
Understanding important aspects of the business is key to a successful acquisition. Factors such as:
Client numbers and behaviours.
The financial records and cash flow of the business.
Statistics of the business.
And you should ask yourself, ‘Is there room for potential growth’?
Researching and understanding these (and other factors), will help you determine if the business is a financially viable concern.
Lack of research and understanding of what you should be looking for is a fatal error.
You can start your research by downloading our eBook here. It will save you from committing the 5 Fatal Errors made when buying an Accountancy practice. Errors such as…
Not asking the question of why the existing owner is selling up or…
Taking what they say at face value, without doing your due diligence.
If you don’t put the work in, you will end up acquiring a business that isn’t fit for purpose and you will have to put your hand back in your pocket to make it so.
So if you are new to acquiring – or you have acquired before – but need steering in the right direction for that premium acquisition then here are 3 ways I can help:
Download our eBook on the 5 Fatal Errors when buying an Accountancy practice. Access to this and your very own due diligence checklist will reap dividends when it comes to acquiring. It costs you nothing but 5 minutes of your time so go ahead and get your FREE copy by clicking here.
Book in for a free no obligation telephone appointment with us! We can answer your questions on acquiring and give you an update on what the market is doing right now. Just click here.
Want a head start on acquiring with access to premium Accountancy practice sellers in the country? Reply back to this email with the word ‘Guild’ and I will get straight back to you!
Best wishes,
Steve Hagues
PS. Download our eBook here to get the tools to make sure your acquisition doesn’t fail immediately after completion!
Accountants: Did You Miss This?
I wanted to reach out to the significant number of Accountancy practice owners who have been effected by the current situation.
Effected, if you are over 60, considered medically high risk or if you are just scared of meeting with clients at the moment.
Or on the other side of the coin, maybe you just really enjoy being at home at the moment. Sick of running your practice and your heart isn’t in it anymore?
You want to be somewhere else, doing something else!
First thing I want you to know is you are not alone, there are many Accountancy practice owners who are seriously considering the options available to them.
But the responses I am hearing are:
How do I get a good price when the economy is flat lining like this?
I need someone to look after these clients now!
Who can provide locum cover immediately?
I am concerned about being on the market at the same time as everyone else.
Who out there actually has the cash ready to pay up front?
Who out there is ready to move quickly? I don’t want to be messed around!
Our Buyers Guild – which covers the whole of the UK - are able to offer immediate locum cover and have cash available to purchase right now.
The world is heading for a severe recession and there is a lot of fear around physically but also commercially however, it is also the reason why we are seeing demand for acquisitions rising rapidly.
You will have been through previous recessions and what happens is clients, they go for cheaper options and unnecessary expenditure will be cancelled until it is affordable again.
So what is it that every practice owner needs in a recession? It is new clients, new business, new recurring revenue introduced to them.
You won’t actually find another time of higher demand!
But that is only want one part of what we need. We also need affordability as well.
All members of the historic Buyers Guild are able to provide immediate locum cover for your clients and have proved that they have immediate cash available.
Not everyone gets onto our Buyers Guild. It is reserved for top class buyers and so to qualify acquirers must be trading and proficient in the Accountancy industry (not as employees), but as owners running their own business.
This is so we and you know that they have the experience and the skills to look after your clients properly.
To even join the Guild, they must pay a retainer! This tells us and you that they genuinely looking and they have a serious intention to get your business off the market so you won’t get messed around!
They have proof of funding so that you know they are a genuine prospective acquirer and you aren’t wasting your time with a wannabe who doesn’t actually have the cash to do anything.
Of course this isn’t for everyone, our Guild is full of Accountancy practice acquirers who don’t want to be messed around either.
So if you are genuinely considering your options and you have a good business with good clients and good staff that you want to look after then here are 3 ways I can help:
Whilst we are all in enforced downtime, why not take the time you have to have a read over our FREE guide to the 7 Steps to Selling Your Accountancy practice. You can have the critical tools that are essential to understanding the buyer perspective, which you can use to your advantage to ensure you secure a premium offer by clicking here.
Book in for a conversation with me and the team. We can realistically tell you what you can expect to receive for your Accountancy practice right now. Click here to book a free and no obligation phone call now.
We can also share with you how many of the guild are within striking distance and who they are, so you can make a decision on the market and understand what is going on. If you would like more information, reply back to this email with the word ‘Guild’ and I will get straight back to you.
Best wishes,
Steve Hagues
PS. There are eight key metrics that determine the value of Accountancy practice. Click here to find out what they are!
Retiring Accountant
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Highfield Business Park
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North Yorkshire
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