planning your succession
For financial planners, succession planning is vital in ensuring business continuity and sustainability. But while succession planning is often talked about in the financial planning industry, very few planners actually put their words into action.
Consider the following important questions:
- are you the sole key individual in your financial planning practice?
- do you want your clients to be advised after your retirement?
- have you built a business worth selling?
If you answered ‘yes’ to any these questions, you should ensure that you have an effective succession and business continuity plan and procedure in place. If you do not, you may be forced to make last minute decisions that are not always in the best interests of your clients or staff.
creating certainty
Business continuity provides a sense of certainty around an uncertain future event – your succession. This will give you peace of mind around who will continue to advise your clients when you exit your practice, how the transaction will be facilitated, how the capital value of your client book will be determined and when you will receive payment.
Many planners tend to confuse buy-and-sell arrangements with business continuity plans. However, buy-and-sell arrangements don’t provide all the certainty you need. More often than not, these agreements are merely an expensive method of financing a future dated sale.
how we can help you
At acsis, we assist South Africa’s leading independent financial planners to build, run and exit their businesses effectively and profitably. Over the years, we have found that the most effective business continuity plan is one that not only addresses the funding requirements of how and when payment is received, but also very importantly, how clients are transitioned from one planner to another. Based on our experience, we have developed a unique approach that provides certainty in the form of a future sale agreement. This agreement provides you with absolute certainty that a pre-qualified buyer will be identified within 15 business days of you exiting your practice.
Knowing that a suitably profiled and qualified buyer, with sufficient financial resources, can be identified within days of your exit from your practice is what we call peace of mind. This is the undertaking you get from a future sale agreement with acsis.
contact us
You can contact Ricardo Teixeira, Head of Business Management at acsis,
on +27 (11) 883 1303.
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