Many of these start-ups ‘feel there has never been a better time to enter the market’
I’ve been talking a lot lately in conversations with clients about how much the buyer market has changed over the last 18 months – 24 months, and how those changes have been predominantly led by the increasing number of ‘start-up’ buyers looking to enter the financial planning market in the UK, writes Louise Jeffreys, managing director of M&A consultancy firm Gunner & Co.
In the first quarter of 2021 alone, I estimate more than £385m ($537m, €443m) of private equity money being deployed in the sector, with much more to follow.
Many start-up buyers and private equity investors feel there has never been a better time to enter the market, with significant opportunity for returns driven by the stability of financial planning firms and their income streams, the opportunity for growth through new business and market growth and the fast-paced consolidation market.