Similar to joining a partnership, these allow firms where the owner has an exit planner to partner with the larger entity to provide minimal disruption to clients as the owner retires.
With large compliance and marketing teams, these franchise-style models can be particularly attractive to advisers fed up with their regulatory and compliance requirements.
One of the main differences between these style of buyouts and those offered through a partnership is branding.
With partnerships the majority of firms can keep their own branding and independence whilst benefiting from the central brand.
The larger firm buyout models tend to impose more in terms of branding and business direction. Sometimes the larger brands will also impose a restricted advice offering.
No matter what approach you choose to take, make sure you start planning for your exit as soon as possible.
Having a clear succession plan is a key part of business planning and determines the long-term direction for your firm.
Martin Brown is a managing partner at national IFA partnership Continuum
