$1.1M Wire House Team Brings in $4.6M All In Offer
Practice Background
Our client operates a boutique firm with one supporting successor advisor servicing high net worth individuals in a wire house setting.
Client Objective
Our client sought a strategic partnership that would offer his clients a reputable custodian, superior customer service, robust tech stack, and back office support in a similar environment where all expenses are covered, allowing him to focus on growth. The lead advisor also sought a partner who was committed to ensuring financial growth and prosperity to the successor advisor.
Key Data
Top Line Revenue: $1.1M
AUM $120M
Number of Clients <50
All-In Offer* Highlights
Partial Acquisition at 25% with the lead advisor retaining 75% ownership
Sell and Stay Model
Closing Cash Payment of $480,000+
First Quarter Payment $240,000+
Second Quarter Payment $240,000+
1 Year Earn Out Payment of $206,000+ (10% Revenue Growth)
Equates to a 4.25x Multiple on Revenue with the client retaining ownership of 75% of the business
Additional Compensation
Base Salary of $250,000 plus 75% of Profit Distributions
Includes tag along rights to sell remaining portion during an event with the acquiring firm at a 10x multiple
*An All-In Offer includes any money paid upfront, signing bonus, and potential earn-outs based on growth. It does not include retirement or overrides on production. Assumes you hit all required transition, retention and growth expectations.