Retiring Accountant - Blog Archives

Little Big Accountancy Lies! 

According to a study conducted by the University of Massachusetts 60% of adults can’t have a 10-minute conversation without lying at least once!

Apparently, those people who did tell lies actually told an average of three lies during their brief chat.

Not big lies in the grand scheme of things, but small and innocent fibs here and there.

The shocking thing is, they didn’t even realise they were doing it!

Most were aghast when they listened to recordings of what they had said… At least that is what they claimed! 

The fact that these lies were so easily told completely knocked me over.  

But when I really thought about it, I came to the conclusion that perhaps it isn’t so shocking!

Because most people spend every hour of every day lying to themselves. 

But what if we cannot be truthful with ourselves. Where will it get us? 

If we can’t be truthful with ourselves there is no way in hell we are going to be truthful to other people and so it poses the question…

What are you lying to yourself about the most?

You need to answer yourself honestly, because being honest has the power to make you really look in the mirror and force you to come to terms with any insecurities you might have. 

So be honest: 

Are you really that happy with the performance of your business?

Does the car you drive, or the house you live in fill you with satisfaction? 

What about the relationships you have with your family and friends, are they fulfilling? 

Are you really dedicated to achieving your goals?

It could be anything but at the end of the day, being honest with yourself is the first step you need to take to change your situation and turn it into something you truly want...

And if what you want is more clients and a considerable and desirable business then you should click here to download our highly recommended eBook on buying accountancy practices.  

By investing ten minutes of your time, the eBook available above will share with you the nine factors that accurately predict a firms profit uplift potential so you know which ones are worth investing in.

And if you want to expand your horizons through accountancy acquisition then here are three ways I can help: 

Call us! We have expert consultants specially trained to answer all the questions you don’t even know you have on acquiring an accountancy practice. If you are ready for guidance and a step by step walk through of the process, click here now. 

Claim your free no obligation guide to buying an accountancy practice. This eBook will walk you through how to prepare for your acquisition journey and most importantly will give you the lowdown on the pitfalls of acquisition. 

If you are in the market and want to attract the top accountancy sellers, reply with the word ‘truth’ and I will see if I can help.  

Best wishes, 

Steve Hagues

PS. Don’t lie to yourself any longer! Begin the journey of improving your business through acquisition by clicking here to read up on the five fatal errors made when buying an accountancy practice!

Accountancy Due Diligence: The Flipside...

After being in this mergers and acquisitions game for well over a decade, believe it or not I have pretty much seen it all when it comes to buying and selling Accountancy Businesses

And Accountancy due diligence... Or should I say 'lack' of Accountancy Due Diligence has unfortunately been a hot topic on many a deal I have seen in my time

 Accountancy acquirers have ended up with a business that wasn't worth what they paid for it until after signing on the dotted line...

… And Accountancy sellers have ended up signing away their business to an acquirer who in the end didn't hold up their end of the bargain once the deal was done!

We as a business will always actively encourage Accountancy buyers to do their due diligence on a potential acquisition

However on the flipside, you as a potential retiring proprietor need to ensure you carry out the same... If not more, due diligence, than the acquirer!

Why? 

Well I would've thought it was obvious... You wouldn't want to choose the wrong type of acquirer to pass over your life's work to and for less than what it is worth... would you?

And... I am right in assuming that you only want to retire the one time? 

And do it right the first and only time so you can sail away and live out your best life? 

Excellent.... then we are on the same page!

So far I hope I have made the point of just how important it is for retiring proprietors to do their due diligence on potential acquirers, however if I need to crank it up a notch then let me introduce to you the eVideo on The 2 Costly Mistakes When Selling Your Accountancy Firm. By clicking here and spending 10 minutes of your time.... that's right, just 10 minutes, I can show you just how important it is to be asking the right questions to your potential acquirers

Questions such as:

Are they serious acquirers? 

Unfortunately when you start the process of selling your Accountancy Business, you will come across acquirers who come to the fore front quickly. Initially they will charm you, and they will talk the talk... but realistically it is those types of acquirers you need to avoid as they lack any real conviction... Or real funds to actually walk across the finish line with you.

Letting your self be dragged over half way through the process to find out that you have attracted this type of acquirer will leave you disappointed and disheartened, but more importantly you will have wasted valuable time and money to never see an end result and worst of all...

… You will have to start the process all over again! 

 What is their acquisition history?

If they have acquired before then...

… How many businesses have they acquired? 

What size of business have they acquired in the past?

Have previous acquisitions successfully fit in with their business model? 

Have they been able to retain the clients after an acquisition has been completed?

Looking back at a firms previous acquisitions you will be able to see trends, and if you dig down deep enough you will quickly be able to deduce whether your Accountancy Business fits in with what they want to acquire. If your firm doesn't look like it meets their previous acquisition criteria then there is a strong chance you are wasting your time! 

Funding

I can tell you now that the buyers who can't stop boasting about having lots of money to throw at you, are usually the ones who are going to leave you frustrated and disappointed when that big premium offer they promised you, doesn't come to fruition. 

Just one of the ways to avoid being won over by a 'talker', is to get something on paper...

… Because if they are willing to commit to a signature that proves that they will pay what they say they are going to pay, then you know you aren't just wasting your time! 

All this might seem pretty obvious to you, but did you know that over 70% of Accountancy sellers make at least one of the mistakes mentioned here in the eVideo which has immediately meant they were unable to leverage a premium price for their Accountancy Business! 

And if you too, want to avoid getting a premium offer for your Accountancy Business then you won't click here to download our eVideo to make yourself aware of the types of unsavoury buyers who you should never ever sell to under any circumstances! 

Best Wishes

Stephen Hagues

PS. So, how did you find the eBook? No doubt your mind is ticking over isn't it! Well, if you want to go more in depth on how to approach your due diligence, then click here to book in with our highly trained experts for a free, no obligation discussion now! 

Is Your Accountancy Exit Quick Or Dead?

“It was like a phantom swooped in at the eleventh hour and killed the deal”

The phantom I am referring to is Time and when it comes to selling an Accountancy Business, time just isn’t your friend. 

To quicken your business sale is to prepare well, and start in a strong position whilst maintaining that momentum throughout the whole process.

And as a potential exiting Accountancy Business owner you should be ready for a trip to the marketplace before the train leaves the station, which means getting your house in order beforehand and anticipating potential roadblocks that can delay you in reaching your final destination of a premium offer!

You can click here to download our eBook for more advice on how to quicken the pace of your Accountancy exit strategy by avoiding the roadblocks that will slow you down

These roadblocks can manifest in several ways such as: 

You don’t know why you want to exit:

Buyers will weigh up the probability of whether they should spend their precious time and funds on you. 

If an acquirer asks “Why are you selling” and you cannot answer them, they will be unsure of your motives. Be prepared for them to walk away. 

You don’t know what you will do after your exit:

Haven’t yet decided what you will do with your new found freedom? If you don’t have your retirement plan in place, you might find you start to get cold feet when that first offer comes along. 

Taking a step back due to not securing your future plans could derail you when momentum starts to pick up.

You don’t know when it is a good time to exit:

So you have been flirting with the idea of selling for a while but have decided to wait for the right time to secure that top price for your Accountancy business.

Well did you know that over 70% of Accountancy business owners who decide to wait for that opportune time are still waiting!

To exit earlier than you expected may just be the preferred option, rather than wasting precious time waiting for an offer that you cannot guarantee will materialise. 

You don’t know what your business is worth:

Some retiring proprietors get emotional when it comes to valuing their business because after all, it is their blood sweat and tears that have gone into years of building it up and they put their own price on that.

At the end of the day, you cannot pick a figure out of thin air and expect an acquirer to pay it without the evidence to back it up. If you let your heart rule your head when it comes down to negotiating a price you could end up with nothing.

Therefore, go into the process, knowing exactly what your business is worth to save precious time!

And if you want to succeed in achieving the perfect exit strategy and keep it quick in the process then here are 3 ways I can help:

Claim a free copy of our guide that reveals the five golden rules on selling your Accountancy Business and advice on how to keep the deal going from Quick to Dead by clicking here.

Take advice on what your head is telling you. Speak to one of our trained expert consultants who can give you an up to date valuation of what your Accountancy Business is worth by clicking here.

And if you are ready to attract top acquirers in the market place then reply to this email with the word ‘Quick’ and I will see if I can help. 

Best Wishes, 

Stephen Hagues

PS. Time spent wishing, is time wasted. Don’t procrastinate, click here to download our eBook on the things to avoid when selling your Accountancy Business! 

The Accountancy Acquisition Signal 

If you were drowning and someone offered to throw you a life jacket, how much would you pay for it?

How much would this life jacket be worth?

All of your income?

It would be worth everything!

Compare this to how much you would pay for a life jacket now whilst you are sat reading this email...

Just as the life jacket's value drastically differs dependant on the situation, the value of an Accountancy business to you depends on your current situation...

Value is indeed in the eye of the beholder...

The question then becomes, how does the beholder time his acquisition to maximise value?

Below are three key acquisition indicators that signal when the timing is right for you to take on additional clients through acquisition.

 1. Exhaustion of client referrals and local contacts 

Initially good service, word of mouth, marketing efforts and abnormal returns can spread like wildfire amongst your addressable market.

However, there comes a point where the channels for organic growth start to dry up and external options become more attractive...

2. Generation of excess cash in a low yield environment

With interest rates low and expectations of rate hikes squandered, it is worth thinking about the low opportunity cost of not acquiring, especially while additional capital remains cheap...

3. Missing out on consolidation by the non-consolidators

In few instances over the last decade have we seen external market forces create an environment where scale is more attractive in the industry than today.

If you have not acquired recently, it may be worth capitalising on these market advancements that have driven acquisition activity in the Accountancy space to an all time high...

If you can resonate with any of the above mentioned factors, then the timing is right for you to take on additional clients through acquisition.

Do not wait until the optimal timing has passed and factors suddenly turn against you, download the eBook now (only 101 free copies available).

Don't wait until you are drowning before you buy the life jacket!

Initiate the process now by reading this short 10-minute eBook that will share with you the nine factors that accurately predict a firm profit uplift potential.

Best wishes, 

Steve Hagues

PS. Discover the five fatal errors when buying an Accountancy practice by clicking here