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
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