![\"Simon](\"https:\/\/riskinfo.com.au\/news\/files\/2011\/11\/simon-harris-v2.jpg\")
<\/a>“Prior to 2007 Guardian had a buyer of last resort facility in place for its advisers,” Guardian Advice Executive Manager, Simon Harris<\/strong>, said, “Which basically meant that on commencing with Guardian, we struck a buying price to purchase their business when they retired, providing they met a couple of conditions.”<\/p>\n Mr Harris\u00a0told riskinfo that new advisers starting post-2007 had access to a similar arrangement but instead of determining the price at the time of commencement, the practice was valued at the time of the transaction, based on an independent valuation.<\/p>\n Since then, the group has also developed a ‘try before you buy’ servicing arrangement for books of business purchased from retiring advisers, \u00a0which Mr Harris said was brought about by the current regulatory uncertainty.<\/p>\n “A number of our advisers would like to grow their business by acquisition but they’re just not sure what FoFA means, so they’re not prepared to cut a cheque.\u00a0 And that’s not only our advisers, that’s advisers in general.\u00a0 There’s a whole lot of market uncertainty there.<\/p>\n “What we do with those businesses is offer it (the book) to them as a four-year servicing arrangement.\u00a0 We share the revenue with them, and we give them a call option to purchase the business at any time throughout that four year period.\u00a0 It really is a ‘try before you buy’ philosophy.\u00a0 They get to have a look at the clients, they get to work with the clients, and they get to increase the value of the business.<\/p>\n “My prediction will be when the FoFA uncertainty dissipates next year and we get a broader understanding of the grandfathering provisions, etc, that those businesses will probably look to purchase those books outright.”<\/p>\n Guardian also offers a standardised succession and purchasing execution process, and finance for advisers who are interested in acquiring or buying-in to existing businesses.<\/p>\n Since the inception of the business acquisition and succession planning strategy, Guardian says it has executed four transactions and is currently assessing several further opportunities.<\/p>\n","protected":false},"excerpt":{"rendered":" Guardian Advice has released details of its new business acquisition and succession program, designed to help the group grow its network to 200 advisers within three years.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6,5],"tags":[],"class_list":{"0":"post-13440","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-dealer-groups","7":"category-services","8":"headers-new"},"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/13440","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=13440"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/13440\/revisions"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=13440"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=13440"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=13440"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}