|Nicola Draper founder Draper Hinks||Hello, I’m Nicola Draper. I run Draper Hinks and have done so since 2004. We sell only accountancy fees and I am excited to announce that, since inception, we have completed over 400 deals.We are very proud of our track record and our reputation. Please feel free to contact me anytime at firstname.lastname@example.org with any questions.|
Selling clients to free up capacity
So, how does this work? If you have got to the point that you are not taking on more clients because you have hit full capacity, then sell some clients! Some firms catagorise their clients ie A, B, C & D clients according to fee size or worth to the firm and every few years they sell off all the D clients. This frees up both time and capacity for the practice to take on more higher paying clients or clients that fall within the specialism offered by the practice. Do not ignore this idea. You can make your practice more profitable but more importantly it can become much more enjoyable to run. Call me if you want to discuss this further on 01788 816440.
|This is a case study from a practice we sold in 2022:-|
|Time scale||12 months||Type of Practice||Sole Practitioner|
|Payment||3 tranches||How paid||1/3rd; 1/3rd; 1/3rd|
|Multiple||0.8 x fees (no clawback)||When paid||Completion; 12 months; 24 months|
|Offers||2 offers||Office & staff||Office and staff retained|
|Results||Vendor said they were going to enjoy not having deadlines and dealing with HMRC|
|Here are two testimonials from previous vendors:-|
|Testimonial 1 I heard about Draper Hinks from an online webinar run by ICAEW, Nicola was the keynote speaker. I found her to be extremely knowledgeable and professional. The process was informative, helpful and relevant. The training provided to us at the Coaching Call was invaluable. We were kept informed of developments. We are not natural salesmen so using a broker was a must for us. I would be more than happy to recommend Nicola and Draper Hinks.Vendor – Darren Kerins FCA Bedfordshire|
|Testimonial 2 I heard about Draper Hinks from their regular mail shots. Working with Nicola has been fabulous and excellent. The team was professional and very experienced. Their knowledge and methodology proved very successful for me. The buyer they found is a safe pair of hands for my clients. The handover has gone well and I just cannot thank Nicola enough for her advice, help and support.Vendor – Janet Fairfax QBE Devon|
Income Multiples Paid in the last 12 months
|2022||Quarter||Average income multiple paid||Lowest income multiple paid||Highest income multiple paid||Lowest income multiple offered||Highest income multiple offered|
|Quarter 3||Jul – Sep||1.05||1.0||1.2||0.8||1.2|
|Quarter 4||Oct – Dec||0.91||0.5||1.0||0.5||1.0|
|Quarter 1||Jan – Mar||1.16||0.90||1.48||0.75||1.48|
|Quarter 2||Apr – Jun||0.98||0.90||1.05||0.80||1.40|
NB None of the above figures are to be reproduced in any way without express permission from Nicola Draper.
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