Advisorheads Homepage
Forum Home Forum Home > Home > General Industry Discussion
  New Posts New Posts RSS Feed - Build Your Perfect Firm
  FAQ FAQ  Forum Search   Events   Register Register  Login Login

Build Your Perfect Firm

 Post Reply Post Reply Page  <1 456
Author
Message
knuk View Drop Down
Senior Member
Senior Member
Avatar

Joined: May/20/2010
Location: Canada
Status: Offline
Points: 4433
Post Options Post Options   Thanks (0) Thanks(0)   Quote knuk Quote  Post ReplyReply Direct Link To This Post Posted: 30 minutes ago at 9:31am
Originally posted by gregsanberg gregsanberg wrote:

I've been listening to the 2021 Mid-Year update by FP Transitions. https://www.fptransitions.com/2021-mid-year-market-update I'm impressed that they are providing pretty good information on sales data from transactions that they've been involved with this year.

Highlights:
Under $1B AUM (most are selling 5x - 9x EBITDA)
Revenue multiples are 2x-3x with smaller selling for less
They list the average RIA as 2.77x revenue
They list the average hybrid/RR as 2.14x revenue

44% cash upfront with earnout on rest as typical terms
25-34 weeks as average time from list to sale

Any idea on typical earnout structure?
Back to Top
gregsanberg View Drop Down
Senior Member
Senior Member


Joined: Jun/19/2013
Location: NC
Status: Online
Points: 659
Post Options Post Options   Thanks (0) Thanks(0)   Quote gregsanberg Quote  Post ReplyReply Direct Link To This Post Posted: 15 minutes ago at 9:46am
pretty mixed, seems a good bit is paid within 1 year (after retention goals are met) and some last 3-5 years
Back to Top
 Post Reply Post Reply Page  <1 456
  Share Topic   

Forum Jump Forum Permissions View Drop Down

Forum Software by Web Wiz Forums® version 12.03
Copyright ©2001-2019 Web Wiz Ltd.

This page was generated in 0.047 seconds.