A conversation with Brad Bueermann, CEO, FP Transitions
CEO Brad Bueermann discusses key aspects of M&A and succession, the most important factors around multiples, valuations, and maximizing enterprise value, the future of M&A, and much more.
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NOTE: The views and opinions expressed by the guests on this podcast are their own and do not necessarily reflect the views and opinions of Diamond Consultants. Neither Diamond Consultants nor the guests on this podcast are compensated in any way for their participation.
About this episode…
Fidelity’s latest M&A report signaled that despite headwinds of a turbulent market and interest rates, as well as the regional banking crisis, the M&A wave is still flowing strong.
The first quarter of 2023 saw 67 acquisitions – 10 more than the previous quarter’s 57 – representing some $83.5B in client assets.
No doubt, there’s still a hunger for quality firms with strong P&Ls and growth trajectories.
And it’s this very space that firms like FP Transitions play in.
The firm was founded in 1999 by industry-legend David Grau, Sr., who literally wrote the book on Buying, Selling and Valuing Financial Practices back in 2016.
FP Transitions became one of the standouts in the wealth management world, specializing in the valuation and analysis of the intangibles that make advisory practices unique and valuable.
They do this by employing strategies that build upon a lifetime of work and trusted client relationships—and executing a succession plan designed to both realize value for the founder and perpetuate the business for the next generation of advisors.
Earlier this year, FP Transitions reached a milestone, performing over 15,000 independent business valuations.
The firm’s CEO, Brad Bueermann, joins Louis Diamond to discuss all that and more, including:
- FP Transitions background—and how they developed their unique methodology.
- The firm’s own next gen transition from David to Brad—and how the processes they use with wealth management clients played an integral role.
- Where firm valuations are today—and what he expects for the future.
- What buyers were most concerned about in the past—and how that differs today.
- Multiples and enterprise value—and what business owners need to pay attention to maximize both.
- Identifying the value drivers—and how to develop a plan to increase value over time.
- Creating a win-win scenario in a transaction—and why FP Transitions sees this as the best possible route for all sides.
It’s an episode filled with practical advice and intelligent conversation around the evolution of independent firms with key takeaways on achieving maximum enterprise value.
MaxCeV™ – How to Maximize Your Career Enterprise Value
This formula seeks to provide a process by which an advisor can “calculate” the sum total of 4 key factors—to conceptualize what their career enterprise value really is and how to achieve it. It’s one of the central tenets of Diamond Consultants’ process in guiding advisors through due diligence. Download->
Industry Update on M&A: Why Buy? Tips for Those with Their Sights Set on Becoming an Acquirer
When it comes to M&A, there are plenty of independent business owners and wirehouse advisors who have their sights on becoming acquirers, yet it’s an incredibly competitive environment with more buyers than sellers. This episode looks at the buy-side perspective, the attributes needed to become an attractive acquirer, the characteristics of prospective targets, and more. Listen ->
Industry Update on M&A: If You Build It, Will They Buy It?
For advisors who are reviewing their firm’s retire-in-place program, considering a recruitment deal, or looking to launch an independent firm, understanding the value on the open market is critical. Part 2 of this 2-part series explores what drives value and how to build a business that will be “attractive” to acquirers and garner the highest valuation at the end of the day. Listen->
How to Optimize Your Business for Growth and Success: 8 Questions Advisors Need to Ask Themselves
Rising above the day-to-day tasks of your “job” to invest time in thoughtful strategizing and planning can be the gamechanger you’ve been looking for. Read->
CEO / Principal
Brad has the dubious distinction of having sailed right through the largest hurricane on record, but somehow seems to have enjoyed it.
Brad is a nationally recognized speaker and thought leader on matters of business value, equity management, and mergers and acquisitions for independent financial professionals. Brad’s forward thinking and groundbreaking work on building enterprise value and creating sustainable firms has made him an important thought leader in the industry, and a frequent conference speaker.
As a long time entrepreneur and strategic consultant, Brad has developed a broad expertise in building sustainable business models with an eye towards long term sustainable growth. His early M&A work in the agri-business and food processing sectors allowed him insights into which operating components help ensure solid growth and stability. He later served as COO for a national brokerage firm and helped develop many protocols for sales of small and mid-sized privately held firms. He later led the acquisitions efforts for a startup in the biotech sector in Cambridge, Massachusetts.
As CEO of FP Transitions, he has guided the company’s growth for the past 13 years to over 40 dedicated professionals who consult with over 2,000 clients per year. He has personally overseen consulting assignments with many of the country’s largest broker dealers, custodians, and insurance companies, and continues to guide the creation of the next generation of strategies for independent wealth management firms.
Brad is adventurous: he’s a world traveler, hot air balloon pilot, blue water sailor, and an instrument rated pilot. Brad, his wife Laura and two daughters, are on constantly on the move: family photos are usually an airport selfie as they head in different directions. He is a graduate of Stanford University.
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