Why every adviser should consider a Pre-Sale MOT

Thank you to those who replied to my last email regarding our consultancy services. I’m always pleased to talk with IFAs about any aspect of their business where support may be needed. And if I can’t help directly, I can and will, usually point people in the right direction.

One service I’d like to highlight — which has generated a number of recent enquiries, is our Pre-Sale Business MOT.

This is a comprehensive review of all aspects of your business: financials, systems, client relationships, and structure. The aim is to identify potential issues before a buyer’s due diligence brings them to light.

Of course, you could attempt this exercise yourself, but in our experience a fresh pair of eyes often uncovers issues that may otherwise be missed, or highlights areas that buyers are particularly focused on right now, such as Consumer Duty adherence or ensuring the correct legal structures are in place.

The reality is that there are countless factors which can delay or even derail a transaction, and once the decision to sell has been made, delays or worse a buyer trying to reduce the price or withdrawing, are the last thing you need.

Recently, we carried out a Pre-Sale MOT for an adviser who had sensibly given himself enough time before his intended sale. By addressing several key areas early, he not only avoided complications later but ultimately increased the final sale price of his business by 50%.

Too often, I see advisers receive headline offers that turn out to be “too good to be true.” When due diligence then reduces the price, that original offer becomes an “anchor.” Even if the revised figure still reflects fair market value, it feels like a loss, creating unnecessary disappointment and frustration.

By contrast, preparing your business properly in advance helps establish a realistic valuation from the outset, and in many cases, that figure is higher than expected.

Whether you are planning to sell soon or simply want the reassurance of knowing your business is in good shape, a Pre-Sale MOT can provide clarity and confidence.

If this sounds useful, I’d be happy to arrange an initial conversation. As always, any first meeting is at our expense.