The Prime Financial Group has acquired a 20 per cent stake in a Melbourne-based accounting firm; and is in talks to buy into at least 60 others. Prime Financial has bought an initial 10 per cent stake in the MPR Group, with a further 10 per cent to change hands in 18 months.
Prime Financial Group chief executive Simon Madder says the firm is set for a year of investment in accounting firms with a number of offers already on the table. Speaking to AccountantsDaily after announcing the group’s 2014 financial results, Mr Madder said he was happy with the group’s position despite a drop of one per cent in EBIT.
With compliance revenues fast declining, accountants must diversify their service offering to prosper in the future, according to an industry white paper issued by Prime Financial Group. Simon Madder, Prime CEO and managing director, noted that whilst compliance work once formed the backbone of most firms, future growth requires an expanded service offering and an embrace of the changes that have “swept up” the accounting sector.
Accountants are currently exposed to the risks of inadequate retirement funding, and are failing to undertake proper succession planning, says Prime Financial Group. The warning stems from Prime’s industry white paper titled The Power of Insight, issued in partnership with research house Bstar, which indicated that 69 per cent of accountants do not have a formal succession plan in place.
Prime Financial, which owns minority stakes in a number of accounting firms Australia-wide, has announced two key changes to its leadership team. In a statement released Friday, Prime’s board said it is pleased to announce the appointment of Tim Carroll as an independent non-executive director of the group.
Professional services firms must empower a leader or leaders to drive business towards success, according to a national financial services and advisory group. Prime Financial partners with accounting firms to help them deliver an integrated wealth management solution and has recently embarked on an acquisition path targeting accounting firms across the country.
Prime Financial Group has strengthened its commitment to the accounting sector, increasing its investment in one Melbourne firm, while acquiring equity in another accounting and advisory firm. Prime has boosted its investment in Melbourne-based accounting and advisory firm MPR Group from 10 per cent to 40 per cent.
The accounting space is client-centric, and its foundations are built on relationships. The concept of client-centricity hasn’t changed, so what has? The internet and the explosion of multi-touch points, like social media and mobile devices, have fundamentally and irrevocably changed the way people behave and experience the world.
Thinking ahead to 2020, a better understanding of the trends and business opportunities influencing accountancy firms isn’t for the faint hearted. Client expectations are rapidly changing, outsourcing is becoming increasingly prevalent and technology is disrupting traditional models. Aggressive competition from global and non-accounting origins also means firms can no longer take client loyalty for granted.
If the accountant is the central point of contact for so many things, then why not deliver a broader group of services and be the main relationship manager, the architect and the conductor of your client’s needs? Why not maintain, or if you have lost or are losing it, reclaim the role of the most trusted adviser?
Knowing the future value of your business starts with knowing more about your existing clients and future ones than you think. You might think you know what your “ideal” client looks like but chances are that this has changed in recent years and you might be missing out on golden opportunities.
Every business owner wants to understand the value of their business. But what does a great business look like with real enduring value? Here are five simple steps to manage and track how your accounting firm is creating future value.
The Terminator movies played on one of the big fears people had in the 1980s and 90s – that technology would become self-aware and turn on humanity. The reality is far more mundane. We’re not being terminated by robots, they’re just replacing us. And they don’t look like Arnold Schwarzenegger.
Prime Financial Group (Prime), have developed a new digital strategy in response to disruptive technologies that are impacting not only the financial advice and accounting sector but the way clients engage with firms. Prime’s downloadable White Paper titled “The Power of Insight” describes how accounting and advice firms are facing a huge shift in managing the client experience through emerging technologies.
Schipper, who will report to Nikko Managing Director, Sam Hallinan, was most recently Executive Director, Asia Pacific Investor Relations at IFM Investors. He recently returned from a year working in Japan for IFM Investors, launching their Japanese office. “Eddy’s experience in Japan combined with his extensive experience here in Australia will bring a new dimension to our already capable distribution team.
Proactive Investors Australia Proactive Investors is a global finance news, media and events organisation focusing on emerging growth companies across four continents. Prime Financial Group (ASX:PFG) has made two major investments in accounting and financial advisory services.