Buying a book

or Register to post new content in the forum

 

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Dec 29, 2011 11:54 pm

Here is my current situation.  I'm 10 yrs out of college and have been selling for 2 yrs, but have been in the business awhile.  I have an AUM of $22mil after taking over a $10mil book. 

To make a long story short, I was asked to call an Indy rep in my hometown who wants to retire soon.  I wasn't too excited about the thought of moving back home as I couldn't wait to leave when I was younger.  But after getting married and starting a family, the thought of moving back doesn't sound so bad.  And after talking with this rep, I found out they have a healthy $110mil book and would like to work together for a few yrs to make the transition easier for everyone.  He does mutual funds (sounds like mostly a-shares), annuities, stocks, bonds, UITs, fee-based, has a good 401ks business, etc. 

So my question is, what info will I need from him to help figure out a value of his book?  What's the normal way to price a book?  Is anyone familiar with how fptransitions.com prices a book?  Is it typical to put a clause in the contract protecting myself from assets transferring out?  We are having an official meeting in a few weeks to discuss #'s, so I want to be prepared and any help would be appreciated.

I wish I had more info, but that's all I have for now...