Time Frame: We require a Merger to have a minimum 2-year transition, but no longer than 3 years. During that time, we would require you to go through our client segmentation process and identify the top 20% of your clients. In the first year, you will replicate our service models and client engagements. The idea would be to not announce your retirement until after the end of the transition period. That way your clients feel as if they are already with our firm, and there should be no significant changes to their experiences.

Data Base Requirements: In order to have the smoothest transition for a merger, we would require your current database to be converted to Redtail. We would help with this transition. We would also require the transition to Redtail Imaging. We would expect to get the current files purged and imaged within the first 12 months of the transition.

Communication to Clients: In a Merger, we require letters/emails to go out to the entire book within 30 days of signing the agreement. The letter will generally outline you “merging” your practice with ours and that they will start to see our names show up on their statements. For the first year, you will still be the main advisor on the accounts but will include us on communications with them. We will handle the entire letter process, from printing, to mailing, to the costs associated with it. We have templates for the letter, or you can write it yourself. During the initial 30 days and before the letter, we would go through the client segmentation process. After the letter is sent, we would then start having face to face or conference calls with your top two tiers of your newly segmented client book, introducing Quest Agency as your new partner firm. After a minimum of a year, we would start the process of communicating to the clients your intention to exit at a specific date in the future. By then, the clients should be well accustomed to the Quest Agency process and client experience. At the end of the transition, we will send a letter/email out announcing your departure from Quest Agency.

Initial Valuation: Depending upon the make-up and volume of your book of business, we would start the valuation of your practice at 2.5 times multiple of recurring income and adjust positively/negatively from there. Due to the nature of the Merger, we are most comfortable with retention, which is why the starting valuation is higher than Succession. Again, this is just the starting place and we do take other factors into consideration that will be discussed once we both determine this is a good fit for our firms. The payout of this Transition is typically over a 5-year period to help mitigate your tax implications. We also offer the highest level of Good-Will in this transition which also helps mitigate your tax implication.