AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
The Perfect RIA
Accelerating Your Growth and Understanding Practice Valuations with Guest Ted Jenkin [Episode 260]
Jun 10, 2024
Ted Jenkin, an industry veteran specializing in practice valuations for financial advisors, joins for an engaging discussion. He challenges common myths about valuations vs. market prices and emphasizes crucial factors like culture, cash flow velocity, and brand equity. Ted reveals how understanding these elements can significantly impact an advisor’s exit strategy and business growth. Listeners gain insights into avoiding pitfalls during buyouts and the importance of continuous adaptation in the advisory landscape.
27:32
Episode guests
AI Summary
AI Chapters
Episode notes
Podcast summary created with Snipd AI
Quick takeaways
- Understanding the difference between valuation and market price is crucial for financial advisors aiming to achieve favorable sale outcomes.
- Exploring private equity opportunities can significantly enhance practice valuation, offering advisors better financial outcomes than traditional sales methods.
Deep dives
Understanding Business Valuations
Many advisors misunderstand the difference between a business valuation and what the market is willing to pay. A common misconception is that valuation services provide accurate market prices, but advisors often only receive a one-size-fits-all number, such as a 3x gross valuation, without understanding the underlying factors that drive actual sale prices. The podcast highlights that advisors might find higher multiples, such as 10x EBITDA, by investigating the market more thoroughly. Recognizing these distinctions is crucial for advisors who are considering selling their practices and want to get the best possible outcome.
Get the Snipd
podcast app
Unlock the knowledge in podcasts with the podcast player of the future.
AI-powered
Discover
highlights
Listen to the best highlights from the podcasts you love and dive into the full episode
Save any
moment
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Share
& Export
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
Discover
highlights
Listen to the best highlights from the podcasts you love and dive into the full episode