Former Quilter executives Nigel Speirs and Dominic Rose have set up an adviser consolidator with private equity backing.
Speirs, a former managing director at Quilter Private Client Advisers, and Rose, formerly strategy and acquisitions director at the same firm, acquired London-based MKC Wealth with backing from Cabot Square Capital.
The pair have assumed the roles of executive chairman and chief executive officer respectively and plan to grow the firm via acquisitions as well as some organic growth going forward. They are already close to completing another takeover which will be confirmed shortly.
MKC Wealth will focus on acquiring retiring adviser firms, and offer clients estate planning as well as investments and pensions advice.
Rose told FTAdviser he sees a huge opportunity in that space. “The opportunities we see are [being] a safe pair of hands to look after clients from retiring advisers, because we’re a smaller, independent business,” he said.
He also said the firm plans to be "truly different". All its staff will become shareholders in the business and remuneration (including that of the chief executive) will be linked to client feedback.
Rose told FTAdviser: “I’ve known MKC Wealth for a number of years, and what we really liked about the business is that it [has] a smaller focus where they’re delivering a really good service to clients.
“We have no interest in becoming the largest firm in the sector. [But] we will be acquiring a number of firms and we will integrate them into MKC Wealth.
“Our focus is on smaller, principally retiring adviser type acquisitions, rather than going out and doing large transactions. And it comes back to wanting to maintain the service we deliver to the client.”
Rose said the decision to work with Cabot Square Capital was deliberate as other potential backers wanted “lots of big businesses thrown together really quickly”.
He added: “Actually, these are relationship businesses, and they’ve already got value in the clients and the team. By acquiring too much too quickly, you face the risk of destroying that value.
“So that’s why it’s going to be quite a measured and controlled sustainable growth by acquisition.”
Barry Cunningham, the long-term owner of MKC Wealth, will remain director of client services.
Cunningham said over the past 20 years, he and director Joanna Kelly have aspired to create a culture founded on a collegiate approach to delivering services.
“We are enthused by the way that Dominic and Nigel plan to build on our collegiate, boutique approach," he said in a statement today.
"Their plan to invest in MKC Wealth means we know our team and our clients are in a great place for the future.
"We were looking for a partner that believes in running a business where offering clients a better service is at its heart. We’re delighted to have found partners that share our vision.”
sally.hickey@ft.com
