A group of accountants will target small wealth management companies after securing funding
Fri 22 Jul 2022 | ECONOMIC NEWS
Sedulo, a Manchester-headquartered accountancy and professional services group, is considering acquiring smaller wealth management firms after securing new funding from Santander UK. The financing is £2.85 million, including a three-year revolving credit facility.
Through its acquisition growth strategy, Sedulo seeks to increase its share of the wealth management market in London and the North of England. In addition to targeting strategic acquisitions of smaller wealth management companies, the group is also considering integrating established independent wealth managers.
The group’s acquisition strategy is being implemented in a context of intense mergers and acquisitions in the professional services and wealth management sectors. The wealth management market is particularly ripe for transactions, with the level of fragmentation and the large number of small independent companies suggesting that the sector could be set for at least ten years of consolidation.
Founded in 2009 as an accounting firm, Sedulo aims to become a “one stop shop” for professional services for SMEs. In addition to its Manchester base, the company also has offices in London, Liverpool and Leeds and has approximately 2,000 customers. , which range from SMEs to large enterprises.
In the year to October 2021, Sedulo generated annual revenue of £10.5m, up from £8.5m in 2020. This year the company is targeting 14.3 million pounds in revenue.
Paul Cheetham, Managing Partner of Sedulo Group, said: “As a service-based organization with double-digit organic growth, we have transferred our banking services to Santander UK because of their partnership approach to working with us. and its ability to meet our working capital needs.
“Our growth plans include acquisitions in the financial planning sector and Santander UK has provided a pre-approved rolling credit facility to help fund our acquisition strategy.”
Santander’s UK Relationship Manager, Sam Galt, added: “Sedulo is a challenger and disruptor among mid-sized professional services companies and its future is bright, filled with growth and expansion. We are delighted to provide this funding to help them achieve their strategic goal. acquisition strategy in the wealth management industry.”
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