Milestone £2m purchase for the ambitious franchising and accounting group.
TaxAssist Direct Acquisitions Limited, a fully owned subsidiary of The TaxAssist Direct Group Limited, completed its first transaction on 31 May, acquiring a majority stake in the largest TaxAssist Accountants franchisee practice in its network.
Chief Executive Officer, Daren Moore FCCA, said: “I am pleased to announce the successful completion of the first of our planned acquisitions for 2024, with The TaxAssist Group taking a majority stake in Mike and Penny Melling’s TaxAssist Accountants franchise business.
“Mike and Penny’s accounting practice has been built and operated very effectively over the past 12 years and clearly met the key criteria we set when looking at acquisition and resale opportunities.
“This purchase marks a significant milestone in the delivery of our ambitious Strategic Plan. The acquisition will immediately boost the profitability of The TaxAssist Group and provide us with access to a well-run accounting practice. This will create substantial economies of scale and will allow us to cross sell and upsell services at a local level, capitalising on the opportunities provided by Payroll by TaxAssist, Tax Consulting by TaxAssist and Financial Planning by TaxAssist.
“The acquisition will also support our ongoing development and improvement of the services we provide to our franchisees creating the opportunity to develop and test ideas, refine processes and continue to build our ‘TaxAssist Practice Engine’ model in a live practice environment which can then be shared with our networks.
“2024 is proving to be a very busy year. We began with the launch of our new group branding, which has received a hugely positive response from our network and their customers. We have followed up with a key acquisition which will create future opportunities for shareholders and franchisees alike. These are important elements of our longer-term Strategic Plan and we look forward to announcing further exciting news in the second half of the year.”
The TaxAssist Group now operates three franchise territories – Harpenden, St Albans & Radlett, Beaconsfield & High Wycombe and Potters Bar, Welwyn Garden City & Hatfield. Mike Melling, while no longer a TaxAssist Accountants franchisee, will continue to oversee these operations through his role as a Group Chief Operating Officer on the TaxAssist Group Board.
The TaxAssist Group has a unique ownership structure among the franchise industry, c.60% owned by franchisees. New franchisees operate their own local business as part of the TaxAssist network, and if they choose, have the opportunity to become a shareholder in The TaxAssist Group.