Fairstone announce Double Mortgage Firm Acquisition

Fairstone has announced the acquisition of two firms, extending the group’s reach at opposite ends of the UK.

The acquisition of Perthshire-based Next Home and Kent-based Bellegrove Mortgage Services cements Fairstone’s position as one of the top 10 independent mortgage brokers in the UK, conducting £2.4 billion of mortgage lending per annum.

Fairstone is one of the fastest growing financial services organisations and the group’s mortgage channel, which equates to around 8% of total fee income, is a complimentary and important arm of the business.

Both firms, bringing a total of 22 staff and more than 6,000 clients, are looking to grow with the support of Fairstone and maximise cross-referral opportunities to provide a fully comprehensive and holistic service for their clients.

Fairstone CEO Lee Hartley said:

“I am delighted to welcome Next Home and Bellegrove to the Fairstone family. Both are client-focused, quality firms who have established an excellent reputation for providing first-class service over many years.

“They are also very ambitious and are looking to grow and we are delighted to be able to support them on the next stage of their journeys.

“While we are primarily a wealth management house, the mortgage sector is valuable to us as there is a synergy between the two; every mortgage adviser in the group work with IFAs who can provide wealth advice to their clients and vice versa, providing a complete wealth offering across the business.

“Our mortgage channel gives us a position of real scale in the market, and we are continuing to invest in this area of the business, leveraging our proprietary technology system and relationships with some of the leading UK lenders, to provide further efficiencies for our clients and advisers in terms of turnaround times and ease of processes.”

Speaking to the firm principals

Next Home principals John Greener and Alex McDonald explained that it was Fairstone’s commitment to supporting businesses to grow that was the main factor in their decision to join the firm.

John Greener said: “Since we started in 2004, we have strived and succeeded in making Next Home the number one choice for consumers in Perthshire. We are delighted to be joining Fairstone to further enhance our opportunities for growth and security.

Meanwhile Bellegrove Mortgage Services principals Simon Heron, Jenny Saunders and Perry Barnes said that Fairstone’s financial strength and innovative approach would enable the business to fulfil their ‘’future expansion plans to grow the business.’’

Simon Heron added: “Being part of a market leading and forward-thinking business such as Fairstone will give our clients the best access to advice and support throughout their lifetime while enabling us to really grow the business for the future.”

Essential to Fairstone’s growth strategy, the Downstream Buy Out (DBO) model integrates ambitious, culturally aligned firms into the group, prior to final acquisition. During the integration and partnership phase, firms are supported to optimise their business performance and fulfil their growth aspirations before crystallising a structured sale of their business at a premium valuation.