IFAP may move away from not-for-profit model
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IFA Promotion says it is changing its funding model to focus more on revenue generated through IFA advertising and may consider dropping its not-for-profit status.
IFAP chief executive Karen Barrett says more than 50 per cent of unbiased.co.uk’s funding is generated through IFA advertising.
She says: “We are pursuing a strategy which steadily phases out our dependency on product provider sponsorship, replacing it with more representative and sustainable sources of funding.
Barrett says if the organisation is able to double its overall income in the future it will look to become a profit generating business.
She says: “We are currently not-for-profit, but one day that may change. If we grow our income 100 per cent across all of our income streams, we will look at changing how we operate.”
Barrett says IFAP has seen a surge in enquiries from organisations keen to use its Professional Connections referral service.
She says: “We are well progressed with a number of further initiatives to attract funding for IFAP, and are confident that our objective of becoming self-funding will be achieved.”
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Readers' comments (2)
Evan Owen | 23 Jul 2010 6:00 pm
£2.4 million per annum is a lot of dosh!
What are the benefits of "dropping" not for profit status, what are the benefits for IFAs?
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Karen Barrett | 23 Jul 2010 10:17 pm
IFAP is not dropping it's not-for-profit status.
We are looking to generate income streams from a more diverse base than we have traditionally but will continue to spend whatever income we have on promoting the IFA sector. It makes business sense to take this approach - not putting all your eggs in one basket as it were - a positive move for the IFAs we promote as it means we have a viable business going forward.
The benefits of this to the IFAs are clear - an increased consumer awareness of IFAs through the media and an increased number of people taking independent advice through our searches instead of going to the high street and thinking it is the only option.
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