SimplyBiz chairman Ken Davy is launching a new restricted national advice business which he aims to grow into one of the biggest nationals in the UK.
He says the firm, which has not yet been branded, is likely to be a separate entity to the SimplyBiz Group but SimplyBiz will invest around £2m in the business.
The move, revealed in this week’s Money Marketing, will see Steve Braidford, managing director of SimplyBiz’s training arm New Model Business Academy, become the national’s managing director.
Davy, whose role in the new firm has not yet been decided, says: “This will be a ground-breaking proposition which has the potential to make a bigger impact on the sector than the launch of SimplyBiz. We believe part of the market is currently underwhelmed with old-style offerings which have gone stale and deliver little value.”
He says the national will not look to attract SimplyBiz members, most of whom want to remain independent or directly regulated. He says: “We will not be looking at bringing SimplyBiz members across because they are, by and large, operating a different kind of business model and would prefer to remain directly authorised.”
Davy says the business, ref-erred to internally as Refresher, will offer a “wide-ranging” restricted model. He says there will be talks with providers about panels over the next couple of months. It is awaiting FSA approval but is expected to launch in late summer or early autumn.
Davy founded support services firm SimplyBiz in 2002. It serves over 2,000 firms and aro-und 5,000 advisers. He previously spent 18 years at network DBS, which he set up in 1983.
Bloomsbury Financial Planning partner Jason Butler says: “I am sure there will be many entrepreneurial characters laun-ching businesses after the RDR. Looking at Ken’s track record,
I would imagine he probably has the foresight to make this work.”