Directors at North East finance firm Fairstone Group have hailed strong results with revenues rising in a year which saw it grow the amount of client assets under management to £20bn.
The Sunderland based business, which provides financial planning and wealth management to over 125,000 clients, saw consolidated revenues and fee income rise 21% to £168m in 2024. Separate accounts for Fairstone Group Ltd – the holding company which provides support to its subsidiaries – show revenues rose from £20.4m to £21.9m, while operating profit halved from £1.6m to £821,013.
The previous year’s overall profit of £535,223 dropped to a loss of £269,334 on the back of increased administrative expenses, and employee numbers rose from 136 to 139. The start of this month saw its founder and CEO Lee Hartley step down after almost 18 years at the helm, making way for new CEO Steven Cooper, the former chief executive of Aldermore Bank. Mr Cooper takes up his post later this autumn, when Mr Hartley becomes deputy chair.
The group is aiming to grow through organic growth, as well as targeted acquisitions, and the 2024 financial year saw the company acquire a number of businesses through its Downstream Buy-Out (DBO) acquisition programme. The programme sees it act as an investment partner, providing the centralised resource, technology, and capital to support the ongoing growth of ambitious financial firms ahead of a future sale.
Firms which joined Fairstone in the year include East Midlands business James Ryan Thornhill and Aberdeen-based Forbes Lawson Wealth Management. Earlier this year, the group also completed its 100th DBO partnership deal with Halifax-based Richardson Premier Wealth Ltd joining the programme.
In the 13 years since it was launched, the DBO programme has been a major factor in Fairstone growing the amount of client assets under management (AUM) to £20bn. Enhancements to the model are expected to drive further acquisitions in the coming years. Alongside its Doxford Business Park head office, the group has invested in its Ƶ and Ireland network, establishing 12 regional hubs - 10 in the Ƶ and two in Ireland - that are being developed into fully operational centres.
Fairstone has also been developing its digital-first service, Mineral, which offers financial advice via video call - a service it says is helping to make professional financial advice more accessible and more affordable.
David Hickey, independent chairman at Fairstone, said: “This is another strong set of results for Fairstone and is a tribute to the hard work, dedication and determination of our excellent team. With £20bn of client assets under management, our continued growth reflects the ongoing success of our client-focused approach, providing chartered, trusted and independent advice at every life stage.
“The announcement of our new CEO, Steven Cooper CBE, and the signing of our 100th Downstream Buy-Out deal this year, makes us ideally placed to scale further across the Ƶ and Ireland. We have our sights firmly set on helping many more people make confident, informed financial decisions about their future as we target £40bn of client assets under management by the end of 2030.
“Fairstone continues to be recognised as a trusted, independent, and chartered financial advice firm, committed to delivering high-quality service across every stage of the client journey. With over 14,000 verified reviews on Trustpilot and a satisfaction rating of 98%, our reputation is built on consistent client outcomes and a strong focus on professional standards.”
