Anyone else getting buyout offers from the chains?

[jeff501]

Each year shortly after tax season I get a post card from HRB and usually also Liberty Tax, fishing to see if I would either want to sell or partner with them. Even got a letter from an independent competitor last week who has four offices scattered around the area, who followed up with a phone call yesterday. This morning I got another mailing plus an e-mail from HRB. Seems like the chains are being more agressive this year, anyone else getting these type of solicitations? I've also received three mailings from different companies who are in the business of selling tax practices.

I'm in a smaller town with only the one independent who called me yesterday and a Jackson Hewitt office about 4 miles away. There's not really enough business to split up if another tax office came to the area so I think they're seeing if someone would want to sell and have a built in clientele. My fees are a lot more reasonable than everyone else and I'm probably putting the hurts to them. The difference in fees would probably send a lot of my clients elsewhere anyway if I did sell, which I'm not even considering.

I'm planning to work several more years and too old (52) to sell out now and get another job that would pay anything until I retired, at least in this area of the country. Another thing about working for someone else is I've been self employed for 15 years and honestly don't think I could work 40 hours a week for anyone else. My business is mostly tax preparation, I do some payroll and bookkeeping during the off season to pay the bills but that's more by design than anything else, I enjoy the reduced work load. Plus when I do decide to retire someday I'm going to offer my practice to my employees first as they've been very loyal to me over the years.

[Redneck]

contacted

Yes I was contacted yesterday by phone and today by email from the big dog.
I am not yet ready to retire.

[LawrenceGR]

Got one this morning

I just got an e-mail from HRB asking if I would like to partner with them. I don't think they are interested in my clients as much as they are interested in owning me. I'm a pretty small practice with less than 200 clients and I like it that way. The last thing I want to do is go to work for someone else.

[Jiggers]

e-mail this morning

Got one from H & R this morning. Not interested.

[tacks]

I don't have enough clients for them to target. But i'd put my mother in a home before giving my clients to H&R.

Yes I was contacted yesterday by phone and today by email from the big dog.

Who is the big dog?

[BHoffman]

I received an email from H&R yesterday.

[Nashville]

Selling a Franchise

Contacted by HRB about buying a franchise in two small towns, each about 25 miles away. Don't know why the franchisees would be selling out, so I suspected they were probably more interested in my 150-175 clients. Maybe they think I prepare several hundred returns, I dunno how they would know the difference.

Sounds like this is not just an isolated incident in a couple of TN towns, from the posts in this thread looks like there is a nationwide strategy afoot.

I'm not a Block basher anymore, after having a couple experiences with complicated returns that were prepared very well by senior Block people. But not interested in buying, selling, or "partnering." (BTW, it's amazing what corporatespeak can call "partnering.")

[jeff501]

[QUOTE= Don't know why the franchisees would be selling out, so I suspected they were probably more interested in my 150-175 clients. Maybe they think I prepare several hundred returns, I dunno how they would know the difference.
QUOTE]

I use Refund Advantage for my RALs and they have a service included where you can check out your competition to see their volume, ownership, etc. It's zip code driven and I've used it to see how many returns the others do. The main HRB office in the area processes about 2,700 returns a year.

A friend who's also in the tax business sold his practice two years ago and thought the new owners would continue on just as he did. At least that was what he was told. But, they pretty much doubled the fees and ran a lot of people off. Plus he said he sold his practice for about 1.25x the yearly gross and had to stay on for the next tax season. Said he hated every minute of it, the worst part was hearing from his old clients who were upset at the new fee structure.

I know this probably wouldn't work, but the day if/when I sell, that's it. Not coming back. I'll write a letter to my clients urging them to stay with the new people and try to negotiate with the new owners a fair fee structure for at least the next couple of tax seasons. But I guess if it belonged to someone else they could charge pretty much what they want.

[JohnH]

I'm not interested in selling, but on certain days I have a half-dozen I'd be happy to GIVE them if they could guarantee I'd never hear from the clients again.

[AZ-Tax]

John, I am afraid there are only 2 guarantees in life and

I'm not interested in selling, but on certain days I have a half-dozen I'd be happy to GIVE them if they could guarantee I'd never hear from the clients again.

We taxpayers represent both. Actually so do most other US citizens but I have a few this last tax year who got out of the 2nd one.

[kaimana]

No way I would sell out to HRB but,

If they contact me I will give them a price of one million after taxes.

[oceanlovin'ea]

me too

I got an email from HRB. It is probably sent out to all tax professionals.

Not interested. Been there, done that. Love being on my own.

Linda

[DTS]

Paranoia is beginning to set in. I guess I'm the only one who has not received this contact.

[Nashville]

California

Dennis don't feel paranoid. I haven't read any posts from any California preparers that have been contacted.

Nothing against California. I always heard that marketing must make allowances for certain factors in certain states, most typically CA, NY, and even MS.

[taxmom34]

HRB franchises

are offered for sale if they are not doing well. that was what i was told about 15 years ago , when i worked for HRB, they offered me franchise from nearby town but when i talked to the owner of the franchise, she was telling me that they were not pleased with her turnout, and she wasn't making a big enough effort to increase her clientelle. and the pressure they put her under was not worth staying with it.