Frenkel Topping purchases new head office in Manchester

Frenkel Topping Group, an AIM listed financial advisor and asset manager focused on vulnerable clients, has completed the purchase of its head office building for £0.85m.

The 9700 square foot building at Two Quays in Salford Manchester will be the firm’s new home for its head office. The move is expected to be complete before Christmas.

The new site will allow the company to expand its workforce from its current headcount of 65 people as well as provide purpose built client suites to better serve its vulnerable client base.

The purchase will benefit the firm through £60,000 worth of rental savings to its operating profit annually from January 2018. According to a full cost review conducted by the firm for 2017, implemented cost savings of around £0.4m, which is expected to deliver a revised operating profit of £3.4m.

In order to meet this forecast the firm has to meet the following targets: migrate £350m of Asset under management (AUM) onto their Frenkel Topping investment management (FTIM) by 31 December 2016, commence 2017 with around £750m of AUM, maintain control of administrative expenses and achieve £100m new client assets throughout 2017. The firm is confident that all these targets will be met.

Chief executive Jason Granite said: "Owning our own building is an important step in the continued evolution of the Company. The building not only provides staff with an excellent working area to retain and attract employees, it gives the Company scope for expansion as we continue towards our target of £1 billion of assets under management."

The share price rose 5.26% to 65p at 0931 BST on Wednesday.