Kelly+Partners has announced a partnership with Austbrokers that will see both parties exchange a mixture of insurance broking, accounting and tax services.
The agreement will see the establishment of a new vertical, equally owned by both parties, that will market and deliver insurance broking services to the over 8,000 members and clients of Kelly+Partners.
Austbrokers will also design and deliver tailored solutions for Kelly+Partners clients including a tax and government audit insurance product as well as specialty HR technical advisory services.
The chartered accounting firm expects to penetrate around 30 per cent of its client base, generating approximately $2 million in earnings to the partnership.
In exchange, Kelly+Partners will provide accounting and taxation services to over 700,000 Austbrokers clients.
The firm will also develop tailored tax and accounting advisory services for the strata industry.
Kelly+Partners chief executive Brett Kelly said the joint venture would see the firm’s client base expand significantly.
“Kelly+Partners is pleased to build this strategic partnership with AUB (Austbrokers),” Mr Kelly said.
“We look forward to a long and fruitful relationship with the AUB group as a partner and (future) shareholder.
“We expect to continue to significantly expand our client base and revenue streams through this equity partnership, which will grow our service offering to our clients.”
Austbrokers Group chief executive and managing director Mike Emmett welcomed the agreement.
“Our partnership is a natural next step in the relationship between two organisations with a very similar DNA,” Mr Emmett said.
“The ability to focus AUB Group’s diverse capabilities including corporate broking, the benefits of our straight-through technology, ExpressCover, and the specialist product design features of our underwriting agencies complemented by Kelly+Partners’ entrepreneurial approach to accounting and tax advice and the strong service ethic and trust relationship they have with their clients, will deliver excellent benefits to both organisations and to our respective clients.”
Jotham Lian is the editor of Accountants Daily, the leading source of breaking news, analysis and insight for Australian accounting professionals.
Before joining the team in 2017, Jotham wrote for a range of national mastheads including the Sydney Morning Herald, and Channel NewsAsia.