A transaction involving the switch of a set of shopper accounts from one enterprise entity to a different. This usually happens in service-based industries, akin to insurance coverage, monetary advising, and actual property. The acquired portfolio often contains shopper contact data, coverage particulars, and historic knowledge obligatory for continued service provision. As an example, a retiring insurance coverage agent would possibly switch their shopper base to a youthful agent looking for to broaden their operations.
The importance of those transactions lies of their capacity to supply quick entry to a income stream and a longtime buyer base. This accelerates enterprise progress, reduces advertising and marketing bills, and affords a aggressive benefit. Traditionally, such agreements have facilitated smoother transitions for shoppers, making certain uninterrupted service and preserving established relationships. They signify a strategic technique for enterprise growth or succession planning.