Record Completeness
The extent to which transferred client files contain the required advice, identity, consent and servicing records.

Recurring Revenue
Revenue expected to continue, usually from ongoing advice or service charges.

Recurring Revenue Ratio
Recurring revenue expressed as a proportion of total revenue.

Red-Flag Report
A report focusing on material issues rather than providing a complete account of every matter reviewed.

Redress
Compensation or other corrective action provided for client harm.

Regulatory Business Plan
A plan provided to the FCA explaining the proposed business, governance, financial resources and acquisition strategy.

Regulatory Capital
Financial resources a regulated firm must maintain under its applicable prudential regime.

Regulatory Consolidation
Bringing acquired firms or businesses under a smaller number of authorised entities or permissions.

Regulatory Due Diligence
Review of permissions, conduct, advice quality, complaints, controls and regulatory correspondence.

Regulatory Investigation
A formal or informal regulatory examination of conduct or compliance.

Regulatory References
Prescribed employment references relating to conduct and fitness and propriety.

Relationship Risk
Risk of losing clients because of disruption to established relationships.

Reliance Letter
A letter allowing an additional party to rely on a professional adviser’s report.

Responsibilities Map
A record showing how management responsibilities are allocated within certain firms.

Restrictive Covenants
Restrictions on a Seller’s post- Completion competitive activities.

Retention Arrangement
An incentive intended to retain important employees or advisers through or after the transaction.

Retention/Holdback
Part of the Purchase Price withheld temporarily as protection against claims or performance risk.

Revenue Multiple
A valuation calculated as a multiple of revenue, often recurring revenue.

Revenue Persistency
The proportion of recurring revenue retained over a specified period.

Revenue Retention
The proportion of income retained after Completion or integration.

Revenue Run-Rate
Current revenue projected over a full year, usually without implying that it is guaranteed.

Risk Register
A record of material risks, controls, owners and mitigation actions.

Rollover Equity
Consideration reinvested by the seller into the buyer, acquisition vehicle or wider group.

Run-Off Cover
Insurance covering claims arising after a firm stops trading in respect of earlier advice.