Advisor Group has rebranded to Osaic and its eight firms are consolidating into one.
What opportunities does that create for YOU?
As the eight Advisor Group firms become one, buying and selling of books of business will become simpler, with a wider range of options that do not require repapering. Whether you’re looking to buy, or to sell, we encourage you to explore the benefits of affiliating with our firm before that time comes.
Sellers
Whether you're looking to sell your practice now or in the next 5 years our team can help you structure the sale of your practice, find your successor, and implement a custom plan to ensure a smooth transition for you and your clients.
Maximize Your Value
You’ve spent your entire career building your practice. In doing so, you have also been building equity. As you’re considering exiting the industry as a financial professional, you will want to make sure you are receiving top dollar for your book of business. We have identified four key factors that can lead to an increase value:
- Client Relationship Management System
- Recurring Revenue
- External Succession
- Annual Growth Rate
Identify Your Successor
Identifying and appointing your successor(s) well before your goal exit date can make the transition easier on your clients. This will increase the chance of retaining clients through the transition and increase the value of your practice. Starting early will allow you to build the relationship with your successor so you will have confidence that they will maintain the same great level of service that you currently provide to your clients. If you don't have a successor in mind, we can introduce you to advisors within Osaic who we believe align with your values both internally and externally.
Structure Your Sale
There are many variations in designing a structure that is fair to both you and your successor. We highlighted the most common below.
- Fixed Payment - Once a value is determined for the practice, that value is divided by the number of years of a fixed payment.
- Earn-Out - Upfront payments followed by subsequent annual payments based on a percentage of the revenue generated.
- Partnership Terms - You choose to sell portions of your practice over time, allowing you to realize liquidity now while protecting your value for a future date.
Transition Your Clients
It’s important to begin preparing your clients for your exit. Prior to the transition, try to have your successor sit in on as many client review meetings as possible to both get to know your clients, but also get an understanding of how you run a meeting with your clients. Incorporate your successor into whatever marketing initiatives you have and consider having an event to celebrate your departure and introduce your successor. Transitioning your clients to an advisor within the same Broker/Dealer as you has its definite advantages from a paperwork and processing standpoint.
BUYERS
If you are planning to acquire others' books of business in the future, positioning yourself with our firm will give you access to new opportunities. Our transition and marketing teams can then help make your acquisition as smooth as possible, assisting with the transition of accounts.
Purchasing the Book
While purchasing a book of business can be a great way to build your business, it can also be expensive, complicated, and stressful. Our team can assist in the valuation of the practice and structuring the sale with the exiting advisor. We can also help you identify practices for sale that align with your goals and values. Any practices purchased from other advisors within our new consolidated Broker/Dealer will not require repapering.
Transitioning the Book
Our team works quickly and efficiently to transition accounts and make your acquisition as smooth and easy as possible for both you and your new clients. Maintaining consistent communication and marketing initiatives to the exiting advisor is vital to retaining your new clients. Whether those communications take the form of monthly newsletters, educational webinars, our in-person client events, our marketing team can assist in planning and initiating.
About Our New Consolidated Broker/Dealer
Whether you're looking to buy or sell a book of business, our broker-dealer's consolidation could present big opportunities for those who choose to join us.
With a history rich in growth and innovation, Osaic has always had one primary goal: to provide the best technology, resources, and services to their financial professionals to help ensure they are well-positioned to meet the needs of their clients while building long-term, sustainable practices.
In 2023, Advisor Group's eight firms (including Royal Alliance, Inc.) united to become Osaic Wealth, Inc. as one of the largest networks of independent wealth managements firms in the United States. Their structure delivers network sale and state-of-the-art technology alongside personalized service and support.
Chelsea Zangkas
(248) 663-4776248-827-7378
czangkas@michiganfinancial.com
Chelsea Zangkas is the Recruiting Coordinator for Michigan Financial Companies. Her role consists of helping advisors with their recruiting initiatives and is responsible for recruiting new talent to the various offices in all seven states of operation. Chelsea graduated from the University of Southern Indiana in May 2011 with her Bachelor of Arts in Online Journalism, and Political Science. In her free time, she enjoys camping and hiking in the great outdoors and is an avid marathon runner. Schedule time to speak with Chelsea about career opportunities at Michigan Financial Companies below.
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