There are many broker dealers with fewer than 50 representatives who are finding increased costs associated with operations, compliance, Independent broker dealers, legal fees, not to mention increased risk of arbitration.  We work with broker-dealers who would like to speak with you if you are considering selling your broker-dealer or just want to outsource your operations, compliance, and legal functions.  Please call us for a confidential discussion.  We have a network of firms who are interested in purchasing small producing broker dealers or “shell” broker dealers.

We work with well capitalized broker -dealers who are interested in buying smaller broker dealers, independent broker dealer or taking over their back office operations. We have seen an increased demand from smaller broker dealers considering a sale.

There are several reasons why a broker-dealer may consider a sale:

1. Increased rules and regulations.
2. Increased costs associated with running the broker dealer. Especially compliance and legal costs.
3. Increased competition from larger broker-dealers.
4. Decreased profit from running the broker-dealer.
5. Increased financial reporting.
6. Taking time away from production.
7. Owners desire to exit the business.
8. Desire to outsource the compliance, legal, and clearing functions to another broker dealer.
9. Broker Dealers originally formed for business lines (like M&A) where market has seen decresed demand.

There are several reasons a financial advisors may consider selling his practice:

1. Wanting to retire.
2. Frustrated with increased regulations.
3. No longer able to make adequate compensation due to increased costs.
4. Increased competition from other advisory firms.
5. The desire to find a suitor to continue to bring good service to your clients.

As you can see, there are many questions to be answered when selling your financial practice. Research needs to be done and due diligence completed.
We can help you to evaluate the cost of your book and also make introductions to “buyers”.  We will help you to do the due dilligence needed to complete the buy/sell arrangement.  We have financial advisors who are well capitalized and are interested in purchasing financial practices.

There are many things to consider when finding a potential buyer for your practice, which include:

1. The valuation of your financial practice.
2. How do you structure the deal once the price has been agreed on.
4. The location of the buyer.
5. How will the practice be converted over to the buyer?
6. What is the reputation and FINRA track record of the buyer?
7. What is the financial financial capabilities and credit worthiness of the buyer?
8. How do you draw up the contract between the buyer and seller? 

Financial Advisor Placement Services is the premier financial advisor recruiting firm, Independent broker dealer firms & Independent broker dealer payouts that specializes in placing only financial advisors. There is no cost to the Advisor!

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