TRANSITION TALK

Equity-based compensation provides an excellent solution for practice owners who need a reward system that goes beyond the traditional salary/bonus structure and shares the economic value of equity, but not equity itself. 

A critical element in the success of any small business is its ability to recruit, reward, and retain talented advisors and support staff. To this end, equity compensation is often used to achieve these goals. Synthetic equity is a tool set that can provide ownership-level benefits without buying or selling actual stock in an advisory business.

To be clear, the process of transforming a single-owner practice into a sustainable business generally relies on equity. Equity, or stock, is what next-generation advisors invest in, and over time and with hard work benefit from, above and beyond what compensation alone can provide. Equity is the shareholder value created in a business managed from a bottom-line up perspective with a focus on earnings or profits as the ultimate financial goal. Equity is a powerful building and motivational tool, but with the opportunities come obligations. Because of these obligations, buying or selling equity isn’t the only way to offer key employees ownership-like benefits, nor is it always the best option.

Even with market volatility over the past few months, the marketplace for financial advisory businesses has remained strong. FP Transitions is pleased to announce the recent sales of financial services businesses in the following areas :

• Palm Beach, FL  |  $6,000,000
• Houston,TX  |  undisclosed
• North Carolina  |  undisclosed
• Rhode Island  |  $1,500,000
• San Francisco Area, CA  |  undisclosed
• South Carolina  |  $3,600,000
• Sacramento Area California  |  undisclosed
• Atlanta Area, GA  |  undisclosed
• Miami Area, FL  |  $350,000
• Lafayette Parish, LA  |  undisclosed
• Rhode Island  |  $700,000
• Houston, TX  |  $1,100,000
• Chicago Area, IL  |  $120,000
• Northwestern, TX  |  $450,000
• Boston Area, MA  |  undisclosed
• Florida Panhandle  |  undisclosed
• Tampa Area, FL  |  $750,000
• North Carolina  |  $450,000
• Michigan  |  $1,200,000

VIEW CURRENT LISTINGS HERE 

LIST YOUR PRACTICE WITH FP TRANSITIONS

Sold announcements include all closed third-party transactions facilitated by FP Transitions, including private listings, pre-arranged matches, and those listed on the open market. 

The last thing any business owner and professional needs is to deal with more ambiguity and uncertainty than the global situation has already dealt us. In our highly regulated industry, many advisors are asking questions about how to keep their teams safe and do their part to "flatten the curve" while remaining compliant in operations and client communication. Many industry experts and institutions are weighing in on how to maintain business continuity, protect your clients, and remain compliant during the COVID-19 pandemic. Below are some of the resources we found most valuable on these subjects:

Many things are up in the air right now, and we’re all experiencing major changes to the way we live our lives. It’s no wonder that investors—and advisors—are wondering the best course of action as markets fluctuate and many businesses can’t operate as usual. Many industry leaders (including our own experts) are sharing their advice on how to mitigate uncertainty and provide valuable guidance to investors. Below you'll find some of the articles we've found most impactful:

Things have been changing for years, more and more people work from home and do so productively. Gone are the days, for many industries, where being in an office is a requirement. As technology continues to improve and online communications have become a daily occurrence, full-time employees around the country have had more freedom and flexibility, often able to work from any location.

Businesses around the world are asking employees to work from home in an effort to curb the spread of COVID-19. This is an excellent policy for public health, but how do you work from home without sacrificing productivity and client satisfaction? We've culled the internet and found helpful advice from people who know how to do it right.

As industry leaders in designing and facilitating internal succession plans for financial advisory firms, the leadership team at FP Transitions has its own talented, multigenerational ownership team in place. Our next-generation leaders have unique strengths and perspectives that keep our business constantly innovating and growing.

As we jump into 2020–a new decade!–we are proud to look back and see so much success in growth and transitions for our clients. In 2019, FP Transitions facilitated a variety of business growth goals for our community of advisors through strategies that Included internal succession, enterprise structuring, sustainable business growth, mergers, and external sales.

We'll soon be releasing our M&A data and observations from 2019, so stay tuned!

Over the last year helped facilitate external and internal transitions all over the country, including in : 

We're also pleased to announce that we closed out the year with sales of financial services businesses in the following areas!

Happy Holidays from the FP Transitions family!

FP Transitions is pleased to announce the recent sales of financial services businesses in the following areas :

• Northern Kentucky  |  $600,000
• Northern Michigan |  $795,000
• Sacramento Area, CA  |  undisclosed
• Washington D.C. Area  |  $1,200,000
• Eastern Pennsylvania  |  undisclosed
• Dallas, TX  |  undisclosed
• Sacramento Area California  |  $1,100,000
• Washington D.C. Area  |  $565,000
• Richmond, VA  |  $920,000
• Santa Cruz, CA  |  $345,000
• Dallas Area, TX  |  $3,700,000
• Northeastern Pennsylvania  |  $535,000
• Palm Beach, FL  |  $880,000

VIEW CURRENT LISTINGS HERE 

VIEW COMPLETE LIST OF PRACTICES SOLD 

LIST YOUR PRACTICE WITH FP TRANSITIONS

Sold announcements include all closed third-party transactions facilitated by FP Transitions, including private listings, pre-arranged matches, and those listed on the open market.