Next-Gen Resources

Key Successor TraitsIdentifying Key Successor Traits

Assembling a talented succession team and committing to a long-term partnership are important and weighty decisions. How will you know who will make a good partner? What traits suggest that someone will make a successful owner? Much of that depends on your own values and priorities, but there are a few key indicators that are prevalent in the teams we've worked with.

Internal Succession  |  Next-Generation Talent


synthetic-equity-g2-resourceBenefits of Synthetic Equity for Next-Generation Professionals

 As a talented, next-generation professional in a growing firm it is important to understand how synthetic equity vs. actual equity buy-in can benefit you as you make decisions about your career path. Synthetic can temper financial risk, help you maintain control and flexibility, and open access to ownership-like benefits for non-licensed team members.

Next-Generation Talent  |  Compensation Internal Succession  


WATCH: Jumpstarting the Ownership ConversationJumpstarting the Ownership Conversation [Webinar]

Guidance for next-generation talent for breaking through common succession reservations and helping their businesses get started with internal succession. By preparing yourself for the role, educating yourself on the process, and initiating the conversation you can help your business take important steps towards securing sustainability while reaping the rewards of ownership in a growing enterprise. Originally aired Sept 16, 2020.

Internal Succession  |  Next-Generation Talent


G2 Journey - Roundtable TalkThe G2 Journey : From Team Member to Leader to Owner [Roundtable Talk]

The financial obligation of purchasing ownership in the business can enhance an already strong sense of duty to the organization and can pull the bigger picture into focus. As an owner you're no longer responsible for just the projects on your own desk, but for the performance and success of the business as a whole.

Internal Succession  |  Compensation  |  Business Growth


Advice for Next-Gen Owners G2 Perspectives: Advice for Next-Generation Owners

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. In this video, our next-gen ownership team shares their advice for new and prospective next-generation owners.

Next Gen  |  Internal Succession


CultivatingTalentWC_ResoruceThumb Cultivating Culture Through Talent

Leverage what makes your practice unique to attract and retain next-generation talent. In a competitive marketplace, developing and executing a clear recruitment and retention strategy to build the right team may be the most important investment you make to grow your business. Through the 3Rs–recruit, reward, and retain–you can successfully build a next-gen team that will help transform your business into a sustainable enterprise.  

Next Gen  |  Internal Succession


Synthetic Equity Webinar Synthetic Equity [Webinar]

Synthetic equity can enhance your ability to recruit, reward, and retain talented advisors and support staff, and offers key economic benefits of ownership, without actual stock changing hands. It is an innovative set of tools that should be considered by every independent financial professional–especially in challenging times. Originally aired April 28, 2020.

Compensation  |  Internal Succession  |  Business Growth


The Case Against Revenue Splits The Case Against Revenue Splits

With all of the modern tools for practice valuations and equity management solutions available, some financial advisors still choose to use revenue splits, or a revenue-sharing arrangement, as a makeshift succession plan. For a practice owner, this can be a poor and shortsighted business decision.Revenue splits encourage the eat-what-you-kill strategy and drive an individual’s book of business rather than support the practice as a whole.

Compensation  |  Succession  |  Continuity  |  Entity & Business Structure  |  Deal Structure


Financing for Successors Financing for Successors

One of the key hurdles to completing internal succession is financing the transition. As a next-gen advisor seeking ownership, understand how the alignment of compensation creates profit will allow you to leverage the equity to finance your buy-in. Educate yourself on the process to facilitate your founder's progress and to be a part of creating a financial structure that supports the vision and future of the business.

Next Gen Talent   |   Internal Succession


Elevating a LegacyElevating a Legacy : A G2 Success Story

Revisiting a thriving successor team six years later to check in on their accomplishments and the future growth they’ve set their sights on. Empowering a successor team that YOU trust fuels their drive to accomplish incredible growth, elevate the business, and carry a legacy beyond the foreseeable future.

Business Growth   |   Internal Succession  |  Next Gen 

 


Preparing Yourself for Ownership Preparing Yourself (and Your Boss) for Ownership

As a next-generation advisor, before you ask for ownership from the existing owners of your firm, you need to demonstrate that it is not only something you are capable of, but something you have earned. There are four critical steps to take in your early career to jumpstart your path to ownership.

Internal Succession   |   Next Gen  |   Compensation

 


Next-Gen ImpactNext-Gen Impact

Next-generation advisors are in a unique position to leverage their generational experiences and opportunities that influence business value to carve out their ideal career path. The demand for next-generation talent continues to increase as longevity, continuity, and staying competitive become top priorities for many financial advisor-owners. 

Business Growth   |   Internal Succession  |  Next Gen 


Rights and Obligations of Equity OwnershipRights & Obligations of Equity Ownership

Ownership allows you the freedom to create your own work environment, shape client experiences, and enjoy financial rewards. As with any small business, however, there are ownership rights and obligations that should be considered and understood. This post explores important aspects of being part of an ownership team. It explores key areas such as decision making, transparency, finances, and investment in the context of both benefit and responsibility. 

Internal Succession


Asking Your Boss for Ownership Asking Your Boss for Ownership

Broaching the subject of ownership is a growing concern for young advisors, but it’s also an intimidating one. The ask is a big one, and it requires preparation. A young advisor should come to the conversation with clear achievements and goals that align with the business. This post explores the dilemma of asking for ownership and offers practical advice on how to accomplish the task and be more confident in the ask.

Next Gen Talent   |   Internal Succession


Considering Key Staff During Your SaleConsidering Key Staff During the Sale of Your Business

Sellers are often reluctant to reveal exit plans to their team because they aren’t sure how the sale will pan out or how the staff will feel about the change. While it’s important to be sure of your decision before announcing your plan, looping your staff into the process can increase your success and impact deal terms, buyer selection, business valuation, and client retention

External Sale   |  Deal Structure & Documentation  


3 Job Interview Questions Next Generation Advisors Should be Asking

During a job interview with a potential firm you will have the opportunity to ask your own questions about the business and the team. Asking the right questions shows you are intelligent and engaged, in addition to providing you with critical information to help you make the right choice for your career.

Next Gen


Watch Now : Cultural Fit & the Ownership Mentality : G2 Perspectives Roundtable Talk - Cultural Fit and the Ownership Mentality : G2 Perspectives

The next-generation ownership of FP Transitions discuss their own experiences in taking the mantle to shape the team and future of the business. They explore hiring for cultural fit and potential value, the definition of “ownership mentality,” and how they might identify potential G3 leaders in the generation beyond their own.

Internal Succession   |   Business Growth  |   Next Generation


The Sustainability Challenge WebcastThe Sustainability Challenge [Webcast]

A sustainable business is financially strong, has a long-term plan for continued growth, and is structured to last beyond the career of any one owner. Sustainability is about more than just the succession of ownership, it's about creating a business of trusted advisors that will carry on, continue to grow, and, most importantly, be there for clients when they need it most.

Internal Succession  |  Compensation  |  Business Growth


Succession RTT Thumb - David + Kem Roundtable Talk - The Next Generation Opportunity

FPT experts discuss the process of going from next-gen advisor to next-gen owner. They discuss the importance of tapping into individual talents to create a stronger business, as well as the importance of clear communication between generations for a successful integration.

Next Generation Talent   |   Internal Succession  |  Business Growth 


Life After Advising - Roundtable Talk Roundtable Talk - Life After Advising
with guest Colleen Jordan Hallinan, Qii Consulting

In this first in a series of special Roundtable Talks, Colleen talks about her own journey to life after advising, and how finding the right people to take over the business made all the difference. 

Internal Succession   |   Business Growth  |   Next Generation


Succession and the Family Business - Client Success Story Succession & the Family Business - Client Success Story

Choosing a successor who is a part of your family doesn’t mean the process becomes 10 times easier. It requires the same careful planning to ensure ownership of the business ends up in the right hands. Tom and Paul Morrone have always been a close father / son unit, but that didn’t mean that Paul wouldautomatically take over one day. Tom instisted that Paul earn his ownership.

Internal Succession  |   Next Gen Talent 


Legacy Financial Strategies - The Growth Machine Client Success Story - Legacy Financial Strategies

Michael Lutz understood that acquisition was a viable and smart path for growing his business. He wasn’t just looking to gobble up as many practices as he could, however. He also understood that if he chose his targets strategically, he could not only grow his business, but he could ensure its legacy by pairing acquisition with succession as a vehicle to recruit and retain Generation Two talent to his firm.

Internal Succession  |   Business Growth  |  Next Gen Talent


Destabilizing Value w/ Revenue Sharing Destabilizing Value With Revenue Sharing

A large percentage of advisory practices have built in “fracture lines” by using a revenue-sharing arrangement to compensate multiple professionals in one office. In the independent sector your focus should be on creating a team of advisors that work together—compensated for contributing to an supporting a single enterprise—rather than individuals building their own books and leaving the practice with the clients and cash flow they’ve generated.

Internal Succession   |   Entity & Business Structure   |   Compensation


Building the Team - Roundtable Talk w/ Colleen Jordan Hallinan Roundtable Talk - Building the Team
with guest Colleen Jordan Hallinan, Qii Consulting

In this second Roundtable Talk with Colleen Jordan Hallinan of Qii Consulting, she shares ways to identify different personality types and work styles. Harnessing each individual's unique strengths creates a team that promotes the success of the business as a whole.

Internal Succession   |   Business Growth  |   Next Generation


Growth and Profitability Webcast Advanced Strategies for Growth & Profitability

Balancing growth and profitability comes down to compensation structure and the equity pathways created. The profits generated through properly structured equity pathways are a catalyst for growth and the means to accomplish long-term strategic objectives including recruiting new talent, internal succession, and acquisition.

Compensation  |  Business Growth  |  Internal Succession


Hoffman Lawrence Testimonial Client Success Story - Hoffman Financial Resources

Greg Hoffman found the best match for his business when he added Ross Lawrence to his team. Ross shared Greg’s commitment to the community and the people of Nevada, MO. Three years later they embarked on their succession planning journey with FP Transitions. Valuation in hand and succession options laid out, Ross and Greg chose the accelerated path with the help of bank financing.

Internal Succession  |   Business Growth  |  Next Gen Talent


Creating an Internal Ownership Track
EMS Exclusive Resource

Recruiting and developing a skilled team of advisors can be a daunting challenge for the owner of a financial advisory practice. Doing that, however, is only half the battle. Once you’ve chosen and trained your next generation how do you hold on to them? How do you keep them from opening up shop across the street? Create an ownership track and make the opportunity available to the best on your team.

Internal Succession  |   Compensation   |   Business Growth   |   Entity & Business Structure


Grants of Stock to Key Employees
EMS Exclusive Resource

It may be tempting to think that simply granting stock or ownership to a key employee would be an easy way to achieve succession. But the tax implications and potential issues this causes should be carefully considered.

Internal Succession  |   Compensation   |   Tax & Regulatory Issues


Entrepreneurs Need Intrapreneurs READ NOW Entrepreneurs Need Intrapreneurs

When it comes to securing your legacy and choosing your successor, instead of looking for an entrepreneur like yourself, shift your search to intrapreneurs. Intrapreneurs are more likely to wear one or two specialized hats. They can see the "big picture" and demonstrate an ownership mentality. They are focused on driving improvement within a company rather than starting up a new one.

Internal Succession   |  Business Growth    |   Next Gen


Succession Planning for Financial Advisors Book Succession Planning for Financial Advisors

Our book, Succession Planning for Financial Advisors, written by our President and Founder, David Grau Sr., goes indepth into internal succession planning.  It answers the question: How can a formal succession plan perpetuate business growth and income streams beyond an owner's lifetime

Internal Succession 


Merger White Paper Mergers: A Focus on the "M" in "M&A"

Mergers create an opportunity for two or more practices to come together, combining staff, strengths, and cash flows, expanding virtually overnight into a larger, stronger business. In this white paper you will discover how different mergers can work for you plus a comprehensive strategy for executing a successful merger.

Business Growth  |   Acquisition


WATCH NOW - Synergy of Multigenerational Ownership - Roundtable Talk Roundtable Talk - Synergy of Multigenerational Ownership

This Roundtable Talk explores the internal succession and describes how both the succession process and business growth can benefit from multigenerational experiences and knowledge from all owners. Additionally, we look at other factors that help the succession planning process, including helping next generation advisors understand the benefits and responsibilities of ownership.

Business Growth    |   Next Gen    |   Internal Succession


Book Review: Successful Hiring for Financial Planners BOOK REVIEW: Successful Hiring for Financial Planners by Caleb Brown, CFP

FPT Elite Client Consultant Kem Taylor shares her thoughts on Caleb Brown’s Book Successful Hiring for Financial Planners: The Human Capital Advantage. She highlights the most impactful sections and how advisor/owners can best utilize Caleb’s advice to grow their own staff, and with it, the business as a whole.

Next Gen   |  Business Growth   |   Internal Succession


Accessing the Next Stages of Growth Accessing the Next Stages of Growth

The M&A marketplace is becoming increasingly competitive. Businesses need a strong value proposition to step away from the crowd. Owners who have taken steps to build their enterprises are in the best position to leverage their unique business aspects to access more growth opportunities including acquisition and merger partnerships.

Acquisition   |   Business Growth  


Targeted Growth Solutions eBookTargeted Growth Solutions for Financial Advisors

Today’s independent financial advisors face a daunting array of opportunities (and challenges). The key to harnessing ownership opportunities is to identify impediments before they arise and develop strategies for tackling the issues that present the greatest opportunities for improvement and growth. Discover actionable guidance for seizing ownership opportunities and facing challenges head on.

Business Growth   |   Internal Succession   |   Compensation  |  Next Gen  |  Acquisition


Harnessing the Power of Mergers Harnessing the Power of Mergers

Advisors commonly think of a merger as the statutory combination of two entities, but it’s better to think of the merger process as the combination of two or more advisors’ strengths, client bases, and cash flow streams. The transactions boost productivity and create tax benefits while reducing or eliminating weaknesses and inefficiencies. A merger can facilitate many growth and business goals including: integrating internal succession, facilitating acquisition, and expanding reach.

Business Growth   |   Acquisition   |    Internal Succession 


Bates4.pngRoundtable Talk - Every Merger Is Unique 

Our Rod Boutin, J.D. and Ericka Langone, J.D. discuss the uniqueness of each merger transaction using three real life examples from the FP Transitions portfolio. The examples range from a complex 3-way, multi-owner consolidation, to a more common combining of efficiencies and resources, to a planned merger as continuity for two small businesses. 

Business Growth   |   Deal Structure & Documentation


Course Corrections for Your Succession Plan Course Corrections for Your Succession Plan

Building a sustainable business and incorporating new talent into your ownership structure is a process that takes planning and monitoring. With so many moving parts including multiple parties and expectations, the process is bound to see some bumps. A course correction can come in the form of accelerating your plan, incorporating more owners, or, in some cases, falling back to Plan B. This post focuses on how to prepare for these situations and how to change course quickly, if needed, to preserve realized business value.

Internal Succession   |  External Sale   |   Next Gen


Financing to Accelerate Your Succession Plan

A buy-out loan can accelerate your exit plan, while a partial buy-in loan can facilitate your staged-succession. Both are designed specifically for financial advisor to reduce risk by moving the financing responsibility from seller to bank.

Internal Succession   |   Deal Structure & Documentation


Succession Planning for the Family Business
EMS Exclusive Resource

Family businesses have a unique set of challenges, the best way to turn these hurdles into advantages is through preparation, proper structures, and ultimately keeping the interests of the business and the clients top of mind when choosing the next leader of your business.

Internal Succession   |   Next Gen


Time : An Essential Element of Internal Succession - Roundtable TalkRoundtable Talk - Time : An Essential Element of Internal Succession

Elite Client Consultant Kem Taylor, CBEC, and President David Grau Sr., JD, discuss the many paths succession plans can take as well as offer several examples of how business owners are navigating their plan adjustments including accelerating the plan, adjusting the next-generation ownership team, and falling back to “Plan B”–selling the business externally.

Internal Succession   |   Next Gen 


MergerBeyondNumbers_thumb Roundtable Talk - Mergers: Prepping Beyond the Numbers

Experts Rod Boutin, JD and Ericka Langone, JD explore preparation beyond determining value. They highlight the importance of reconciling the expectations and goals of all parties, the considerations that may warrant an assigned premium share value, and the benefits of a holistic approach to the entire merger process.

Business Growth    |   Next Gen    |   Entity & Business Structure


Issues Advisors Face Issues Advisors Face

Independent financial advisors face an almost overwhelming set of challenges, but with challenges come opportunities. These opportunities and challenges are often interconnected and fall into areas of mergers & acquisitions, growth & profitability, talent retention, and succession planning.

Internal Succession   |   Entity & Business Structure  |  Compensation 

Bates4.pngGovernance & Control for Shifting Ownership 
EMS Exclusive Roundtable Talk

FPT transactions experts Rod Boutin, JD and Ericka Langone, JD discuss common areas of governance and control that many owners (existing and future) have concerns about during any (re)structuring or additions to the ownership of a financial services business.

Deal Structure & Documentation  |   Entity & Business Structure

Organization Growth - Client Success Story (Cornerstone Wealth) Organizational Growth - Client Success Story

Unexpected circumstances forced Floyd to quickly reduce his work hours at his firm, Cornerstone Wealth, from 45 to 20 hrs a week. Too young to retire, Floyd incorporated existing staff into the ownership structure to ensure his business not only survived, but thrived. In this client success story the team discusses the transition and their new ownership mentality.

Internal Succession  |  Business Growth  |  Entity & Business Structure


Bates4.pngRoundtable Talk - Benefits of Proper Entity Structure
EMS Exclusive Resource

FPT Experts Ericka Langone, JD and Eric Fettig discuss the benefits of proper entity, including liability protections, governance for business leadership and operations, structure and value for future ownership, and tax treatments that make sense for your specific enterprise.

Entity & Business Structure   |   Next Gen Tax & Regulatory Issues


RT2-Robo.png Roundtable Talk - Robo Advisors
EMS Exclusive Resource

Marcus Hagood and Douglas Kreft, focus on the opportunities robo advisors present for financial advisors to emphasize their value proposition and expand their client bases. With investment management technology at investors’ fingertips, are we seeing a precursor of a larger threat to advisor services in coming years?

Business Growth    |   Next Gen    |   Roundtable Talks