For the past few years, many breakaway brokers have decided to start their own RIA firm to gain independence from the wirehouse world. They have now been looking for our assistance to help grow by adding new financial advisors. We have seen an enormous growth in RIA firms looking to expand their business within the next few years.
Advisors looking to expand their business need to consider a few things first. They must have a solid plan on how they intend to grow their business. Also, they need to consider what type of advisor they want or need to join their firm. For example, is your company in need of an advisor who has a particular specialty that your firm currently lacks such as tax, retirement, or even divorce planning?
Another important factor to ask is will you be retiring within a few years and in need of succession planning? If this answer is yes, it may behoove you to look for a junior or younger financial advisor who can learn from your practices and ultimately take over your book of business. If you are not planning on retiring any time soon, then you should be looking for a seasoned advisor who already has a well-established book of business.
There are a multitude of questions advisors must ask themselves before they decide to grow their business to make sure they find the right fit. If you have a solid plan and have thought about what your business needs to thrive, you are one step ahead of the rest.