This podcast is about the greatest retirement boom we’ve seen in a generation.
And I’m not talking about Baby Motors. I’m talking about financial advisors entering the greatest retirement boom in the history of financial advisors. Today there’s mass buyers and many different exit strategies.
The question is, do you want to be the last one to sell? What is best for you and what is best for clients?
One of the easiest options is option number one which is sell at your current firm. It’s the easiest retirement package. There’s no need for transfer assets, firms have institutionalized retirement packages and The average multiple is around 250% of one’s production, typically paid out over a period of four years.
It’s not a bad option. The option Two is even better and that’s to sell at another bank. And essentially it would be a double dip deal. Double dip means that to sell your business currently to another bank average is around 300 – Call it 350% or so. But then these firms will also offer you a retirement package of additional 250 For a total of 550 to 600%. Option number three is to sell your business and I call it your business because that means you would go RIA. And the valuations that one can command with an RIA. Is almost equivalent to double dipping at another big bank A multiple of literally 600% of your t.12.
But the difference is that it would be a long term capital gain versus selling at your current firm to would be ordinary income selling at a new firm and then retiring.
There would also be to ordinary income but your own firm. You control not only your taxes, but you also control your destiny, meaning that you don’t have to sell the entire piece. You can sell a piece of it and have an annuity for life, sell to your kids, sell to your colleagues and control how much That you’re selling for.
Do you have to sell for 250 times? You can sell for 350 whatever you want it to be. So I ask, are you going to be the last one to sell or should you look at today selling your business in what is the greatest retirement boom we’ve seen in a generation for financial advisors.
Thank you for listening.
As the Editor of The Gershman Group, a boutique financial services consulting firm, TGG brings expertise in financial analysis, strategic planning, and market research. With a keen eye for detail and a passion for helping businesses navigate complex financial landscapes, TGG delivers insightful, high-quality content to empower informed decisions. Backed by years of industry experience, TGG makes complex topics accessible through clear and compelling communication, shaping the firm’s thought leadership and commitment to excellence in financial services.
