At a glance
- Bueermann said at an industry event in New York that advisor growth over the last two to three years has raised concern about whether firms can scale internally.
- For advisory principals, the immediate question is whether the pay plan, equity spread and legal entity will hold as the firm scales.
- As Private Wealth Daily previously reported, FP Transitions urged an enterprise-value baseline before 2027 goals on Oct. 28.
RIAs are reworking compensation plans, equity sharing and firm structure to keep pace with their own growth, FP Transitions CEO Brad Bueermann told WealthManagement.com.
Bueermann said at an industry event in New York that advisor growth over the last two to three years has raised concern about whether firms can scale internally. Clients mostly ask where their firm's value stands, how it benchmarks against peers and how to grow it, he said. He added that few sellers arrive with unrealistic expectations.
For advisory principals, the immediate question is whether the pay plan, equity spread and legal entity will hold as the firm scales. As Private Wealth Daily previously reported, FP Transitions urged an enterprise-value baseline before 2027 goals on Oct. 28.
Reported by the RIA desk from WealthManagement.com. Published . Corrections