Are You a Financial Advisor That’s Considering Going Independent?

At some point, most successful financial advisors will consider going independent—either setting up their own RIA or affiliating with an already established RIA.

According to InvestmentNews Research, more advisors than ever are breaking away from the Wall Street wirehouses in search of independence and autonomy. This transition can be a powerful step in an advisor’s professional journey, and a firm like Great Valley Advisor Group can significantly mitigate the risks of becoming an independent advisor.

3 Essential Things You Need to Know Before Going Independent

This could be a win-win for you and your clients.

While the transition to independence can feel daunting, it could be a significant win-win for you and your clients.

As an independent advisor, you’ll be free to customize your service model to serve your clients best. Generally, that means better outcomes for your clients as they get more of the specific services they need, which can also translate into more client referrals for your practice.

When it comes to building a lifestyle and financial planning practice that’s tailored to your unique personal and professional goals, independence is key. As an independent advisor, there’s no limit to the lifestyle you can create while serving your clients. For some advisors, this could mean only taking client meetings on certain days of the week or during certain months of the year—whatever you decide is best for you and your clients.

Lastly, many advisors go independent to increase their revenue. According to research from Charles Schwab, 7 out of 10 advisors were able to increase their revenue after going independent. And this makes sense, as many wirehouses will pay out between 30-50% of production while independent advisors will receive 100% of production and then cover their firm expenses.

Understand how independence impacts your day-to-day operations

Next, doing your research when going independent is critical, as you can take several different options or routes.

For example, one big decision is whether you will affiliate with an existing RIA or start your own. For many, the choice to affiliate with a larger RIA makes sense because it’s more of a gradual transition than starting their own RIA—they still get the support and community of a larger firm while maintaining their independence.

Affiliating with a firm like GVA provides the following distinct advantages.

• GVA has a built-in culture of collaboration and support. Our technology stack, back-office support, research, and financial products allows you to hit the ground running and focus on client outcomes and firm growth.
• We offer extensive compliance support, so advisors don’t need to spend time keeping up with ongoing compliance requirements.
• Our customized technology stack provides a best-in-class suite of tools to handle every need for an advisor or a new RIA firm.
• GVA offers a variety of custodial options to provide maximum flexibility for advisors.

Whether you’re starting a new RIA and need support or would like to join one of the established RIAs in the GVA family, as a new independent advisor, you’ll feel right at home in the GVA family.

Independent doesn’t mean alone.

While going independent can have many benefits, there are also some risks to consider. Many believe that independent advisors are isolated, however becoming independent with an affiliation to a firm like GVA, advisors can achieve the independence and autonomy they’re looking for while tapping into a larger community of advisors and back-office support, and utilizing a suite of technology that is customized for their needs to ensure they never have to worry about the day-to-day operations of their new firm.

Interested in going independent but aren’t sure where to start?

Discuss how to build your business as an independent advisor with our team at Great Valley Advisors by contacting Phil Regan (pregan@greatvalleyadvisors.com) at (610) 296-7630 x105 or Schedule a consultation today.

Securities offered through LPL Financial, member FINRA/SIPC. Investment Advice offered through Great Valley Advisor Group, a Registered Investment Advisor and separate entity from LPL Financial.

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