Advisors who want to be part of the growing mergers and acquisition trend can find assistance from a new program launched by Prospera Financial Services, a Dallas-based boutique wealth management firm.
Prospera, a nationwide network of independent advisors, has created the Advisor Practice Exchange Program, or APEX, an interactive resource designed to assist Prospera's advisors interested in either growing their businesses by acquiring another practice or creating succession plans through a sale, the firm said.
The APEX program includes a dedicated consultant to help advisors navigate buying or selling a practice; curated tools, including acquisition and succession guides, white papers, recorded webinars and resources for contracting; and market and economic updates, Prospera said.
"By providing advisors access to in-house experts and resources, we make what can be a complex and emotionally draining undertaking easier for all involved. An internal transition creates an improved experience for the end client, translating into higher retention and increased business value,” Tim Edwards, Prospera co-CEO and managing partner, said in a statement.
During the transition process, an APEX consultant meets with the advisor to create a criteria for preparing the advisor for a purchase or sale. A Prospera committee then searches for a possible match. If there is mutual interest between the two parties, the consultant then guides the advisors through the process, Prospera said.
“Studies have shown that at least a third of advisors are planning to retire in the next 10 years. At the same time, fewer than 10% of advisors have taken the time to put an executable succession plan in place," Hilary Pluemer, managing director of advisor services at Prospera, said in a statement.