SRG Off Script: RIA Tax Considerations with Succession and Selling
Watch Recording https://youtu.be/cUibsAlOPA8 As an advisor, you know that selling/buying a business is a major step for any founder/owner. Between the valuation, timeline, cash flow analysis, deal structure, and contracts, it’s enough to make your head spin. But, one of the most overlooked parts of M&A and succession planning is the tax strategy and how to leverage it to your advantage. Date: Thursday, April 13th, 2023Time: 11 a.m. PST / 1 p.m. CST In this SRG Off Script, we will answer your questions on the various tax considerations when selling a business or sharing equity. If you’ve ever wondered how to maximize the tax result in a sale/merger, how to get long-term capital gains, the nuances of family succession planning and taxes, or even just the right entity structure to minimize taxes, this is the session for you. Submit your question(s) at registration or live during the webinar! SRG Off Script is a monthly webinar series hosted by President David Grau Jr. David along with other industry experts provide insight and address questions related to all stages of managing a financial practice. Have a request for future SRG Off Script session topics? Let us know at registration or email marketing@successionresourcegroup.com Host David Grau Jr. MBA CEO/President Paper-plane Linkedin-in
Acquiring a Financial Practice? Avoid These Common Points of Contention
Introduction For anyone who has siblings, or is raising siblings, you might be familiar with the “Fair Share” tactic. Two siblings are told to share the last cookie in the jar. One sibling is tasked with splitting the cookie, while the other gets to choose which half of the broken cookie is theirs to enjoy. Doing so ensures that each sibling gets a fair share of the treat, despite their personal interest, with minimal bickering in the end.
SRG Off Script: Understand and Leverage Your Firm’s Value
When it’s time to have your business valued, most advisors struggle with where to start. Most assume business valuations are a “one-size-fits-all” process and engage the firm with the lowest price. However, choosing the wrong type of valuation can result in a waste of time, effort, and money, and can result in a grossly misstated value. Join our latest SRG Off Script where advisor valuations expert Ryan Grau CVA, CBA provides guidance on how to perform your due diligence when selecting a valuation service provider and address the valuation questions that matter most to you. SRG Off Script is a monthly webinar series hosted by President David Grau Jr. David along with other industry experts provide insight and address questions related to all stages of managing a financial practice. Have a request for future SRG Off Script session topics? Let us know at registration or email marketing@successionresourcegroup.com Watch Recording Resources Three Ways to Build Value in Your Advisory Practice → Are YOU Hurting the Value of Your Business? → Revenue Sharing: Variable Comp and Your Value → Learn more about SRG’s Valuation services. Schedule your free consultation below! Presenters David Grau Jr., MBA President/Founder Ryan Grau, CVA, CBA Director of Valuations
2023 Advisor M&A and Equity Highlights
In 2022, we saw challenging employment conditions and financial markets. However, merger and acquisition activities in the finance industry remain strong! In today’s economic environment, the looming instability continues to bring many M&A aspects into question for both growing and selling advisors. If you’re contemplating buying or selling a financial practice, or are looking to stay current on industry developments, this infographic will highlight the most interesting industry trends and data from 2022. Download our digestible infographic to learn about the current valuation multiples for RIAs, deal structures, the changing landscape of advisor financing, and much more. DOWNLOAD NOW
Everything Equity
Join SRG’s webinar, Everything Equity, presented by Nicole Frey, CFP®, where you’ll learn everything you need to know about equity sharing. In this information-packed webinar, you can expect to learn: Key components of equity sharing Identifying the best plan for you and your company Differences between phantom equity to real equity Who should participate in equity sharing plans Tax considerations and implications Expert insights into rewarding key employees Retaining top talent Developing the next-generation ownership plan Don’t miss out on this opportunity to learn from an expert in the field. Fill out the form to watch the webinar on demand! Watch Recording
The Financial Advisor’s HR Toolkit
Download Your eBook! Please enable JavaScript in your browser to complete this form.Please enable JavaScript in your browser to complete this form. Name * FirstLast Phone Work Email *How Did You Hear About SRG? *— Select Choice —ConferenceDirect MailExisting/Past ClientGoogle AdWordsOtherReferralSocial MediaSeminar/WorkshopWebinarWebsite Download Streamline Your Practice with These Essential Tools Effective personnel management, including formalized employee agreements, equity sharing, and compensation plans, is equally crucial to the success of your financial practice as well as that of your team. Our toolkit is designed with all the essentials you need to manage your HR processes effectively, saving you time and increasing your efficiencies. Here’s what you’ll find inside: Expert recommendations on employment agreements Best practices for compensation Key elements for clear job role descriptions Guidance for creating a career path for your team Our toolkit is designed to help you improve your employee satisfaction, increase retention, and better align employee compensation plans with business initiatives. Complete the form to receive your free HR Toolkit today! Learn more about SRG’s Employment Resources and Equity Sharing services. Schedule your free consultation below!
SRG Off Script: Advisor Compensation
In the latest of SRG’s monthly webinar series, SRG Off Script, David Grau Jr. and Nicole Frey, CFP® address the topic of employee compensation and talent retention in your business. SRG Off Script is a monthly webinar series hosted by President David Grau Jr. David along with other industry experts provide insight and address questions related to all stages of managing a financial practice. Have a request for future SRG Off Script session topics? Let us know at registration or email marketing@successionresourcegroup.com Watch Recording Resources Five Best Practices To Create An Effective Compensation Plan → Five Building Blocks of an Attractive Compensation Model → Learn more about SRG’s Employment Resources service. Schedule your free consultation below! Presenters David Grau Jr., MBA President/Founder Nicole Frey, CFP® Project Manager
Five Best Practices To Create An Effective Compensation Plan
Many companies have spent significant time and effort in recent years to move away from the traditional one-size-fits-all type compensation plans and instead favor a more customized solution. However, the challenge to achieve desired results in attracting and retaining talented workers, within company means, remains prevalent. While at times the issue may be poor job role, poor culture fit, or external circumstances beyond the employer and/or the employee’s control, more often than not the lack of success is the result of a misalignment of the compensation plan with the worker’s role in the company and incorrect implementation practices. Most of these occurences can be avoided if the following best practices are maintained: 1. Tailor the Compensation to the Employee’s Specific Role To create a compensation plan that achieves the desired results, it is important to provide compensation elements that incentivize certain behaviors. Here, the focus should be on an employee’s particular role and strengths as well as the company’s needs to maximize the return for the expended efforts and the compensation paid. For example, if an employee excels at business development, the bonus structure should reward him or her for new business brought to the firm rather than for a certain quantity of financial plans produced or client meetings held. If, on the other hand, an employee is skilled at client service but, typically, does not bring in a lot of new business, the bonus structure should emphasize the service element such as the number of financial plans produced, and pay an attractive bonus. It is important to keep in mind that additional bonuses may still be paid on other activities that are beneficial to the company but do not pertain to the employee’s particular job role or strengths. However, such bonuses should not be the main element of the compensation plan. 2. Communicate Expectations and Results A compensation plan is only as good as the company’s communication of its expectations and intended results. Such communication is more effective if it acknowledges a reciprocal relationship between an employee and the company and therefore includes the expectations and results for both parties. This is typically accomplished by outlining the employee’s qualifications and responsibilities as well as the company’s commitment to career progression and compensation in a career path summary for a particular job role. The details outlined in the career path summary should then correspond with the elements of a compensation plan that is specifically tailored to a particular job role level. Both career path and compensation plan should be reviewed periodically and potentially adjusted to make sure they are clear and achieve the desired results. 3. Use SMART Goals As an employee’s goals are determined, it is best practice to set SMART goals to maximize his or her performance and promote job satisfaction. SMART goals are: Specific (direct/detailed) Measurable (quantifiable) Attainable (realistic) Relevant (aligning with the company’s mission) Time-based (deadline driven) Using these metrics will ensure that team members do not feel overwhelmed and challenge themselves to achieve their goals. 4. Align Performance & Compensation When it comes to using compensation as a means to incentivize performance, timing is everything! For best results, compensation should closely follow performance. This ensures that the employee associates the reward with their behavior and is more likely to repeat the desired behavior. The more time passes, the weaker this association will be. 5. Stay Within Company Means The pressure on companies to offer attractive compensation plans is tremendous given today’s competition for talented workers. As a result, many companies use compensation studies to determine how much they will need to pay an employee to beat the competition. Compensation studies, however, should be used with caution since they can include a broad range of participants and often communicate only one particular aspect of the employment relationship – compensation – and they might therefore lack information with respect to required work hours, level of skills and responsibilities, other perks, etc. For some firms, the use of compensation studies can put significant strain on the company’s financial health if the compensation benchmarks exceed the company’s financial resources. To avoid profitability issues, it is therefore important to ensure that: Revenue ranges are determined based on the company’s financial means, Any overlap in compensation is eliminated (i.e., paying multiple bonuses for the same activity), and The calculation of the bonus amount is predictable. To avoid profitability issues, some companies are inclined to impose caps on bonuses paid. However, depending on the circumstances and the type of bonus paid, the bonus amount may not need to be capped, for example, if the generating capacity of any new business sourced by the employee exceeds the bonus payment. A bonus cap has the tendency to restrict high performers and slow down company growth. In summary, for a compensation plan to yield the desired results, the process should start with the end goal in mind and then focus on how each employee can help reach such goal based on their particular job role. Once the goal for the company and the associated goals for the employees have been established, a compensation plan can be created that drives the behaviors needed to accomplish the company goal by tying behavior to compensation.
SRG Off Script: Building Greater Enterprise Value
https://youtu.be/yEeT5_KRqW4 In the latest of SRG’s monthly webinar series, SRG Off Script, David Grau Jr. addresses the topic of building greater value in your business. Submit your question(s) at registration or live during the webinar! SRG Off Script is a monthly webinar series hosted by President David Grau Jr. David along with other industry experts provide insight and address questions related to all stages of managing a financial practice. Have a request for future SRG Off Script session topics? Let us know at registration or email marketing@successionresourcegroup.com Learn more about SRG’s services: Valuation & Equity Sharing. Schedule your free consultation today! Presenters David Grau Jr., MBA President/Founder
SRG Off Script: Succession & Equity Sharing Q&A
https://youtu.be/L87GvTcmIeg In the latest monthly webinar series titled SRG Off Script, David Grau Jr. answers your questions surrounding succession planning best practices, equity-sharing strategies, and other ways to attract and retain top talent. Submit your question(s) at registration or live during the webinar! SRG Off Script is a monthly webinar series hosted by SRG President David Grau Jr. David along with other industry experts provide insight and address questions related to all stages of managing a financial practice. Have a request for future SRG Off Script session topics? Let us know at registration or email marketing@successionresourcegroup.com Learn more about SRG’s services: Succession Planning & Equity Sharing. Schedule your free consultation today! Presenters David Grau Jr., MBA President/Founder