There’s more than one way to realize the benefits of independence as an RIA. If you have a strong entrepreneurial spirit and desire for control, starting your own firm may be the right model for you. If you’re interested in maintaining a similar structure to your current firm with the benefits of being an independent advisor, consider joining an existing RIA firm. Schwab can help you determine what’s best for you.
Start your own firm
Advisors who choose this option typically have a strong entrepreneurial spirit and desire to have complete control over how they serve their clients and build a legacy of their own. Advisors may start their practice independently or as a team with other advisors with complementary skills to expand their capabilities.
There are numerous advantages to starting your own firm, including:
Have total control over your career and professional future
Control your economics
Decide what services you’ll offer and what kinds of clients you want to target
Build equity in a valuable business entity
Set policies, procedures and other aspects of running a business
Determine where you’ll work and how large or small you want your office to be
Join an established firm
Many advisors are looking to take advantage of the independent (RIA) advisory model without the responsibilities of starting and running a firm. You can still gain all of the benefits of adopting the RIA model by starting a relationship with an established, Schwab-supported firm.
With this option:
Avoid investing the time, money and effort required in building a new firm from the ground up, which may ease the complexity of transitioning your practice and clients.
Turn your attention to serving your clients your way—and attracting new clients.
Leverage the scale, resources and expertise of the firm you join.
Gain access to the products and services you need
There are a few different ways to capitalize on an established firm’s position:
Join a firm as an employee
Combine your practice with another RIA firm and take an equity position as a partner
Leverage the platform of an existing RIA firm, such as back office support, marketing, technology, and portfolio management. These firms typically charge a fee for their services and you may have the opportunity to establish your own firm identity and leverage the experience and expertise of the existing firm
Interested in joining a firm? Contact us to learn more about your options.
Torn between where you are now and starting your own firm? This webcast will show you what it can be like to join an established RIA firm. View the webcast.
“First and foremost, decide what you want to do and how you want to do it. If you're satisfied with the way you're doing business, then just look for another office or another firm. But if you're truly dissatisfied with the way business is conducted, then take a look at the independent route.”
