4 Business Models: Tuck-In/Join Existing RIA or Broker-Dealer

July 8th, 2022 | Luke Roth

Myriad Advisor Solutions breaks down the process of independent business ownership into actionable objectives to help you realize your dream. We’ve spoken before about the different independent models that advisors must consider – like registered investment advisor (RIA), joining an independent broker dealer, and becoming a Hybrid RIA. The final model we are exploring is to Tuck-In/Join an existing RIA or Broker-Dealer.

The name of this model begs the question, “Is it really going independent if I’m joining a different firm?” The answer is a resounding YES! There are many reasons why an advisor would join an existing firm instead of creating their own:

  • Leverage an existing infrastructure
    • Many representatives already have colleagues who have either started or joined an independent practice. They can join forces and, in some cases, not even have to become a full-fledged employee.
  • Ease the transition
    • The logistics, decisions, and pressure are all significantly reduced by tucking in. In turn, this can reduce the advisor’s overall anxiety.
  • Prioritize serving clients over managing an office
    • Going independent adds a LOT of titles to your resume. If ‘Office Manager’ isn’t in your wheelhouse, joining an existing RIA could be your ticket.
  • Have lower startup costs
    • In addition to mitigating the extra responsibilities of business ownership, tucking into an existing RIA is also great way to control costs when going independent.
  • Lower the risk for clients
    • Joining an existing RIA with a proven track record of success and quality recommendations means a representative can utilize those resources to help ensure their client’s continued success after switching over.

Thinking about joining an existing RIA firm? Myriad can make recommendations and help clarify other considerations throughout the process. Get in touch to learn more!