Facet’s Solutions for Advisors

Facet helps financial advisors develop and execute strategic plans for their firm.
Click below to see how we can help you.

Free-Up Capacity
Improve Profitability
Increase Valuation
Accelerate Growth

Free-Up Firm Capacity

Typical Firm Profile

Firms looking to increase capacity without adding staff

$300M
AUM

7
Employees

250
Households

2 CFP®
Professionals

Solution

After a period of growth, firms need to either hire more advisors or shoulder the extra work themselves, which means working nights and weekends. Neither choice is practical.

Facet works with such firms to segment their practice and purchase all clients that create scarcity of their time or are no longer profitable for the firm.

As a result, firms are able to focus on their sweet spot of clients with over $250k of AUM, giving every client additional service and attention while also increasing firm profitability.

Sound like your firm? Click here and talk to one of our experts today.

Free-Up Firm Capacity

Challenge

Firms looking to increase capacity without adding staff

$300M
AUM

7
Employees

250
Households

2 CFP®
Professionals

Solution

After an extended period of growing new accounts, the firm needed to either  hire several more advisors or shoulder the extra work themselves,
Facet worked purchased all clients that were no longer profitable for the firm. They now can focus on their sweet spot of clients with over $250K of assets
Giving every client additional service and attention while also increasing firm profitability. By working with Facet, the firm was also assured that all of their former clients still had access to high quality advice.

Sound like your firm? Click here and talk to one of our experts today.

Improve Profitability

Typical Firm Profile

RIAs with new ownership, looking to increase valuation of firm

$700M
AUM

12
Employees

500
Households

4 CFP®
Professionals

Solution

A second generation of owners assume the reins of a large RIA. To fund the transition of ownership they need to grow their cash flow and valuation.

They can implement a minimum AUM, segment their clients and sell the segment below their stated minimum to Facet.

As a result, the new owners can focus their newly freed time to grow their higher net worth segments, which in turn increases referrals. The above scenario increases account profitability and allows the new generation to buy-out their shares with the increased cash flow.

Sound like your firm? Click here and talk to one of our experts today.

Improve Profitability

Firm Profile

RIAs with new ownership, looking to increase valuation of firm

$700M
AUM

12
Employees

500
Households

4 CFP®
Professionals

Overview

A couple of years ago the second generation of owners assumed the reins of this large RIA. To help fund the transition of ownership, it was very important to grow their cash flow and valuation. To do this, they implemented a minimum AUM level and sold clients below that minimum to Facet. The new owners could focus their newly freed time on adding value to more profitable clients which in turn increased referrals from happy clients. All of these factors vastly increased account profitably and allowed the new generation of owners to buy-out their shares with the increased cash flow.

Thinking about your firm's valuation? Click here and see how Facet can help.

Increase Valuation

Typical Firm Profile

Firms ready to take the next leap, looking to enhance their bottom line

$400M
AUM

15
Employees

800
Households

6 CFP®
Professionals

Solution

An RIA firm hires additional staff and increases fixed costs as part of their strategic growth plan. The profit margins get depressed. Even with the newly added staff the firm still has too many smaller accounts and de facto there’s no capacity to pursue growth in profitable segments.

The firm can sell smaller accounts to Facet thus freeing up capacity to develop new, higher AUM clients and increase profitability quickly.

Since operating margins are a key variable in the firm valuation, the increased profitability ultimately improves the firm valuation.

Sound like your firm? Click here and talk to one of our experts today.

Increase Valuation

Firm Profile

Firms ready to take the next leap, looking to enhance their bottom line

$400M
AUM

15
Employees

800
Households

6 CFP®
Professionals

Overview

This firm hired additional staff and increased their other fixed costs as part of their strategic growth plan. Profit margins were depressed from all the new investment. Unfortunately, the firm still had too many smaller clients, so even with the new advisors they couldn’t find the growth they needed. By selling their smaller accounts to Facet, the firm freed up capacity to develop new, higher AUM clients and increase profitability quickly.

Thinking about your firm's valuation? Click here and see how Facet can help.

Accelerate Growth

Typical Firm Profile

Firms with ambitious growth
plans, looking to professionalize
their practice

$600M
AUM

13
Employees

600
Households

6 CFP®
ProfessionalsT

Solution

After a period of growth to over $500 million in AUM, an RIA firm needs to improve efficiency, strengthen brand, and improve delivery to the next level.

Facet can help with exhaustive analysis of clients by segment and determine the threshold below which accounts are unprofitable.

Facet can then purchase the unprofitable segments thus allowing the RIA firm to invest in technology tools and brand building to improve efficiency and strengthen brand presence.

Sound like your firm? Click here and talk to one of our experts today.

Accelerate Growth

Firm Profile

Firms with ambitious growth
plans, looking to professionalize
their practice

$600M
AUM

13
Employees

600
Households

6 CFP®
Professionals

Overview

This firm was having success – they grew to $600 million in AUM, but now they faced a need to bring their efficiency, brand and service delivery to the next level. Facet helped them with an exhaustive analysis of clients by segment, and together we discovered that accounts below $500k were not profitable. The firm could have continually added junior advisors to serve their unprofitable clients, but this added complexity that would prevent them from increasing service and efficiency. The firm decided that the best approach for them and, more importantly, their clients was to partner with Facet. Facet purchased all of the firms’ clients below $500k. After this transition, the firm could approach their strategic objectives of differentiating and improving service levels, improving use of technology tools and further enhancing their firm infrastructure to grow into the $1 billion firm they want to be.

Sound like your firm? Click here and talk to one of our experts today.