For successors
The founder won’t bring it up. You can.
You run the clients. You carry the firm’s next twenty years. And the succession plan is a conversation that keeps getting pushed to next quarter, because nobody has the money to make it real. Kovrent funds the buyout the firm could not. The founder is paid at close. You keep your seat, run the firm, and earn Kovrent equity on a schedule that is written into your offer.
Who we buy from
You’re the successor on paper
The founder is 60-something, you’ve been promised the firm, and there’s no price, no date, no financing. Maybe you were named and nobody can fund the buyout. Maybe everyone assumes you take over and nothing is signed. Maybe a partial sale or a note is already in place and it isn’t working. Maybe the founder is gone and an estate owns a fiduciary business. Every one of those is a firm Kovrent buys.
Start a conversation, confidentiallyYou already own it
You bought in, inherited it, or were handed the keys, and running an RIA was not the plan. Kovrent buys the whole firm from you on the same terms it offers founders.
For foundersThe transfer
The largest handoff of client assets in the history of the profession is underway.
Founders built this industry. Most of them are now in their sixties. What they built is moving to the next owner, one firm at a time, and a growing share of it is landing with successors who never set out to run a company.
Retiring
1 in 3
Of all financial advisors expect to retire within ten years. Together they manage roughly 40 percent of industry assets.
Source: Cerulli Associates, U.S. Advisor Edition
In motion
$14 trillion
Client assets that will change hands as those advisors step back. Every dollar of it needs a new owner, a new firm, or both.
Source: Cerulli Associates, U.S. Advisor Edition
No plan
1 in 4
Of retiring advisors are unsure of their succession plan, rising to nearly one in three inside independent RIAs. Finding a qualified buyer is the challenge they name most.
Source: Cerulli Associates, Advisor Metrics
Consolidation
Upmarket
Private-equity platforms are buying larger firms every year. Owners of firms between $100M and $700M have fewer serious buyers than the headlines suggest.
Source: DeVoe & Company; Fidelity RIA M&A reviews
How it works for a successor
The founder gets paid. You get the firm you were promised.
A confidential first call
A first conversation. We never tell a founder who called us. If the first conversation is with you, it stays with you until you decide otherwise.
A range the founder can act on
We build a valuation range from the ADV and the financials, and we show the math. You can bring it to the founder, or we can, when you say so.
The founder is paid
You are not the bank. Cash at close from Kovrent, not a note you spend fifteen years paying down. No bank covenant between you and your clients.
You run the firm and own part of the holding company
A G2 who stays to run a Kovrent firm is offered Kovrent equity on a written schedule, in the offer letter, not at a review. It is equity in the holding company, not in the operating firm.
Why sell to Kovrent
A buyer without a fund clock.
Most acquirers in this market are owned by funds with a clock. They buy firms on a five to seven year schedule, and your clients get traded with them. Kovrent is a holding company. Nothing in our structure puts a date on your firm. How the model works.