Hello friends!

It’s that time of year again—Firm Element and FINRA CE!

While we’re all knocking out our CE, we want to take a moment to recognize our Compliance team. They do an outstanding job of keeping us aligned with an ever-changing regulatory landscape. With shifting priorities and evolving rules, you can always count on your Prosperity team to keep you both informed and in the clear. Be sure to read your In the Loop and OSJ Alerts to stay current on hot topics!

Lately, we’ve been having a lot of conversations with advisors who are working through succession and continuity plans—some with us, some with colleagues, and others with family members. Every advisor should have a plan in place to protect their family, their staff, and their clients. One of the most common questions we hear is: “What is my practice worth?” The answer: it depends.

Valuation isn’t as simple as applying a standard industry multiple anymore.

At Advisory Masters, Cetera’s Michael Molnar shared an excellent framework for practice valuation.

He explained the key factors that influence value (in order of impact):

• Revenue Predictability (e.g., advisory mix)
• Organic Growth (net new assets excluding market)
• Client Demographics (age profile)
• Client Concentration
• Sustainable Profitability (cost to serve)
• Investment Approach
• Regulatory or Legal Issues
• Integration or Cultural Fit
• Deal Structure

If you only focus on a few areas, make them Revenue Predictability and Organic Growth—these are the biggest drivers of practice value.

If you’d like to learn more, let’s talk. We’d be happy to walk through succession planning with you and help put you on the path to peace of mind.

Thank you for being part of the Prosperity community!

Warm regards,

Angela

Job Aids

Not sure how to use a certain app in Adviceworks or Pinpoint?

Cetera has created several job aids to assist you with step-by-step instructions, and these job aids can be found in various ways.

Consent to Share

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What is needed to share information with a spouse, CPA, attorney, or other third party?

Year-End Requirements

REMINDER: There are several regulatory and broker-dealer requirements due by October 31, 2025 for both registered and non-registered associated persons.