LPL is sharpening its focus on business owners, a key segment in the high-net-worth advisory space, with a new offering to help its advisors support entrepreneurial clients.
On Tuesday, LPL said it introduced new business planning tools aimed at helping its nearly 29,000 financial advisors provide more personalized support to business owners, including founders and chief executive officers.
The initiative, part of the firm’s broader push to provide high-net-worth services, comes as a significant portion of US business owners near retirement age. As one report has it, more than half of private employer business owners are over 55.
Another study by Edward Jones, conducted in partnership with Morning Consult and NEXT360 Partners, found two-thirds of business owners have a succession plan, but 16 percent feel unprepared for their succession. Among those yet to craft a plan, almost two-fifths said their business isn't at the stage where succession is a priority, and a third were either uncertain about the future of their business (32 percent) or did not know where to start the planning process (32 percent).
“CEOs and founders have worked incredibly hard to build their businesses and deserve the highest caliber of planning and advice,” Jen Hollers, senior vice president and head of high-net-worth services at LPL Financial, said in a statement.
As part of the new service, LPL said its advisors can connect business-owner clients with a certified business exit planner who helps coordinate succession strategies and serves as a liaison to banking partners. The firm added its approach is designed to enhance the level of service advisors provide while differentiating their offerings in a competitive marketplace.
An October survey report by Brown Brothers Harriman offers some hints on where business owner clients need help. In one of the most telling findings, roughly three-quarters (74 percent) said they planned to take action in their estate planning ahead of the expected expiry of the federal gift and estate tax exemption set to expire in January 2026.
“Through relationships with trusted investment banks, we enable LPL advisors to offer their business-owner clients a full-service experience, helping them strategize, scale, and, when the time is right, pursue an optimized sale,” Hollers said.
With targeted "comfort calls" and strategically automated follow-ups, advisors who leverage their CRM systems effectively can show up when clients need them most.
The plan could offer $24,000 in relief for some taxpayers, but experts warn of consequences.
"I've seen lots of denial in this business but this GPB thing take the cake," says one industry executive.
Commentary from state-owned publication blasts sale to investor consortium as "spineless groveling," denting Hong Kong-based firm's stock.
Higher interest rates and a strong US dollar, which traditionally act as headwinds, haven't deterred market-stung investors from seeking refuge in the yellow metal.
In an industry of broad solutions, firms like intelliflo prove 'you just need tools that play well together'
Blue Vault Alts Summit highlights the role of liquidity-focused funds in reshaping advisor strategies
