Ep 043: Navigating The Internal Succession Planning Turning Point As An Advisory Firm Founder with Marty Kurtz
Financial Advisor Success
Michael Kitces
4.8 • 696 Ratings
🗓️ 24 October 2017
⏱️ 108 minutes
🧾️ Download transcript
Summary
Selling your business is like handing off your child in a way and it is well known that succession plans can often be messy, confusing and hard to navigate. Marty Kurtz is on the show today to share his impressive journey. We get to hear the details from the beginning stages of building a successful company with strong partnerships, to handing off the baton and creating a succession plan that is best for everyone involved.
For show notes and more visit: https://www.kitces.com/43
Transcript
Click on a timestamp to play from that location
| 0:00.0 | Welcome to the Financial Advisor Success Podcast, where you go behind the scenes with financial planner, |
| 0:08.4 | speaker and consultant Michael Kitsis to hear stories of how leading financial advisors |
| 0:13.6 | navigated the inevitable challenges that arise on the path to success and get insight from |
| 0:18.9 | leading industry consultants about how to break through to the |
| 0:22.0 | next level in your advisory business. And now here's your host, Michael Kitsis. Welcome, everyone. |
| 0:28.7 | Welcome to the 43rd episode of the Financial Advisor Success podcast. My guest on today's |
| 0:34.2 | podcast is Marty Kurtz. Marty is the founder of the planning center, an independent R.A. based in Moline, Illinois, |
| 0:40.7 | that, as the name implies quite deliberately, provides comprehensive financial planning advice to its clients, |
| 0:47.3 | along with investment management for more than $700 million of client portfolios. |
| 0:52.8 | What's unique about Marty's business, though, is that he's |
| 0:55.5 | already in the midst of executing a succession plan that will ultimately wind down his ownership |
| 1:00.4 | and management of his 26 employee and now multi-partner firm. In other words, while a lot of advisors |
| 1:05.8 | talk about succession planning, Marty is actually living the process. And so in this episode, we talk in depth about succession planning and the real-world |
| 1:14.8 | challenges that crop up and trying to facilitate an internal succession plan, from the |
| 1:19.1 | challenges in finding an appropriate valuation for the firm, the dynamics that emerge between |
| 1:24.3 | founders and the next generation of advisors that want to take over the business, |
| 1:28.1 | and why founders need to recognize the tradeoffs that often exist between maximizing the dollar |
| 1:33.6 | value of the business by selling to a third party and maximizing the longevity and sustainability |
| 1:38.5 | of the business itself by selling internally. From there, we also talk about how the planning |
| 1:43.8 | center is shifting away from the AUM model |
| 1:46.1 | to a unique retainer model that charges clients 1% of their income plus half a percent of their liquid net worth. |
| 1:52.7 | How Marty jump started the growth of the firm in the early years with a strategic partnership with a local accountant |
... |
Please login to see the full transcript.
Disclaimer: The podcast and artwork embedded on this page are from Michael Kitces, and are the property of its owner and not affiliated with or endorsed by Tapesearch.
Generated transcripts are the property of Michael Kitces and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.
Copyright © Tapesearch 2025.