I am being recruited to Wells Fargo bank brokerage. I would take over a branch in an affluent suburb of a major metro area. The branch has 4500 customers and $150mm in deposits. They have the same platform as the WFA wirehouse side so I could continue doing mostly fee based asset management and financial planning. There is a regional licensed banker in the branch that is required to refer at least $750k per quarter to me and would be paid 10% payout on any revenue generated in the first year of the new client relationship.
I am currently at a wirehouse with a T-12 $300-$350k and assets north of $30mm. My revenue is 70% fee based and 30% annuities and funds. I have been growing at a steady but slow pace the last few years and would expect that to continue if I stay. They are offering around 100% T-12 upfront with a small potential back end. I did a spreadsheet assigning odds that each client would move and came up with 60% of my book would move with me. Could be more, could be less.
Ultimately the decision comes down to is the upfront money and the potential bank referrals worth the risk of leaving 40% of my clients behind. Or do I continue at the wire making 6 figures and focus on continuing to grow my practice. I have 2 former colleagues there. One left 6 years ago doing $200k and now does $1.2mm. The other failed out of our training program in his first year. Two years later at Wells, he is already doing $250k.
To head off the trolls, yes I am a piker doing $300k in my 8th year of production. Woe is me making 6 figures running my own business while 95% of my training class couldn't make the goals.
What do you see as the pros/cons of making this move?