I had a trailing 12 of about 230K six months ago and shopped around at
UBS, MS and SB and here is what I was offered by these three firms…



The worst: SB - 100% of trailing 12. 80% in cash and 20% in Citigroup
Stock but only if 60% of assets transferred over after 14 months. Loan
was non-forgivable over 7 years.



The middle: UBS - 125% of trailing 12 all in cash. Loan was non-forgivable over 5 years.



The best: MS - Rising Star Package - 100% of trailing 12 all in cash.
After year 1 (actually 14 months) if 80% of assets transferred over,
another 20% of trailing 12.

After year 2 if trailing 12 is equal to 125% of trailing 12 at old firm you get another 20%.

After year 3 if trailing 12 is equal to 150% of trailing 12 at old firm you get another 25%.

Nothing in year 4.

After year 5 if trailing 12 is equal to 200% of trailing 12 at old firm you get another 25%.



Total possible - 210%



Loans are non-forgivable over 5 years…each with their own schedule. Also 5K per month for the first 3 months.



And if you miss one bonus, you can still get the others…example, miss
the one in year 2, you can still get the ones in year 3 & 5.



Hope this helps.

[quote=dinkado1]

Loans are non-forgivable over 5 years…each with their own schedule.

[/quote]



Non-forgivable loans?  As in you have to repay the entire amount out of your net commissions?



I wouldn’t include any non-forgivable portion when evaluating a
deal.  That would be like taking a loan from a bank and counting
that as income.



Just wondering.

Forgivable…sorry.

I would look at which firm offers the most overall.  Your
production level would indicate you are in serious growth mode- go with
a firm that will best support your growth efforts, has the best service
and product platform for your business model.  I know it may not
seem like it right now, but do not hold the transition package in such
high regard- it is only meant to help you out, it is not a bonus. 




With that said- the SB offers seems terrible.