AdvisorShare’s Annual Profit Share
At formation, up to 50% of the AdvisorShare IMO has the potential to be owned by producing advisors.
There are two potential payoffs for advisors who become owners.
1) A potential profit share at the end of each year.
2) A payday for vested advisor owners when the IMO sells.
If the IMO has a profit at the end of the year, ANY advisor who has put business in with the IMO that year (business that the IMO is paid on before the end of the year), will be eligible for a profit share.
Obviously, the more business an advisor puts in the bigger the profit share will be.
Should the IMO have profits each year?
Yes, it should.
AdvisorShare was built for the 21st Century in that it is a virtual IMO (support staff can live anywhere in the country). We have no brick and mortar building to pay for (unlike most IMOs who have sizable offices and huge expenses that go with them).
AdvisorShare is not bloated with too many employees. Our goal is to help advisors sell the best products to their clients and to staff for that purpose. Having layers of management or other non-essential workers is not in our business model.
We believe this 21st Century IMO model is built to provide the best services to advisors while being profitable every year.