News

Carson Group Announces Capital Raise for New Round of Minority Investments

Posted on October 5, 2020

Firm raises capital with a lending partner, with the potential to tap much more 

Omaha, Nebraska – October 5, 2020 – Carson Group, one of the fastest-growing financial services firms in the country, announced today that is has undertaken a capital raise to ramp up the number of minority investments it’s making in advisory firms joining its partnership. The capital will also be used to support the inorganic growth efforts of its partner firms.

Carson has made nine minority investments in advisory firms to date, some of which were existing partners and some of which joined concurrent with the investment. Mike Kabarec, founder of his eponymously named RIA based in Palatine, IL, stated, “I told Ron Carson when I went to visit them in Omaha that I wish I had found them 10 years earlier. The access to leading-edge resources and technology for my clients, combined with their expertise in succession planning and M&A, allowed me to transition the bulk of my equity down to my younger partners while also positioning us for growth well into the future.” Mr. Kabarec’s firm, now a Carson Wealth-branded office, sold a minority stake to Carson at the beginning of 2019. Since then, they have brought on two advisors and have grown their assets by 75 percent.

Aaron Schaben, President of Carson Group, said he sees business owners he talks to increasingly ready to engage in buy/build/partner decisions, especially given the events of the last few months. “Historically, advisors under $600M  or so in assets under management have had two choices when it comes to liquidity events and/or succession planning: figure it out on their own, or sell to a larger player, which of course means giving up their independence, control and entrepreneurialism. We are addressing this gap by providing minority investments in firms to help with succession planning and equity transfers, and by supporting their growth efforts through Carson’s value-added resources—all while they maintain majority control and ownership of their business.”

Carson Partner firms, irrespective of whether they take a minority investment from Carson, gain access to the latest technology, investment strategies, full-scale marketing resources, compliance expertise, succession planning and the proven game plan for growth that is fueling the nation’s fastest growing firms.

Carson also currently has a team of six dedicated M&A stakeholders who support partners in identifying acquisition opportunities, negotiating terms and ultimately, onboarding new individuals and teams into their business and the Carson ecosystem. The capital will be used to supplement the existing financing sources of their partners.

Carson’s Managing Director of Mergers and Acquisitions Jason Carver added, “We are in the process of completing our tenth minority investment and we have a number of opportunities behind it. The need is there, and our offering is unique. We are the perfect fit for advisors who want to keep control of their firm but want the scale and resources of a larger organization. This minority investment offering is just another distinctive way in which we are helping to support our partners. They own the majority of the upside, and we provide the resources for them to substantially enhance it.”

Carson currently manages more than $13 billion in assets and serves more than 34,000 families through its advisory network consisting of 304 advisors across 36 states, including 25 Carson Wealth offices.

To learn more about Carson Partners, visit https://www.carsongroup.com/our-partners/

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