Aequitas Capital, a US-based alternative asset management firm, has established a new business division called Aequitas Capital Partners (ACP).
The new network will support growth-oriented Registered Investment Advisers (RIAs) with intellectual, financial, and human capital to fuel succession planning and firm mergers or acquisitions.
ACP provides extensive resources for clients with access to human intelligence, financial capital, and shared services to assist RIAs gain economies of scale, operational efficiency, profit margin expansion, and ultimate enterprise-value enhancement.
Additionally, ACP will support RIAs with equity, cash flow lending, or asset-based lending, to fund merger and acquisitions, lift-outs, and expedited recruiting of advisors.
Using, Aequitas financial services network, ACP members will be able to access growth capital, as well as industry thought leaders in multiple disciplines.
The new RIA membership network is a blend of dynamic financial services companies with capabilities in alternative asset origination, investment banking, business valuation, outsourced CIO services, alternative product platforms, and training and education on alternative investments.
Bob Jesenik, CEO and co-founder of Aequitas, said: "We are broadening the scope of Aequitas’ services to address the challenges of mid-sized RIAs. This is the fastest-growing segment of advisors, expanding at a rate of 20 to 30% each year.
"Unfortunately, these firms are often too large to qualify for government-backed small business loans, yet too small to attract private equity firms. We hope to become the dedicated growth partner they need, and provide them with the right resources to grow from a small- to mid-sized firm to a thriving enterprise," he added.