Skin in the game: How invested should your capital partner be?

ontrol, autonomy, legacy. For owners of advice businesses inviting equity investment, these are key concerns. In short, giving up a majority stake to the incoming investor is often seen as synonymous with giving up all of the above. Undoubtedly, this is sometimes true. These pages have frequently discussed the issue of surrendering controlling interests in advice businesses to private equity firms looking to turn a quick buck, heedless of the sweat equity, long-term decision making, and continuity that has made the business investable in the first place. However, it's worth rememberin...