The market is not the constraint. A firm with a median profile, roughly $500 million in AUM, can transact anywhere from 9x to 15x adjusted EBITDA depending on how the business is built, and AGS research defines a premium outcome as one that clears the industry median by 20 percent or more. The spread is the story. It reflects leadership depth, operational maturity, ownership structure, and how much of the firm still runs through one person.
Retirement planning and succession planning are the same conversation. Retirement planning asks whether you have accumulated enough. Succession planning determines whether the value sitting inside your business can actually be converted into that wealth on the timeline you need it.
The data backs this up:
- More than a third of RIA owners expect to retire within the next 10 years, 34% are unsure how their practice will transition, and 33% anticipate an external sale.
- Every firm Cerulli surveyed named finding a qualified buyer as a major challenge, 75% cited legal considerations, and 63% cited deal structure, taxes, and the emotional work of handing off client relationships.
- Equity made up 29% of the average change-of-control transaction in 2025, and buyers expect that share to rise to 33% in 2026.
- Developing a next-gen leader typically takes 7-10 years of increasing responsibility, which is runway most founders have already spent by the time retirement appears on the calendar
This article turns the lens on the founder’s own financial plan, where concentration risk and after-tax outcomes tend to get less attention than they would in any client meeting.