Advisor Financing
Practice Financing

Capital Designed
for Your Practice

Community Capital helps advisors access flexible financing for M&A, partner buyouts, succession transitions, and practice acquisitions — structured around the unique economics of an advisory business.

Submit a Financing Request

Practice financing gives advisors access to strategic capital aligned with the long-term value of their business. Whether you are growing through acquisition, navigating a partner transition, or preparing for succession, Community Capital works alongside you to structure, package, and place your financing request with lenders who understand the advisory industry.

M&A

Acquire or merge with another practice to increase AUM, revenue, and client coverage.

Partner Buyout

Buy out a retiring or departing partner and take full ownership of the practice.

Succession

Fund a structured succession plan — supporting internal transfers or next-generation buyins.

Book Acquisition

Purchase a book of client relationships from a retiring advisor and accelerate growth.

Growth Capital

Invest in technology, operations, staffing, or infrastructure to scale your practice.

Debt Consolidation

Consolidate existing obligations under more favorable terms to improve cash flow.

While terms vary by lender and practice profile, most structures share common characteristics based on revenue, cash flow, and projected growth.

ParameterTypical Range
Loan Amount$150,000 – $5,000,000+
Loan Term5–10 years depending on size and purpose
Equity / Contribution10–25% for acquisitions; varies for growth capital
Interest RatesFixed or variable based on lender and credit profile
CollateralPractice cash flow and recurring revenue (primary)
Personal GuarantyNearly always required
Minimum FICO640 required; 720+ strongly preferred
Debt-to-IncomePersonal DTI of 35% or lower preferred

Recurring Revenue

Predictable, fee-based income is the foundation of any practice loan. Lenders look for stable AUM-driven revenue and strong client retention metrics.

Credit Quality

Clean personal credit history — no tax liens, bankruptcies, or judgments within the past five years — with a FICO score of 720 or higher preferred.

Business Performance

Three years of tax returns, year-to-date P&L, and a current balance sheet demonstrate the practice's operational stability and cash flow coverage.

Transaction Documentation

For acquisitions, a letter of intent, business valuation, and financial forecast for the combined practice are typically required to initiate underwriting.

From your first conversation to a funded transaction, Community Capital guides you through every step of the practice financing process.

1

Discovery Conversation

We start with a focused 30-minute call to understand your transaction, goals, and timeline. There is no obligation and no cost — just a direct conversation to assess fit and explore options.

2

Financing Package Preparation

Our team guides you through assembling the lending package — including practice financials, AUM documentation, a business narrative, and any transaction-specific materials. We help you present the strongest possible profile to lenders.

3

Marketplace Placement

Your financing opportunity is anonymously shared with our network of 1,400+ lenders — including SBA specialists, private credit firms, and banks experienced in advisor practice transactions. Lenders compete for your business.

4

Term Sheet Review & Selection

Once term sheets arrive, we walk you through each proposal side-by-side — comparing rate, term, LTV, covenants, and overall structure — and help you select the best fit for your practice and transaction objectives.

5

Due Diligence & Close

We remain actively involved through underwriting, due diligence, and closing — coordinating between you, your counsel, and the lender to keep the process on track and ensure a smooth path to funding.

Real examples of how Community Capital has helped advisors secure financing for practice transactions.

Partner Buyout / SBA 7(a) $2.0M

Business Partner Buy-Out — RIA Succession Transaction

A longtime junior partner sought financing to acquire his retiring partner's share of their advisory practice. After receiving an unattractive term sheet from a local bank, Community Capital sourced three competing SBA 7(a) proposals — each with better pricing, longer terms, and higher LTV.

Within two weeks, the advisor connected with three interested lenders through the Community Capital Loan Marketplace. The initial term sheet was found to be above-market on rate and below-market on term. Two lenders offered to finance up to 90% of the acquisition cost. The client selected a national SBA 7(a) lender and closed the transaction in under five weeks from lender selection — fully funded and on schedule.

Book Acquisition / SBA 7(a) $4.6M

Wealth Management Portfolio Acquisition — Book of Business Purchase

A successful wealth manager was presented with the opportunity to acquire a retiring advisor's book of client relationships valued at $4.6M. The buyer sought to minimize equity contribution while maximizing financing coverage for the full transaction.

Community Capital conducted a 30-minute discovery call to assess the opportunity and structure the financing approach. The lending opportunity was anonymously shared with a network of over 1,450 lenders through the Loan Marketplace. Three lenders expressed interest within days. The client selected a national bank with SBA business line experience. The approved structure required only a 10% equity contribution with a 10-year term to support near-term cash flow. The loan funded within two weeks of the office property receiving its certificate of occupancy, enabling the buyer to complete the acquisition and advance their growth strategy.

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