Start A RIA Firm
The First Step In Starting A RIA Firm
The first step in starting a RIA firm is to determine where to register the Investment Advisory firm (RIA). The registration process starts at either the State or SEC jurisdiction level. FINRA handles the registration process for RIA firms at both the State and SEC levels as well as the investment advisor representatives associated with the firm.
New RIA Registration “Rule Of Thumb”
A good rule of thumb for investment advisors who start an RIA firm with $100 million or more in assets under management (AUM) need to register with the SEC as Registered Investment Advisor (RIA). To learn more about registration requirements check out a recent blog article that goes over State and SEC RIA registration requirements.
New RIA Registration Decision(s)
As you will see, RIA firms that start an RIA with less than $100 million in AUM must generally register with the appropriate state(s). RIA firms that are subject to state registration filing are required to register in any state in which they have a physical location, a firm representative that is physically located in that state, generally has 5 or more clients in that state with the exception of Texas and Louisiana (TX & LA requires registration with 1 client that resides in that state), or is actively soliciting prospects in that state. RIA firms need to remember that each and every state has their own registration process that needs to be adhered too. To see each states registration process and guidelines that are unique to that specific state, visit the appropriate state directory.
SEC and State RIA Registration Process:
Starting A RIA Firm, Phase 1:
Initial Steps In Starting A RIA Firm
Starting A RIA Firm, Phase 2:
Secondary Steps In Starting A RIA Firm
Starting A RIA Firm, Phase 3:
Final Steps In Starting A RIA Firm
Why Hire Aurora Compliance Solutions:
- Customized Forms & Docs
- Outsourcing vs. Consulting
- No Additional Software To Learn
- Client Satisfaction
- Competitive Pricing
What Aurora’s Clients Have To Say:
Aurora is more of a Partner than a vendor. I can call and run strategy ideas by my Aurora representative and the compliance implications involved.
I took advantage of the free 30 min consultation and the representative went over the pros and cons for my situation. The consultation was very informative.
My Aurora representative helped me understand the filing process and they handled everything which allowed me to focus on setting up my new RIA firm.