Rossby launches profitability calculator to recruit advisors

Rossby Financial, a Melbourne, Florida registered investment adviser, launched an online advisor profitability calculator last month aimed at recruiting financial advisors. The firm promotes a flat‑fee model with a 100% payout and says the tool illustrates potential cost savings and profit changes for sample firms.

The calculator asks practice owners about firm size, business mix, recurring and annual costs, and current payout rates. It then estimates how expenses and gross profit could change if a practice adopts flat, fixed fees instead of charges tied to assets under management.

Rossby highlights a sample scenario in which a hypothetical practice with $85 million in AUM and $650,000 in annual revenue could save more than $210,000 in expenses and increase gross profit by about $129,000, based on the tool’s formulas.

The firm’s recruiting materials advertise a “100% payout” and state there is no revenue sharing, no hidden fees and no outside ownership. Rossby posted details about the calculator on LinkedIn as part of a broader hiring push.

Rossby launched in January 2023 and was founded by Andrew Evans, who previously worked at Cambridge Investment Research, Waddell & Reed, Charles Schwab, Merrill and Raymond James. The firm says it now manages nearly $800 million in client assets and counts 28 advisors. Recent hires include advisory practice transition expert Grier Rubeling as head of marketing and business development, plus a new chief compliance officer and chief operations officer.

Rubeling described the firm as charging only flat rates and not offering upfront acquisition payments or taking outside capital. She said Rossby aims to offer resources and flexibility while allowing advisors to retain more of their revenue, but added the model will not suit every practice.

Mike Byrnes of Byrnes Consulting noted the calculator can help advisors visualize economies of scale and answer many questions before formal recruiting discussions. He said the tool can replace early-stage sales meetings where offers are sometimes sketched informally and can streamline the recruiting funnel.

The launch comes amid ongoing consolidation in wealth management, with larger RIAs acquiring smaller firms at high volume. Software vendors that support flat planning fees through billing and compliance tools have made it easier for advisors to adopt fee-for-service models across different firms.

Rossby’s materials state that advisors who build AUM and charge advisory fees may see higher profit margins on the platform. The firm positions the calculator as a way for advisors to quantify trade-offs in compensation and operating costs and to evaluate whether a flat‑fee, 100% payout structure fits their practice.