Step 1
What a sunset program usually is.
Many firms offer retiring advisors a program to hand their book to a successor inside the firm. The successor typically pays the retiring advisor from the revenue those clients generate, spread over several years, so the transition happens without the firm writing a large check.
A sunset program is convenient by design. Convenience is worth something. Find out exactly what it costs you.
Terms vary widely by firm and change over time. Your firm’s actual program documents, not a summary, are what count.
Step 2
Two doors, side by side.
| Question | Firm sunset program | Selling outside the firm |
|---|---|---|
| Who picks the successor? | Usually someone within the firm’s network | You choose among successors you vet |
| How are you paid? | Typically a stream over several years, tied to retained revenue | Negotiated: may combine cash at closing, deferred and contingent amounts |
| What restrictions apply? | Program agreements may limit later activity | Your existing agreements still apply, plus whatever you negotiate |
| What do clients experience? | Often a familiar platform with a new advisor | Often a platform change, with paperwork and new processes |
| How are payments taxed? | Depends on structure; ask your CPA | Depends on structure; ask your CPA |
These are general patterns, not the terms of any specific firm’s program. Read your program documents and existing agreements, and get independent legal and tax advice before relying on any comparison.
Step 3
Know your obligations before you explore.
Before you talk to anyone outside your firm, understand what your current agreements say: non-solicitation terms, restrictive covenants, notice periods, and any arrangements your firm participates in that govern advisor departures. Have your own counsel tell you what you may discuss, and with whom.
Protect yourself while you look
- Do not share client names, lists or account data with an outside buyer.
- Do not take or copy client records you are not permitted to take.
- Do not assume a summary of the program reflects its actual terms.
- Do not sign anything with an outside party before counsel reviews it.
Step 4
Decide what matters most to you.
Who serves your clients, and on what terms.
How much is paid, when, and what it depends on.
What changes for them, and how much they will notice.
Neither door is right for everyone. A sunset program can be the right answer when the platform and the successor fit your clients well. An outside sale can make sense when you want to choose your successor, shape the terms, or keep clients with someone local. Weigh both before the deadline on the offer in front of you.
Before you sign
Six things to compare.
Sunset vs. sale comparison worksheet
Check what you have prepared. Add practice-level notes only; do not enter client names or confidential information. Nothing is sent or saved. Reloading clears your answers.
Questions about sunset programs
Is a sunset program a bad deal?
Not necessarily. It can be the simplest, lowest-disruption path for some advisors and clients. The point is to compare it with your alternatives before you commit.
Can I talk to outside buyers while I am still at my firm?
It depends on your agreements and obligations. Get legal advice first, keep conversations at the practice level, and do not share client information.
Would my clients have to move if I sold outside the firm?
Often an outside sale involves a platform change, and every client decides for themselves. A good successor explains exactly what would change.
Sources & scope
Morrowgate Private Wealth · October 23, 2026. These resources provide background; they do not endorse Morrowgate or establish the terms of any arrangement.
- WealthManagement.com — take the sunset package or sell the business? ↗
- FINRA Regulatory Notice 22-23 — succession considerations ↗
Worksheets, examples, and discussion prompts are educational preparation aids. Apply the requirements relevant to your business model with your firm and independent advisers.
Weighing a sunset offer?
See the other door, privately.
One conversation about your clients, your timeline and what you want from the next chapter. No client names, and nothing your agreements restrict. Morrowgate may be one of the outside options you weigh, so compare us against your firm’s program on the same terms.
Compare my options with us →Published by Morrowgate Private Wealth. Editorial standards. Educational preparation, not an appraisal or transaction advice.