How To Build And Sell A $45 Million Financial Services Firm

Startups within the financial services sector have been on the rise for more than two years. New firms are cropping up all over the place, and some of them are hiring like crazy.

Many of these companies seemed to have come out of nowhere. Some will surely prosper and become the next crop of massive financial services firms. Others might have the potential to thrive but may ultimately miss out on their opportunity to prosper.

Tom Nix, founder of Navicert Financial, knows a thing or two about launching a successful company. His alternative financial services firm was sold to Kinecta Federal Credit Union for $45 million in 2007. He recently shared some tips with StreetID so that others in the financial sector may succeed as well.

“I think the basic tip is, to be successful in business, you have to find a need and fill it,” Nix told StreetID. “That’s the foundation of any business.

“Secondly, as a small businessman, you have to be completely passionate about whatever small business you embark on. Most small business people, they put everything at risk to be able to stat this business. It’s a lot of fear associated with starting your small business. I think you need to be prepared to be very courageous and very passionate with a can-do attitude and know that you’re going to be successful no matter how many roadblocks are thrown your way.”

Of course, a positive attitude alone is not enough to help a financial services firm succeed.

“You’re gonna need capital,” said Nix. “It’s hard to find capital. We expanded our business by forming private limited partnerships. Went to friends and relatives and business associates and actually set up private limited partnerships to expand the company. You can do an LLC and that sort of thing. You can get an SBA loan. But you you’re gonna need some financing.”

These days, most startups turn to venture capital for that very reason. But Nix was a rebel. He started a unique business at a unique time. He wrote about his experiences — which include riots, a death threat and other issues that most entrepreneurs are lucky enough to never know — in his new book, Nixland.

Get Hired Now

These days, job seekers have a million options, but we know where they should turn: StreetID. We built StreetID (a financial career matchmaking website) from the ground up to accommodate Wall Street’s growing community of financial professionals. In good times and in bad, current job seekers and those looking to move on in the future can turn to StreetID and sign up for a free account and make a direct connection with relevant candidates and employers.

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