PlanMember Financial Corporation

fund ii

Headquarters
Carpinteria, California

Sectors
Independent Broker-Dealer / Asset Management

Date of Investment
November 2006; December 2010

Company Description
PlanMember Financial Corporation markets, administers and manages retirement plan investment products and services for individuals, employers and institutional alliance partners.  PlanMember has approximately 100 employees and actively manages $2.3 billion of clients’ assets through various investment programs.  The Company has approximately 350 independent sales agents throughout all 50 states.  The Company is also the broker/dealer of record for over $4 billion of assets in customer accounts.

By focusing on creating a partnership with its representatives nationwide, PlanMember has developed a unique platform for offering retirement investment services.  The Company markets a proprietary retirement plan advisory program called the PlanMember Services Program that delivers a broad array of retirement plan services to sponsors and participants through individual representatives and affinity and employer groups.  These services include personalized planning and advisory services for individuals as well as complete plan sponsor services for employers.

A substantial percentage of the Company’s revenue is fee-based and recurring in nature.  PlanMember is committed to recruiting and retaining representatives who understand the desirability of generating recurring fee-based income, which has helped the Company become one of the leading fee-revenue producing broker-dealers in the nation. 

In December 2010, with the assistance of LMP, PlanMember acquired Scarborough Alliance Group, a provider of savings and retirement plans serving the electrical workers unions.  LMP initially invested in PlanMember in 2006 in a leveraged transaction whereby it acquired its interests primarily from an exiting outside shareholder.