Retirement Income Source Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$100,400 - $225,500
Franchise Fee
$25,000
Total US Locations
30
Business Summary
Retirement Income Source operates a full-service, fee-based business specializing in investment management and advisory services for individuals nearing or in retirement. Franchisees utilize investments such as mutual funds, ETFs, individual stocks, and bonds through the franchisor's affiliate, Sound Income Strategies, and fixed insurance products through another affiliate, Sound Income Academy. The business focuses on conservative investing strategies designed to generate income for its clientele.
Corporate History
Retirement Income Source, LLC, originally formed as Retirement Income Store, LLC, a Delaware limited liability company, on April 19, 2019. The company's name was officially changed to Retirement Income Source, LLC on January 11, 2023. Its affiliates, Sound Income Strategies, LLC, a Registered Investment Advisory firm, was formed in 2014, and Sound Income Academy, LLC, an insurance marketing organization, was founded on January 31, 2007. The parent company, Sound Income Group, was originally established in 2015 as Scranton Financial Holdings, LLC, and later underwent name changes to Advisors' Academy Holdings, LLC in 2019 and then to Sound Income Group in 2022. Retirement Income Source has been offering franchises since May 2019.
Financial Overview
Investment Range
$100,400 - $225,500
Franchise Fee (Low)
$25,000
Franchise Fee (High)
$25,000
Equipment Costs (Low)
$15,000
Equipment Costs (High)
$75,000
Working Capital
$30,000
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
The FDD highlights a special risk regarding Retirement Income Source's financial condition, stating that it 'calls into question the franchisor's ability to provide services and support to you.' This disclosure indicates potential concerns about Retirement Income Source's financial stability, despite the auditor providing an unqualified opinion on its financial statements.
Financing Details
Retirement Income Source offers to finance 100% of the initial franchise fee for up to 36 months. Franchisees who pay the full fee within the first 12 months from the franchise agreement's effective date will not be charged any interest. If the fee is not paid in full within 12 months, the remaining balance will accrue interest at the prime rate and must be repaid on or before 36 months from the effective date of the franchise agreement. No other finance charges are assessed by Retirement Income Source.
Performance Metrics
Total US Locations
30
Franchised Units
27
Corporate Units
3
Franchising Since
2019
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Retirement Income Source has no litigation required to be disclosed in Item 3 of its Franchise Disclosure Document. This means Retirement Income Source does not have any pending material federal or state court litigation regarding its business or trademarks, nor any significant past litigation that meets disclosure requirements.
Bankruptcy History
Retirement Income Source does not have any bankruptcy history required to be disclosed in Item 4 of its Franchise Disclosure Document, indicating neither the franchisor nor its key management personnel have been involved in any reportable bankruptcy proceedings.
Agreement Terms
Initial Term
5 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, Retirement Income Source franchisees must provide advance notice between 90 and 180 days before the current term ends. They must be in full compliance with all contractual obligations to the franchisor and third parties, maintain at least a 90% client retention rate year over year, and meet or exceed minimum performance requirements. Franchisees are also required to renovate their business to the franchisor's current standards, sign the then-current franchise agreement and related documents (including a personal guaranty), and execute a general release of claims. Additionally, Class 2 or 3 franchisees must recommit to the franchisor's required auditing and review processes.
Training & Support Program
Franchisor Assistance
Before opening, Retirement Income Source reviews and advises on potential locations, provides suggested staffing levels and hiring guidelines, grants access to its Operating Manual, and conducts an initial training program. The franchisor also offers to review business plans and financial projections upon request, advises on market introduction plans, and provides at least one day of on-site opening support. After opening, Retirement Income Source provides advice via telephone or electronic communication for business improvement and problem resolution, and can offer in-person support for a fee. The franchisor provides recommended pricing for products and services, advises on administrative, bookkeeping, and accounting procedures, maintains a brand website that includes franchisee information, and assists Investment Advisor Representatives with obtaining approval from custodial firms like Charles Schwab or Fidelity at no cost.
Initial Training Hours
40
Training Location
Fort Lauderdale, FL or franchisee's location
Ongoing Support
After opening, Retirement Income Source offers advice and consulting to franchisees by telephone or electronic communication to help improve and develop their businesses and resolve operational problems. In-person support is available upon request, subject to a daily fee plus expenses. The franchisor also provides recommended prices for products and services, offers guidance on administrative, bookkeeping, and accounting procedures, and maintains a brand website that includes franchisee business information. For Investment Advisor Representatives registered with the franchisor's affiliate, assistance is provided in obtaining approval with custodial firms like Charles Schwab or Fidelity.
Franchise Requirements
Ideal Candidate Profile
Retirement Income Source seeks franchisees who are qualified to operate an investment management services business. Ideal candidates must possess a Series 65 or Series 7 and 66 Investment License, or be exempt from these requirements, and hold a State Insurance and Fixed Annuity License. Franchisees must also be in good standing with state financial services regulators. While not explicitly stated as a 'management experience' requirement, franchisees must designate a 'Principal Executive' who is primarily responsible for the business, holds at least a 10% ownership interest, completes the initial training program, and dedicates substantial time and attention to the business. The Principal Executive is responsible for decision-making on behalf of the franchise.
Industry Experience Required
Yes
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
commercial
Owner Participation
Supervisory
Territory Type
Limited
Territory Size Requirements
Retirement Income Source defines its franchise territories in terms of either specific zip codes or a radius of no less than one-half (1/2) mile from the physical office location. While franchisees do not receive an exclusive territory in a broader sense and may face competition from other channels, the franchisor commits not to open another physical Retirement Income Source office within the franchisee's defined geographical region.
Staffing Notes
Retirement Income Source provides suggested staffing levels and hiring guidelines, along with operational instructions in its Manual, which franchisees can use for employee training. Employees must meet specific process requirements defined in the Operations Manual. Additionally, the business must always be under the on-site supervision of a general manager who has successfully completed the franchisor's training program, which can be the franchisee themselves or a designated hired manager.