Ameriprise Financial Services, LLC Independent Advisor Business Franchise Cost, Revenue & Review 2026
- Investment
- $10K – $138K
- Disclosed sales
- partial, no system average
- SBA charge-off
- 0.3%
- on 473 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Ameriprise's independent-advisor franchise lets financial advisors run their own practice under the Ameriprise brand, offering investment, retirement, and financial planning. Franchisees build a book of retail clients and assets under management while handling advice, compliance, and prospecting.
FranchiseVerdict summary · 2026
A Ameriprise Financial Services, LLC Independent Advisor Business franchise requires a total initial investment of $10K – $138K, including a $2K franchise fee. The 2026 FDD on file does not yield a unit-revenue figure we can publish. SBA 7(a) loans show a 0.3% charge-off rate across 473 loans[1]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored3 of 4 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $10K – $138K
- 0th pct Financial Ser…
- Avg gross sales
- N/A
- Per franchisee, not per outlet
- Royalty
- Set by a formula
- Units
- 5,462
- 82nd pct Financial Ser…
- SBA charge-off
- 0.3%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Financial Services · color = vs category peers
Green = favorable by >10% vs Financial Services median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $10K – $138K including a $2K franchise fee.
- RETURNSItem 19 publishes no overall average. The figure shown was the TOP of thirteen production bands — independent advisors billing $1,000,000+ in annual gross dealer concession, 1,628 of 3,751 advisors (printed p.46) — and the bands run down to $25,538. The measure is also per ADVISOR rather than per outlet, and GDC is gross dealer concession before a payout that runs 73.7% to 88.0%; the same row's average gross income is $2,742,768 and its median $1,803,545.
- RISKVerdict A (Strongest tier), verdict score 76/100 (higher is better). SBA loan charge-off rate of 0.3% across 473 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHNegative: net -117 franchised outlets in the latest year (52 opened, 133 closed); 15 signed but not yet open (Item 20).
- LEGAL11 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Ameriprise Financial Services, LLC
- Parent company
- Ameriprise Financial, Inc.
- FDD Item 1, page 10 of the 2026 FDD
- CEO title
- Chairman and Chief Executive Officer (of Parent, Ameriprise Financial, Inc.)
- James M. Cracchiolo
- Incorporated in
- DE
- HQ
- 200 Ameriprise Financial Center, Minneapolis, Minnesota 55474
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $9.3B
- vs $8.4B prior year
Independent franchisee associations
- Franchise Advisory Council (FAC)
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Overview
About
- CEO
- James M. Cracchiolo
- Headquarters
- MN
- Founded
- 1971
- FDD year
- 2026
- States available
- 51
Can you afford it, and what does the money buy?
Entry cost runs 21% below the typical financial services franchise.
Source: FDD 2026 · Items 5–7
The filing's Item 7 TOTAL row prints $9,576 to $138,402. Its own line items add to $8,698 to $134,585. The total is shown as the franchisor printed it; the lines are listed as printed. Single Item 7 table (pp28-29); printed TOTAL $9,576.62 to $138,402.60 (the headline 9,576/138,402 truncates the cents).
Full Item 7 breakdown23 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Fee (including initial orientation program) | $2K | $2K | |
| Additional Funds - 3 months | $0 | $3K | |
| Association Fee | $290 | $290 | |
| Business Authorizations and Licenses | $500 | $3K | |
| Computer Hardware | $1K | $2K | |
| Computer Software Installation Service | $200 | $200 | |
| Errors and Omissions Fee | $167 | $208 | |
| Internet Service, Mobile Communication Devices and Services, Phone Service, Printers and Scanners | $2K | $21K | |
| Network Equipment | $1K | $8K | |
| Network Monitoring | $25 | $25 | |
| Office Aesthetics and Furnishings | $0 | $50K | |
| Office Cabling | $500 | $6K | |
| Office Lease | $0 | $3K | |
| Optional Training Programs | $0 | $10K | |
| Other Software Fees and Licenses | $20 | $200 | |
| Security Deposits | $0 | $9K | |
| Signage | $60 | $9K | |
| Software Licenses and Fees for Staff | $135 | $550 | |
| Start-up Supplies | $100 | $100 | |
| Supervision | $296 | $3K | |
| Total initial investment | $9K | $135K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $10K – $138K
- Top 40% of category vs category
- Liquid capital req'd
- $0 – $9K
- Top 40% of category vs category
- Franchise fee
- $2K – $2K
- Top 40% of category vs category
- Royalty
- Franchisor retains a percentage of GDC (Gross Dealer Conc…
- Ad fund
- approximately 1% – 3% of your Association Fee
- Total fee load
- 10.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Technology fee | $595 |
| Training fee | $5K |
| Transfer fee | $800 |
| Total fee load | 10.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for Ameriprise Financial Services, LLC Independent Advisor Business is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Ameriprise Financial Services, LLC Independent Advisor Business unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, royalty rate, ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
Item 19 publishes no overall average. The figure shown was the TOP of thirteen production bands — independent advisors billing $1,000,000+ in annual gross dealer concession, 1,628 of 3,751 advisors (printed p.46) — and the bands run down to $25,538. The measure is also per ADVISOR rather than per outlet, and GDC is gross dealer concession before a payout that runs 73.7% to 88.0%; the same row's average gross income is $2,742,768 and its median $1,803,545.
Averaged per franchisee, not per outlet - not comparable with per-outlet figures
- Item 19 type
- GDC production bands (gross income before expenses, not net income)
- Sample size
- 3,751 franchisees
- vs category median 94 · large
- Range (low → high)
- $0→$99.2MNot cited — published from our reading of the franchisor's disclosure document; the page it is printed on has not been located.
- Cohort dispersion (min → max)
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
- Transparency
- 4 / 10
- vs category median 0 / 10 · above
Compared against 45 Financial Services brands
Item 19 · by group
What the filing does disclose
Item 19 of this FDD reports performance in more than one group. We publish no single average for this brand; the groups the filing does disclose are listed below, quoted from its own Item 19 table.
Each row below is quoted from the FDD's own Item 19 table. Gross sales are not profit.
Per franchisee, not per outletItem 19 detail
Item 19 publishes no overall average. The figure shown was the TOP of thirteen production bands — independent advisors billing $1,000,000+ in annual gross dealer concession, 1,628 of 3,751 advisors (printed p.46) — and the bands run down to $25,538. The measure is also per ADVISOR rather than per outlet, and GDC is gross dealer concession before a payout that runs 73.7% to 88.0%; the same row's average gross income is $2,742,768 and its median $1,803,545.
gdc band
| Segment | Sample (franchisees) | Avg |
|---|---|---|
| GDC $1,000,000+ (Annual GDC in 000s: 1000+) | 1,628 franchisees | $3.1M |
| GDC $900,000-$999,000 | 108 franchisees | $955K |
| GDC $800,000-$899,000 | 137 franchisees | $850K |
| GDC $700,000-$799,000 | 153 franchisees | $750K |
| GDC $600,000-$699,000 | 140 franchisees | $650K |
| GDC $500,000-$599,000 | 129 franchisees | $552K |
| GDC $400,000-$499,000 | 158 franchisees | $447K |
| GDC $300,000-$399,000 | 205 franchisees | $348K |
| GDC $200,000-$299,000 | 216 franchisees | $248K |
| GDC $100,000-$199,000 | 299 franchisees | $143K |
| GDC $50,000-$99,000 | 303 franchisees | $71K |
| GDC $0-$49,000 | 275 franchisees | $26K |
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 10.0% — below the Financial Services median of 16.5%.
Disclosure
Item 19 reports outlet revenue, but not in a form that yields a per-outlet average we can compare across brands.
Operator retention
System contracting at -6.6% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Financial Services medians
How Ameriprise Financial Services, LLC Independent Advisor Business Compares
Per franchisee, not per outlet - the category median is per-outlet only, so no comparison is shown
Category median of published Financial Services brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 5,462
- Opened
- 52
- Last reporting year
- Closed
- 133
- Turnover rate
- 3.6%
- Company-owned
- 1,724
- Corporate units in the system
- % franchised
- 68%
- vs corporate-owned
- Net growth (3-yr)
- -6.6%
- Net unit change over 3 years
- 3-yr CAGR
- -6.6%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Signed, not yet open
- 15
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 23
- Franchisor's next-year forecast
- Transfer rate
- 9.3%
- Owners selling to other franchisees
- Termination rate
- 2.7%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 51 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
2,437 current owners across 51 states.
- CA 214
- FL 145
- TX 138
- PA 127
- NY 124
- MN 121
- OH 113
- MI 111
- MA 104
- IL 97
- WI 75
- NJ 74
- +39 more states
Counts only, from the list the franchisor prints in Item 20; 2 entries carry no state. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 473
- Loan volume
- $301.5M
- Median loan
- $637K
- average
- Charge-off rate
- 0.3%
- on 473 loans · rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 31
- Defaults
- 1
- Typical loan rate
- 6.2%
- avg rate to borrowers
- vs industry
- N/A
- Jobs supported
- N/A
- Lender concentration
- 58%
- top lender's share
Vintage analysis
Ameriprise Financial Services, LLC Independent Advisor Business charge-off rate by loan vintage
Shaded area: recent vintages with few resolved loans; rates may change as loans mature.
Top lenders financing Ameriprise Financial Services, LLC Independent Advisor Business franchisees
Showing 3 of 31 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for Ameriprise Financial Services, LLC Independent Advisor Business from SBA 7(a) FOIA data.
- Avg interest rate
- 6.22%
- Lender concentration
- 57.5%
Top SBA lendersTop lender holds 58% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Live Oak Banking Company | 272 | $182.1M | 0.0% |
| 2 | Byline Bank | 66 | $61.0M | 0.0% |
| 3 | Citizens Community Federal National Association | 15 | $8.3M | 0.0% |
| 4 | First State Bank Nebraska | 12 | $8.4M | 0.0% |
| 5 | Eastern Bank | 10 | $586K | 0.0% |
| 6 | Wells Fargo Bank National Association | 8 | $3.0M | 0.0% |
| 7 | Manufacturers and Traders Trust Company | 7 | $888K | 0.0% |
| 8 | Bank of Ann Arbor | 7 | $1.1M | 0.0% |
| 9 | PNC Bank, National Association | 5 | $1.5M | 0.0% |
| 10 | U.S. Bank, National Association | 5 | $1.3M | 0.0% |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| CACalifornia | 55 | 1 | 2.3% |
| TXTexas | 39 | 0 | 0.0% |
| WIWisconsin | 32 | 0 | 0.0% |
| OHOhio | 29 | 0 | 0.0% |
| FLFlorida | 22 | 0 | 0.0% |
| NYNew York | 22 | 0 | 0.0% |
| CTConnecticut | 16 | 0 | 0.0% |
| ILIllinois | 16 | 0 | 0.0% |
| PAPennsylvania | 16 | 0 | 0.0% |
| NJNew Jersey | 15 | 0 | 0.0% |
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
With a 0.3% charge-off rate across 473 loans, banks have historically viewed this brand favorably for lending.
What could kill this investment?
SBA loans charge off at 0.3% — 98% below the 16.0% national norm, i.e. lower lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Ameriprise's declining unit count, opaque royalty structure, extensive regulatory/legal troubles, withheld profitability data, and unprotected territories create elevated risk of franchisee underperformance and franchisor vulnerability.
Why this reads harsher than the A grade: the grade weighs financial health, unit economics, unit growth, scale, legal, and transparency across the whole filing, while this summary lists individual flags without that weighting. The flags are worth checking with current owners; neither is investment advice.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Franchisor is defendant in multiple pending matters including cash sweep class actions (Mehlman/Tripson consolidated), FINRA arbitrations by current/former advisors (Mattson), collection matters (Urban), recruiting-related cases (Oppenheimer, Edward Jones). Past SEC/FINRA settlements: $4.5M (2018 safeguarding), $8.75M total disgorgement+penalty (2017 F-Squared), $850K fine (2016 FINRA wire transfer). Field sales force and advisor client litigation of 5-60 matters/year disclosed as routine.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 76 / 100 verdict
- 01MINORDeclining unit count (-3.0% YoY) signals shrinking franchisee base and potential market saturation or dissatisfaction
- 02MINORExtremely wide royalty range (9-28% of GDC) lacks transparency; unclear what determines placement and actual franchisee take-home
- 03HIGHSix active litigation matters including class action, FINRA arbitration, and three regulatory settlements indicate systemic compliance failures in supervision and advertising
- 04MINORUnprotected territory creates direct competition risk from other franchisees and company-employed advisors
- 05MINORLow franchise fee ($1,500) and high investment range suggests upfront capital may be understated or variable costs are substantial
- 06MINORThree-year term is short; renewal risk and franchisor control leverage are high
- 07MINORRecent SEC/FINRA settlements indicate franchisor's own regulatory compliance deficiencies that cascade to franchisees
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 10.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 3 years |
|---|---|
| Renewal term | 3 years |
| Allowed renewalsℹ | 1 |
| Territory type | No territory protection |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1 year |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 14 days |
| Mandatory arbitration | Yes |
| Arbitration location | FINRA arbitration (location per agreement) |
| Jury trial waiver | Yes |
| Governing law | DE |
| Litigation count | 11 |
View Item 3 litigation summary
Franchisor is defendant in multiple pending matters including cash sweep class actions (Mehlman/Tripson consolidated), FINRA arbitrations by current/former advisors (Mattson), collection matters (Urban), recruiting-related cases (Oppenheimer, Edward Jones). Past SEC/FINRA settlements: $4.5M (2018 safeguarding), $8.75M total disgorgement+penalty (2017 F-Squared), $850K fine (2016 FINRA wire transfer). Field sales force and advisor client litigation of 5-60 matters/year disclosed as routine.
Items 10, 11
Training & Operations
- Classroom training
- 10 hrs
- On-the-job training
- 0 hrs
- Training location
- Online and Region (local RVP/FVP office)
- Ongoing training
- Required
- Time to open
- 1 mo
- From signing to launch
- Site selection
- Franchisee selects, subject to franchisor approval. Must be in commercial or mixed commercial/residential zone; FINRA registration required.
- Franchisor financing
- Offered
- Item 10
- POS system
- AdvisorCompass
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: AdvisorCompass
Item 20 · call current owners
Franchisee Contacts
2,439 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Ameriprise Financial Services, LLC Independent Advisor Business franchise?
The total investment to open a Ameriprise Financial Services, LLC Independent Advisor Business franchise ranges from $10K – $138K, with an initial franchise fee of $2K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Ameriprise Financial Services, LLC Independent Advisor Business franchise owners earn?
Item 19 of the Ameriprise Financial Services, LLC Independent Advisor Business FDD discloses outlet figures from $0 to $99.2M but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Ameriprise Financial Services, LLC Independent Advisor Business?
Ameriprise Financial Services, LLC Independent Advisor Business is franchised by Ameriprise Financial Services, LLC. Its parent company is Ameriprise Financial, Inc.. Source: FDD Item 1, 2026 filing.
What is Item 19 in the Ameriprise Financial Services, LLC Independent Advisor Business FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Ameriprise Financial Services, LLC Independent Advisor Business FDD and qualifies whose outlets they describe.
What is Ameriprise Financial Services, LLC Independent Advisor Business's franchise failure rate?
Based on SBA 7(a) loan data, Ameriprise Financial Services, LLC Independent Advisor Business has a charge-off rate of 0.3% across 473 loans, meaning 0.3% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Ameriprise Financial Services, LLC Independent Advisor Business franchise locations are there?
As of their most recent FDD filing, Ameriprise Financial Services, LLC Independent Advisor Business has 5,462 total units in the United States, including 3,738 franchised units and 1,724 company-owned units. 52 new units were opened in the latest reporting year.
Is Ameriprise Financial Services, LLC Independent Advisor Business a good franchise to buy?
FranchiseVerdict rates Ameriprise Financial Services, LLC Independent Advisor Business as a A-grade franchise with a verdict score of 76 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.