A payment-processing platform for advisors has raised $2 million via crowdfunding in less than eight weeks. These funds will be used by AdvicePay to roll out an enterprise version of the technology for hybrid independent broker-dealers and large RIAs, according to advisor, blogger and AdvicePay co-founder Michael Kitces.
Advisors can use AdvicePay to charge advice fees, ongoing retainers and standalone planning fees without paper checks, invoices and manual processes. Clients can pay directly from checking accounts and by credit card.
“We chose the innovative approach of crowdfunding with advisors vs. going the traditional venture capital route to ensure that we would be able to stay focused on serving the needs of our core target market of financial advisors,” Kitces said in a statement.
Built over the past four months, AdvicePay Enterprise includes tools for organizations serving advisors, such as a home-office portal for billing and payment processing, compliance and security features and help for new-advisor onboarding.