Page 3 - Investment Advisor June 2022
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                 Orion-Redtail Deal Was Years in the Making

                 The deal that Orion Advisor Solutions
                 reached to acquire Redtail Technology
                 in April was several years in the making,
                 and everything finally came together
                 early this year when the timing also
                 became right for Redtail, the CEOs of
                 each company told Investment Advisor.
                   Redtail, led by Brian McLaughlin, its CEO
                 and co-founder, is a client relationship
                 management software firm focused on the
                 wealth management industry, and CRM is
                 a major component of the financial services
                 sector that Orion has been missing.
                   “We’ve been asking Brian if there was an
                 opportunity to do this deal for a number of
                 years and this year the opportunity kind of   Finally, early this year, “the stars   How much of a strategy change does
                 came together, so to speak, and the timing   aligned,” McLaughlin said. “It was a cross-  the Redtail purchase represent for Orion?
                 was great for both of us,” according to Eric   roads for me strategically. We’re doing   “Zero because we have from the get-go
                 Clarke, CEO and founder of Orion Advisor   really well,” but he wanted to take Redtail   been trying to connect that advisor-client
                 Solutions.“It’s no secret that Redtail has a   “to the next level,” he said. “I really want   journey across four strategic pillars of
                 series of raving fans in the marketplace.   to innovate for the advisors. I want to   prospect, plan, invest and achieve, and all
                 They have incredible market share. They   innovate for the industry and scale it up.”  of the advice center interactions take place
                 have high user satisfaction.”       When he spoke to Clarke, “early on   first and foremost in the CRM,” Clark said.
                   In addition, “when we stepped back   I told him … [to] be really crystal clear   “This is a big deal because they’re the
                 and looked at the integrations that we   here, I want to work. I want to keep   number one supplier of CRM to indepen-
                 support with the open-architecture   going. I want to drive value and I want to   dent advisors,” Joel Bruckenstein, head
                 platform here at Orion, Redtail has more   provide value,” McLaughlin recalled.  of Technology Tools for Today (T3), told
                 integrations with our user base than any   “It was important to me that they   Investment Advisor. “But for Orion, it really
                 other integration that we have in place   understood I’m still committed to all   sort of fills out their product line. They
                 today,” Clarke pointed out. “Over 30% of   this and I’m committed to the advisors’   are a reseller, or have been for years, of
                 our Orion customer base is already using   success,” McLaughlin said. “I’m com-  Salesforce, and that’s great, but not every
                 Redtail, which made this just an unbeliev-  mitted to my employees’ success, their   Orion user is going to want Salesforce.”
                 able opportunity from our perspective.”  employees’ success. … So that was just   Now, “particularly as Orion is making a
                                                   important to me, no matter which direc-  move more into the broker-dealer space,
                 ‘The Stars Aligned’               tion Redtail went. That was critical.”  Redtail is really entrenched there so … it
                 Part of the reason that McLaughlin   Financial terms of the deal, expected   means that now people who are using
                 agreed to be acquired by Orion was his   to close in the second quarter, weren’t   Redtail will be able to have even better
                 long relationship with Clarke.    disclosed.                        integration, I would think, going forward
                   “We worked together on a number of   But as part of the deal, McLaughlin will   with Orion,” he said. “For Orion, it opens
                 projects,” McLaughlin said. “We’ve been   become president of CRM for Orion and   some doors into broker-dealers that they
                 doing the hackathons together [and   report to Clarke. In addition, McLaughlin   may not be entrenched in in the moment.
                 other] industry events together. There’s   will join Orion’s executive team and its   So it’s a win-win for everybody, I think.”
                 been a lot of connections over the years.”  board of directors.     —Jeff Berman

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                                                                                            JUNE 2022 INVESTMENT ADVISOR 1
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