Should You Consider an Outsourced FinOp?

Are you a broker-dealer who keeps their financial operations functions in-house? Are you interested in cutting operating costs and increasing efficiency? Could your firm benefit from broader and deeper knowledge?

Every Broker-Dealer firm must have a designated Financial and Operations Principal (FinOp) according to NASD Rule 1022. The “designated” FinOp is the Series 27 licensed professional on record with FINRA and ultimately responsible for the financial and operational duties of the firm.

Outsourcing your FinOp role to an SDDco Group professional can save you time, money, and optimize the growth of your firm. With our services, you gain multi-dimensional support that meets the specific needs of brokerage firms like yours!

FINOPportunity is knocking. Answer the Door.

Benefits to outsourcing the FinOp role with SDDco Group:

  • Outsourced FinOps play in fluid waters, are always exposed to changing regulatory conditions, and must adhere to regulatory announcements
  • Outsourced FinOps have knowledge and competence concerning industry “best practices” gathered through involvement with multiple firms
  • Cost effective alternative to the salary and fringe benefit costs of a qualified in-house FinOp
  • Reduced regulatory exposure with a FinOp who reviews your firm’s financials under the sharp lens of a CPA
  • Our FinOps are all degreed accountants that can serve as your firm’s CFO
  • Outsourced FinOps help your firm stay updated with the latest regulations
  • Access to all our FinOps and accounting professionals with broad on-going exposure to broker-dealer operations


Can an outsourced FinOp serve as your CFO?

Yes. S.D. Daniels P.C., a division of SDDco Group, can provide your firm with a FinOp-CFO, whereby a licensed accounting professional can be retained to service your firm on a regular basis and manage a variety of financial and business operation responsibilities.

Services may include but are not limited to start-up management, strategic business & financial planning, cost reduction improvements, contract negotiation and administration, banking.


Keeping your FinOp management in-house might:

  • Deliver an Outdated Mindset: Times change, and we must change with them. Experience is great, however, if you aren’t keeping up with regulatory trends, emerging technologies or appealing to the next generation – you are at a disadvantage. What once worked in 2009 doesn’t work in 2019. Regulators are sharper, and business is more complex. SDDco is cutting edge support made simple.
  • Offer a Narrowed Scope: Many In-House FinOps operate under the limitations of one broker-dealer, consistent staff, and longstanding business goals. SDDco Principals bring a fresh perspective to business risks and opportunities.
  • Instill Fear of Having Only 1 Principal: Many Broker-Dealers have one FinOp, but wouldn’t you prefer multiple FinOps to help with FOCUS reports and net capital computations? Alert Broker-Dealers have one FinOp accessible to review the work that another one (in house) prepares. It’s valuable to hire an outsourced SDDco FinOp to review financial statements and FOCUS reports to ensure accuracy. Our FinOps are degreed accountants and most are CPA’s with many years of experience.


Need assistance to your in-House FinOp?

A firm’s designated in-house FinOp often requires supplementary on-site and off-site support. SDDco-PC can support the role of your designated in-house FinOp to help supervise required duties, computations, filings!

Looking for a Principal Financial Officer (PFO) and Principal Operations Officer (POO)?

Pursuant to FINRA Regulatory Notice 17-30, all Broker Dealers are required to designate a PFO and POO.

SDDco-PC will assign a qualified series 27 licensed individual to be designated as your firm’s POO with primary responsibility of overseeing that the day-to-day operations of your business are properly supervised by assigned personnel, including overseeing of the receipt and delivery of securities and funds, safeguarding customer and firm assets, calculation and collection of margin from customers and processing dividend receivables and payables and reorganization redemptions and those books and records related to such activities.

Outsource your PFO, PPO and FinOp With SDDco!

Reduce Your Operating Costs by outsourcing your FinOP today.