Business Support Packages (BSPs) are often presented as a helping hand.
A bridge.
A vote of confidence.
A way to “get established quickly”.
For many advisers entering or operating within large networks such as St James’s Place, BSPs can feel like the only viable route forward.
But what looks like support on the way in can feel very different on the way out.
This article is not written to attack individuals or firms. It’s written to surface the reality advisers experience in practice, so others can make informed decisions — and so those already caught can find a way forward with dignity.
What BSPs are supposed to be
In principle, BSPs are designed to:
- fund the acquisition of client goodwill,
- support advisers through early income volatility,
- align incentives between the adviser and the network,
- and enable long-term continuity.
In conversation, they are often framed as:
“Long-term”, “supportive”, “standard”, “low risk if you stay in the system”.
Many advisers are told — sometimes explicitly, sometimes implicitly — that:
- the BSP is tied to clients, not the individual,
- if you ever leave, clients (and the associated economics) revert to the practice,
- and repayment will be dealt with “sensibly” or “commercially”.
That is the story.
What BSPs often are in practice
In the documents, BSPs are usually structured very differently.
Common features include:
- personal loan obligations triggered on exit,
- immediate repayment clauses regardless of circumstances,
- no automatic transfer of debt with clients,
- interest escalation post-termination,
- and recovery mechanisms that activate once continuity ends.
The result?
An adviser can:
- leave the network in good faith,
- hand back or lose access to clients,
- suffer an immediate income cliff,
- and still be told they are personally liable for a large BSP balance.
At that point, what felt like “support” begins to feel like containment.
Why advisers feel trapped
Advisers don’t enter BSPs recklessly.
They enter them:
- under time pressure,
- during career transitions,
- often while juggling family, financial, or personal stress,
- relying on verbal assurances and cultural norms,
- assuming the network wouldn’t design something fundamentally unfair.
The trap emerges when:
- verbal representations don’t appear in the contract,
- exit scenarios were never fully explained,
- and the adviser realises — too late — that leaving means crystallising debt without income.
This is not about naïvety.
It’s about information asymmetry.
If you’re considering a BSP: pause and ask these questions
Before entering any BSP arrangement, you should be able to answer — clearly, in writing — the following:
- If I leave, does the debt follow the clients or stay with me personally?
- What exactly triggers repayment — and how quickly?
- Is repayment conditional on continued income, or unconditional?
- What happens if the firm or network restructures or deauthorises?
- What assumptions are being made about continuity — and who controls that continuity?
If the answers are vague, verbal, or “don’t worry about it”, that is a signal — not reassurance.
If you’re already in a BSP and feel stuck
First, an important reassurance:
Feeling trapped does not mean you’ve failed.
It means the structure is doing what it was designed to do.
If you’re already in a BSP and questioning your position, the most important thing is not to panic or rush.
Step 1: Stop and organise
Before replying to letters, attending “debt recovery” meetings, or instructing solicitors:
- gather your documents,
- map what is written vs what was said,
- and create an evidence dossier.
Clarity reduces fear.
Step 2: Do not admit liability prematurely
Even well-intentioned phrases like:
- “I owe the money, but…”
- “I accept the debt subject to…”
can lock you into positions that are hard to escape later.
You are allowed to seek clarity before conceding anything.
Step 3: Reframe the conversation
The most productive frame is not:
“This is unfair.”
But:
“There appears to be a disconnect between the commercial intent of the arrangement and the enforcement outcome now being proposed. I want to explore proportionate options.”
That keeps dialogue open.
Step 4: Explore continuity options carefully
Sometimes:
- another firm is willing to assume part of the obligation,
- staged repayment is possible,
- or mediation produces better outcomes than confrontation.
These options disappear once matters escalate too quickly.
Step 5: Get pre-legal support
Before going legal, it often helps to:
- slow the process,
- structure your thinking,
- and sense-check correspondence.
Good preparation can prevent unnecessary litigation — or make it more effective if it becomes unavoidable.
A final word to advisers
BSPs are not inherently evil.
But they are not neutral.
They are powerful financial instruments that shift risk — often silently — onto individuals.
The antidote is not anger or fear.
It is clarity, preparation, and agency.
Whether you’re considering a BSP, questioning one, or trying to exit with your sanity intact, you deserve to understand the full picture — not just the sales narrative.
And if you’re navigating this quietly, you’re not alone.
If you want to talk in confidence, my DMs are open.
A note from practice: process pressure is not the same as enforcement
One important observation from working with advisers in live BSP exit situations is this:
Early conversations often feel intimidating, but they are usually process-led rather than enforcement-led.
Language such as “recovery”, “default”, and “repayment” is frequently used early on. It can sound severe — and it is understandably unsettling — but in most cases it reflects contractual machinery being explained, not an immediate decision to enforce.
In practice:
- advisers are often given time to review documents properly,
- dialogue is kept open,
- and follow-up meetings are framed as exploratory rather than decisive.
This distinction matters. Advisers who remain calm, avoid admissions, and focus on understanding what is being asserted — rather than reacting to the language — tend to retain far more control over the outcome.
The aim at this stage is not to “win an argument”, but to stay engaged, informed, and strategically patient.
If you find yourself in this position, support doesn’t have to mean escalation. Sometimes having a steady, independent professional alongside you is enough to restore clarity and help you navigate the process without making things worse.
The Adviser’s BSP Checklist
What to check before signing any Business Support Package
A BSP can shape your financial future for years.
Before you sign, make sure you can answer every question below clearly and in writing.
If you can’t — pause.
1. What exactly is the money?
- Is the BSP a loan, advance, or another legal structure?
- Who is the legal borrower — you personally, a company, or the practice?
- Is there a personal guarantee (explicit or implied)?
- Are you exposed beyond future earnings?
If it walks like a loan, it will be enforced like one.
2. What triggers repayment?
Ask explicitly:
- Does resignation trigger repayment?
- Does termination (for any reason) trigger repayment?
- Does practice closure, merger, or deauthorisation trigger repayment?
- Is repayment automatic, or only after formal demand?
“On exit” must be defined — not assumed.
3. Does the debt follow the clients?
This is critical.
- If clients are handed back, reassigned, or moved within the network:
- does the debt transfer with them, or
- does it remain your personal liability?
If it’s not explicit in writing, assume it stays with you.
4. Is repayment conditional on income?
- Is repayment linked to ongoing client income?
- Or is it unconditional, even if income stops?
If income stops but debt crystallises, the risk is entirely yours.
5. How is interest handled?
- When does interest start accruing?
- Does interest increase after exit?
- Is interest discretionary or fixed?
- Can interest be paused during dispute or review?
Interest clauses hurt most after you leave.
6. Who controls client continuity?
Ask:
- Who decides whether clients stay, move, or are reassigned?
- Do you have a contractual right to take clients with you?
- What happens if continuity is blocked by the network?
If you don’t control continuity, you don’t control repayment risk.
7. What happens if circumstances change?
Be specific:
- What if you choose to leave?
- What if they ask you to leave?
- What if the firm or network restructures?
- What if health, family, or personal circumstances change?
If the answer is “that won’t happen”, pause.
8. What is written vs what is said?
- Are assurances about exit, debt transfer, or support written?
- Are you relying on phrases like “this is how it usually works”?
- Would an independent third party read the contract the same way you do?
Verbal comfort does not survive contractual enforcement.
9. How realistic is the valuation of the book?
Ask:
- Is the valuation based on a historic standard multiple?
- Does it assume stable fees, regulation, and client behaviour?
- Has it been stress-tested for:
- regulatory change,
- fee scrutiny,
- or client attrition?
What was “normal” in the past may not be realistic going forward.
The exit value of the book may be materially less than the price you are asked to pay — or there may be no exit value at all.
10. What is the quality of the book?
Before accepting transferred clients:
- Are these new clients, or recycled cases from previous exits?
- Has the book been serviced consistently?
- Are there gaps in:
- suitability reports,
- review history,
- or fee disclosures?
You may be acquiring income and liability.
11. Who carries historic conduct risk?
Ask explicitly:
- If mis-selling or fee-for-no-service issues emerge:
- who pays for remediation?
- Does liability sit with:
- you,
- the practice,
- or the network?
If you carry the debt but not the history, the imbalance matters.
12. Stress-test the worst-case scenario
Combine these questions:
- What if the book underperforms?
- What if regulatory action reduces its value?
- What if clients disengage or complain?
- What if exit value is less than the BSP balance?
Then ask:
Am I comfortable being personally liable for a loan secured on future value I don’t fully control?
If not — pause.
13. Who really benefits?
Finally:
- Who benefits if you stay?
- Who bears the cost if you leave?
- Who controls the process on exit?
BSPs often align incentives only while you remain inside the system.
A stronger rule of thumb
Never take personal debt secured on goodwill you didn’t originate, don’t fully control, and may not be able to sell.
That isn’t pessimism.
It’s professional prudence.
Need clarity before things escalate?
If you’re:
- considering a BSP and want to understand the real exit mechanics, or
- already in a BSP and feeling trapped, pressured, or unsure what to do next,
Adviser Bridge exists to support you before matters escalate.
It’s a calm, pre-legal pathway to help advisers:
- organise the facts,
- avoid accidental admissions,
- prepare for difficult conversations,
- and regain a sense of control.
👉 Book a free 15-minute clarity call here:
https://www.academyoflifeplanning.com/financial-planner/pathways/adviser-bridge
Sometimes the most powerful move is to pause, get clarity, and choose your next step deliberately.
Academy of Life Planning 