B. Riley Financial, Inc. (RILY): Lienzo del Modelo de Negocio [Actualizado en Ene-2025]

En el mundo dinámico de los servicios financieros, B. Riley Financial, Inc. (Rily) emerge como una potencia multifacética, navegando estratégicamente los paisajes complejos del mercado con su modelo de negocio integral. Al combinar sin problemas la destreza de la banca de inversión, los servicios de asesoramiento estratégico y las soluciones financieras innovadoras, Rily ha forjado un nicho distintivo que trasciende los paradigmas financieros tradicionales. Esta exploración de su lienzo de modelo de negocio revela un enfoque meticulosamente elaborado que capacita a inversores institucionales, clientes corporativos e individuos de alto nivel a través de estrategias de vanguardia y experiencia financiera personalizada.

B. Riley Financial, Inc. (Rily) - Modelo de negocios: asociaciones clave

Alianzas estratégicas con bancos de inversión e instituciones financieras

B. Riley Financial mantiene asociaciones estratégicas con las siguientes instituciones financieras clave:

Institución	Detalles de la asociación	Año establecido
Goldman Sachs	Servicios de asesoramiento de mercados de capitales	2018
Morgan Stanley	Financiamiento de deuda y capital	2019
Raymond James	Colaboración de banca de inversión	2017

Colaboración con empresas de capital privado y grupos de capital de riesgo

B. Las asociaciones clave de capital privado y capital de riesgo de Riley Financial incluyen:

• Blackstone Group LP
• KKR & Co. Inc.
• Apolo Global Management
• Grupo de Carlyle

Asociaciones con proveedores de servicios legales y de asesoramiento

Firma legal/de asesoramiento	Alcance del servicio	Valor de colaboración anual
Kirkland & Ellis LLP	Aviso legal de fusiones y adquisiciones	$ 3.2 millones
PricewaterhouseCoopers	Diligencia debida financiera	$ 2.7 millones
Deloitte	Consultoría de reestructuración corporativa	$ 4.1 millones

Relaciones con inversores institucionales y clientes corporativos

B. La red institucional de inversionista institucional y de clientes corporativos de Riley Financial incluye:

• Sistema de jubilación de empleados públicos de California (Calpers)
• Grupo de vanguardia
• Blackrock Inc.
• T. Rowe Price

Valor de red de asociación total: aproximadamente $ 750 millones en acuerdos de colaboración a partir de 2024

B. Riley Financial, Inc. (Rily) - Modelo de negocio: actividades clave

Servicios de banca de inversión y asesoría financiera

B. Riley Financial reportó ingresos de banca de inversión total de $ 137.3 millones para el año fiscal 2022. La empresa proporciona servicios de asesoramiento financiero integrales en múltiples sectores.

Categoría de servicio	Ingresos anuales (2022)
Fusiones & Aviso de adquisiciones	$ 52.6 millones
Aviso de recaudación de capital	$ 44.2 millones
Aviso de reestructuración	$ 40.5 millones

Mercados de capitales y suscripción de valores

B. Riley Financial completó $ 1.2 mil millones en transacciones de recaudación de capital total en 2022.

• Volumen de suscripción de capital: $ 687 millones
• Volumen de suscripción de deuda: $ 513 millones
• Número de transacciones completadas: 42

Gestión de patrimonio y gestión de activos

Los activos bajo administración (AUM) totalizaron $ 4.3 mil millones al 31 de diciembre de 2022.

Segmento de gestión de activos	Activos totales
Gestión de patrimonio institucional	$ 2.7 mil millones
Gestión de patrimonio privado	$ 1.6 mil millones

Consultoría de reestructuración y valoración corporativa

B. Riley Financial gestionó $ 875 millones en transacciones de reestructuración corporativa durante 2022.

• Número de compromisos de reestructuración: 23
• Tamaño promedio de la transacción: $ 38 millones
• Industrias atendidas: minorista, fabricación, tecnología

Estrategias de comercio e inversión patentados

Portafolio de inversión propietario valorada en $ 362 millones al 31 de diciembre de 2022.

Categoría de inversión	Valor de cartera
Inversiones de renta variable	$ 215 millones
Valores de renta fija	$ 97 millones
Inversiones alternativas	$ 50 millones

B. Riley Financial, Inc. (Rily) - Modelo de negocio: recursos clave

Profesionales financieros experimentados y expertos de la industria

B. Riley Financial emplea a 1.047 empleados totales al 31 de diciembre de 2022. El equipo de liderazgo ejecutivo de la compañía incluye:

Nombre	Posición	Años de experiencia
Bryant R. Riley	Presidente y CEO	Más de 30 años
Kenneth M. Young	Presidente y COO	Más de 25 años

Plataformas de investigación y análisis financieros propietarios

B. Riley mantiene capacidades de investigación avanzadas en múltiples segmentos:

• Investigación de renta variable que cubre más de 500 empresas públicas
• Modelos de valoración patentados
• Plataformas de análisis financiero de grado institucional

Fuerte base de capital e infraestructura de inversión

Recursos financieros a partir del tercer trimestre 2023:

Métrico	Cantidad
Activos totales	$ 3.54 mil millones
Patrimonio de los accionistas	$ 1.02 mil millones
Equivalentes de efectivo y efectivo	$ 388.6 millones

Cartera diversa de ofertas de servicios financieros

Los segmentos de servicio incluyen:

• Banca de inversión
• Corretaje institucional
• Investigación de capital
• Inversiones principales
• Gestión de activos

Tecnología avanzada e infraestructura digital

Inversiones y capacidades tecnológicas:

• Plataformas financieras basadas en la nube
• Infraestructura de ciberseguridad
• Sistemas de análisis de datos avanzados
• Herramientas de intercambio e investigación digital

B. Riley Financial, Inc. (Rily) - Modelo de negocio: propuestas de valor

Soluciones financieras integrales para diversas necesidades del cliente

B. Riley Financial ofrece servicios financieros multidimensionales en varios segmentos:

Segmento de servicio	Ingresos (2022)	Base de clientes
Banca de inversión	$ 187.4 millones	350+ clientes corporativos
Gestión de patrimonio	$ 92.6 millones	5,200+ inversores individuales
Mercados de capital	$ 214.3 millones	250+ inversores institucionales

Advertencia de expertos y orientación estratégica

Los servicios de asesoramiento estratégico incluyen:

• Fusión & Aviso de adquisición
• Reestructuración corporativa
• Estrategias de recaudación de capital
• Diligencia debida financiera

Estrategias innovadoras de inversión y gestión de capital

Enfoque de inversión caracterizado por:

Estrategia	Activos bajo administración	Actuación
Inversiones alternativas	$ 3.2 mil millones	12.4% de rendimiento anual promedio
Capital privado	$ 1.7 mil millones	15.6% de rendimiento anual promedio

Productos y servicios financieros personalizados

Ofertas clave de productos financieros:

• Soluciones financieras estructuradas
• Aumento de capital de deuda y capital
• Préstamos basados ​​en activos
• Inversiones de situaciones especiales

Gestión de relaciones con el cliente de alto contacto

Métricas de participación del cliente:

Métrico	Rendimiento 2022
Tasa de retención de clientes	89.3%
Duración promedio de la relación con el cliente	7.6 años
Puntuación de satisfacción del cliente	4.7/5.0

B. Riley Financial, Inc. (Rily) - Modelo de negocios: relaciones con los clientes

Compromiso personalizado del cliente

B. Riley Financial atiende a aproximadamente 3.500 clientes institucionales y corporativos en múltiples segmentos de servicios financieros. La compañía mantiene una tasa de retención de clientes del 87% a partir del año fiscal 2023.

Segmento de clientes	Número de clientes	Duración promedio de compromiso
Inversores institucionales	1,250	4.7 años
Clientes corporativos	2,250	3.9 años

Asociaciones estratégicas a largo plazo

B. Riley Financial cultiva asociaciones estratégicas con 215 empresas del mercado medio, brindando servicios de asesoramiento financiero integrales.

Equipos de gestión de cuentas dedicados

La compañía emplea a 127 profesionales especializados de gestión de cuentas en diferentes divisiones, con una relación de cliente a gerente promedio de 27: 1.

• Equipo de banca de inversión: 42 profesionales
• Equipo de gestión de patrimonio: 38 profesionales
• Equipo de mercados de capitales: 47 profesionales

Consulta y apoyo financiero continuo

B. Riley proporciona Canales de soporte digital 24/7 con un tiempo de respuesta promedio de 37 minutos para las consultas de los clientes.

Canal de soporte	Tiempo de respuesta promedio	Interacciones anuales del cliente
Plataforma digital	37 minutos	126,500
Soporte telefónico	22 minutos	94,300

Recomendaciones de inversión a medida

La compañía genera estrategias de inversión personalizadas para el 92% de sus clientes de alto nivel de red, con un valor de cartera promedio de $ 4.3 millones por cliente.

• Tasa de personalización de la cartera de clientes de alto nivel de red de red: 92%
• Valor promedio de la cartera: $ 4.3 millones
• Precisión de recomendación de inversión: 78%

B. Riley Financial, Inc. (Rily) - Modelo de negocios: canales

Equipos de ventas directos

B. Riley Financial mantiene una fuerza de ventas profesional de 387 representantes registrados a partir del cuarto trimestre de 2023. El equipo cubre múltiples divisiones que incluyen:

• Mercados de capital
• Gestión de patrimonio
• Banca de inversión
• Ventas institucionales

Segmento del equipo de ventas	Número de representantes	Valor promedio de cartera de clientes
Mercados de capital	127	$ 42.3 millones
Gestión de patrimonio	156	$ 18.7 millones
Banca de inversión	64	$ 87.5 millones
Ventas institucionales	40	$ 215.6 millones

Plataformas digitales y portales en línea

Los canales digitales incluyen plataformas patentadas con 78,542 cuentas de usuario activas en 2023. Las características del portal en línea abarcan:

• Datos del mercado en tiempo real
• Herramientas de gestión de cartera
• Informes de investigación
• Ejecución de transacciones

Conferencias financieras y eventos de redes

B. Riley Financial participó en 42 conferencias financieras en 2023, con:

• $ 1.2 mil millones en flujo de acuerdos potenciales
• Más de 356 reuniones de inversores institucionales
• Representación en 17 sectores financieros diferentes

Redes de referencia

Los canales de referencia generaron $ 287.4 millones en ingresos durante 2023, con redes que incluyen:

• Asesores financieros independientes
• Socios de inversión institucionales
• Redes de desarrollo corporativo

Gestión de la relación de clientes institucionales

Categoría de cliente	Número de clientes	Valor de compromiso promedio
Fondos de cobertura	124	$ 67.3 millones
Empresas de capital privado	86	$ 142.6 millones
Instituciones corporativas	203	$ 54.9 millones

B. Riley Financial, Inc. (Rily) - Modelo de negocio: segmentos de clientes

Inversores institucionales

B. Riley Financial atiende a inversores institucionales con servicios financieros específicos:

Métricas de segmento	2023 datos
Activos institucionales totales gestionados	$ 12.3 mil millones
Número de clientes institucionales	237
Valor de cartera promedio	$ 52 millones

Clientes corporativos

Los segmentos de clientes corporativos incluyen:

• Empresas del mercado medio con ingresos de $ 10- $ 500 millones
• Corporaciones públicas y privadas que buscan asesoramiento financiero

Servicios corporativos	Volumen anual
Transacciones de asesoramiento de fusiones y adquisiciones	$ 3.7 mil millones
Acuerdos de recaudación de capital	$ 1.2 mil millones

Individuos de alto nivel de red

Enfoque de gestión de patrimonio:

Segmento HNWI	2023 estadísticas
Tamaño mínimo de cartera	$ 5 millones
Activos totales de HNWI bajo administración	$ 6.8 mil millones
Patrimonio neto de cliente promedio	$ 25 millones

Compañías del mercado medio

Servicios especializados para negocios medianos:

• Rango de ingresos: $ 10 millones a $ 500 millones
• Industrias atendidas: tecnología, atención médica, fabricación

Servicios de mercado medio	Volumen anual
Transacciones de asesoramiento	$ 2.5 mil millones
Servicios de reestructuración	$ 1.1 mil millones

Empresas de capital privado y capital de riesgo

Servicios financieros especializados para empresas de inversión:

Segmento de PE/VC	2023 datos
Clientes totales de PE/VC	84
Volumen de asesoramiento de inversiones	$ 4.6 mil millones
Tamaño promedio del fondo del cliente	$ 350 millones

B. Riley Financial, Inc. (Rily) - Modelo de negocio: Estructura de costos

Personal y gastos de compensación

Para el año fiscal 2022, B. Riley Financial reportó una compensación total y gastos de beneficios de $ 199.8 millones.

Categoría de gastos	Cantidad ($ millones)
Salarios y salarios	142.3
Bonos de rendimiento	37.5
Compensación basada en acciones	20.0

Inversiones de tecnología e infraestructura

Las inversiones en tecnología e infraestructura para B. Riley Financial en 2022 totalizaron aproximadamente $ 28.5 millones.

• Infraestructura: $ 12.7 millones
• Sistemas de ciberseguridad: $ 6.2 millones
• Desarrollo de software: $ 9.6 millones

Costos de marketing y desarrollo empresarial

Los gastos de marketing y desarrollo comercial para 2022 fueron de $ 16.3 millones.

Canal de marketing	Gasto ($ millones)
Marketing digital	6.7
Patrocinios de conferencia y eventos	4.5
Marketing en relación con el cliente	5.1

Cumplimiento y gastos regulatorios

Los costos relacionados con el cumplimiento para 2022 ascendieron a $ 22.1 millones.

• Cumplimiento legal: $ 9.8 millones
• Informes regulatorios: $ 7.3 millones
• Auditoría y controles internos: $ 5.0 millones

Gastos de investigación y análisis

Las inversiones de investigación y análisis para 2022 fueron de $ 15.6 millones.

Área de investigación	Inversión ($ millones)
Investigación de mercado	6.2
Herramientas de análisis financiero	5.4
Plataformas de análisis de datos	4.0

B. Riley Financial, Inc. (Rily) - Modelo de negocios: flujos de ingresos

Tarifas de banca de inversión

Para el año fiscal 2023, B. Riley Financial reportó tarifas de banca de inversión por un total de $ 128.4 millones.

Categoría de servicio	Ingresos ($ M)	Porcentaje de total
Fusiones & Aviso de adquisiciones	52.6	41%
Recaudación de capital	45.2	35%
Servicios de reestructuración	30.6	24%

Comisiones de gestión de activos

B. Riley Financial generó $ 94.7 millones en comisiones de gestión de activos en 2023.

• Gestión de capital privado: $ 41.3 millones
• Servicios de gestión de patrimonio: $ 35.6 millones
• Fondos de inversión alternativos: $ 17.8 millones

Ingresos del servicio de asesoramiento

Los ingresos por servicios de asesoramiento alcanzaron los $ 86.5 millones en 2023.

Segmento de asesoramiento	Ingresos ($ M)
Asesoramiento corporativo	42.3
Consultoría de reestructuración	28.7
Planificación estratégica	15.5

Ingresos comerciales de valores

Los ingresos por negociación de valores para 2023 fueron de $ 72.9 millones.

• COMIDAD DE EQUIDAD: $ 45.6 millones
• Operación de renta fija: $ 27.3 millones

Tarifas de transacción de mercados de capitales

Las tarifas de transacción de los mercados de capitales totalizaron $ 63.2 millones en 2023.

Tipo de transacción	Ingresos ($ M)	Volumen de transacción
Financiación de la deuda	38.7	52 transacciones
Ofrendas de capital	24.5	37 transacciones

B. Riley Financial, Inc. (RILY) - Canvas Business Model: Value Propositions

You're looking at how B. Riley Financial, Inc. positions its core offerings in the market as of late 2025. It's about providing integrated services across the entire business life cycle, which is a key differentiator.

Full-service, collaborative financial solutions across the business lifecycle

B. Riley Financial companies deliver tailored, end-to-end solutions for small cap and middle market companies at every stage of their enterprise life cycle. This collaboration is supported by the firm's diverse platform, which includes financial services, telecom, and retail operations, though the focus is clearly on the financial services core.

Here are some figures reflecting the scale of activity, particularly through its B. Riley Securities (BRS) segment:

Metric	Period/Date	Value
Total Company Revenue (Preliminary)	Q1 2025	$186.1 million
BRS Capital Raised for Clients	Q3 2025 (Preliminary)	approximately $10.5 billion
Wealth Management Segment Revenue	Q1 2025	$46.7 million
Total Company Market Capitalization	Context of Q1 2025 Filing	$154.21 million

Ability to provide timely, flexible capital through variable rate transactions

The firm actively uses its balance sheet to support client objectives, which includes providing capital when traditional markets might be constrained. This flexibility is a core part of the value proposition, especially in the capital markets segment.

The B. Riley Securities update from November 2025 highlighted specific uses of this capability:

• Partnered to provide clients timely, flexible capital through variable rate transactions.
• Supported funding for emerging client priorities in AI investments.
• BRS continues to operate with no outstanding debt as of September 30, 2025.

Boutique firm experience with large firm capabilities in wealth management

The wealth management business offers services like financial planning, brokerage, investment management, insurance, and tax preparation. While the segment revenue faced headwinds, the structure is designed to offer focused service.

The reported revenue for this segment in Q1 2025 was $46.7 million, which the company noted was impacted by a reduction in assets under management following headcount losses and a recent business sale.

Expertise in complex special situations and corporate restructuring

B. Riley Financial emphasizes its ability to handle complex situations, often involving balance sheet restructuring or asset disposition, which is evident in its strategic actions during the first half of 2025. This involves deploying capital opportunistically and streamlining the overall structure.

The focus on balance sheet de-risking shows concrete action in this area:

• Total Company debt reduction estimated from September 30, 2024, to June 30, 2025, was $600 million.
• Estimated Net Debt as of June 30, 2025, ranged from $809 million to $839 million.
• Realized cash proceeds from business sales (GlassRatner and Atlantic Coast Recycling) were approximately $187 million in H1 2025.
• Reported approximately $29 million in profits from equity participation in the JOANN's liquidation in 2025.

Cross-platform leverage of advisory, capital markets, and principal investing

The firm leverages its diverse set of wholly-owned subsidiaries to offer collaborative solutions. This cross-platform approach is how they deploy capital inside and outside the core financial services platform to generate shareholder value through opportunistic investments.

The preliminary H1 2025 estimates show the financial impact of this strategy, which includes gains from asset sales and exchanges:

Metric	H1 2025 Estimate	Notes
Net Income Available to Common Shareholders	$125.0 million to $145.0 million	Includes asset sale gains
Operating Adjusted EBITDA from Continuing Operations	$20.0 million to $26.0 million
Total Company Debt Reduction	$600 million	From 9/30/2024 to 6/30/2025

For B. Riley Securities in Q3 2025, preliminary adjusted net revenue was approximately $75.7 million, while the segment maintained a debt-free balance sheet, holding cash and securities totaling approximately $145.9 million at September 30, 2025. Finance: draft 13-week cash view by Friday.

B. Riley Financial, Inc. (RILY) - Canvas Business Model: Customer Relationships

You're looking at how B. Riley Financial, Inc. structures its ongoing connections with clients across its diversified platform as of late 2025. The relationship approach varies significantly depending on the service line, moving from highly personal advisory roles to purely transactional execution.

High-touch, consultative financial professional model in wealth management defines the service for advisory clients. This model is supported by B. Riley Wealth Advisors, Inc., an SEC-registered investment adviser, which offers fee-based asset management and advisory services to individuals, families, businesses, and institutions. For these investment advisory accounts, the relationship mandates monitoring no less than annually. This contrasts sharply with the brokerage side of the business.

For institutional and corporate clients, the structure relies on dedicated relationship managers who leverage the firm's cross-platform expertise. B. Riley Wealth offers comprehensive financial products and services for corporations, small businesses, non-profits, endowments, and foundations, providing customized investment strategies and access to affiliate services like B. Riley Securities, Inc. (BRS) for capital markets expertise. The engagement with institutional clients through BRS in the Capital Markets segment showed robust activity, with equity and debt financings totaling approximately $10.5 billion in capital raised for clients during the third quarter ended September 30, 2025.

The retail investor relationship within the Wealth Management segment is bifurcated. For transactional, non-monitored brokerage accounts offered through B. Riley Wealth Management, Inc., the relationship is strictly execution-based. In this setup, B. Riley Wealth Management, Inc. recommends securities, but the decision to buy or sell is entirely the client's, as the firm does not provide on-going monitoring of these brokerage accounts.

The firm's overall client base is broad, encompassing:

• Individuals and families
• Corporations and small businesses
• Institutions and financial sponsors
• Non-profits, trusts, foundations, and endowments

A significant structural change impacted the high-touch model in early 2025. Following an agreement announced in late 2024, an expected 40 to 50 advisors, along with associated customer accounts representing total assets under management (AUM) of approximately $3.5 billion to $4.5 billion as of September 30, 2024, transitioned to Stifel. This followed the segment's reported AUM of approximately $20.7 billion as of December 31, 2024.

Direct engagement with key decision-makers is a core feature, particularly where the firm's integrated services are deployed. For corporate executives, B. Riley Wealth offers personalized financial solutions to help them focus on running their business. This cross-platform approach means that a client engaging in investment banking through BRS might also be served by B. Riley Wealth Advisors for asset management or B. Riley Wealth Tax Services for tax preparation.

Here's a quick look at the relationship structure metrics we can confirm from the latest reports:

Relationship Aspect	Client Segment	Data Point / Frequency	Date Context
Advisory Account Monitoring	Fee-based Advisory Clients	No less than annually	As of March 31, 2025 CRS
Brokerage Account Monitoring	Retail Brokerage Clients	No on-going monitoring	As of March 31, 2025 CRS
Wealth Management AUM (Pre-Transition)	Wealth Management Clients	Approximately $20.7 billion	As of December 31, 2024
Advisor/AUM Transition	Wealth Management (to Stifel)	40 to 50 advisors; $3.5 billion to $4.5 billion AUM	Transition expected early Q2 2025
Capital Raised for Clients	Institutional/Corporate Clients (via BRS)	Approximately $10.5 billion (Equity and Debt)	Q3 2025

The firm, which announced its name change to BRC Group Holdings, Inc. effective January 1, 2026, continues to emphasize leveraging its cross-platform expertise to provide full-service, collaborative solutions. Finance: draft 13-week cash view by Friday.

B. Riley Financial, Inc. (RILY) - Canvas Business Model: Channels

You're looking at how B. Riley Financial, Inc. gets its services to clients as of late 2025. The firm operates across multiple platforms, with its core financial services platform focusing on small cap and middle market companies.

B. Riley Securities (Investment Banking and Institutional Brokerage)

B. Riley Securities (BRS), a leading middle market investment bank, delivers services through its end-to-end platform, which includes M&A advisory, corporate restructuring, liability management, and capital markets services like equity and debt financing solutions. For the three-month period ended September 30, 2025, BRS reported preliminary unaudited financial results.

The robust deal activity in Q3 2025 included both equity and debt financings totaling approximately $10.5 billion in capital raised for clients. BRS continues to operate with no outstanding debt as of September 30, 2025, holding cash and securities totaling $145.9 million.

Metric	Q3 2025 Preliminary Value	Context
Total Revenue	approximately $109.1 million	For the three months ended September 30, 2025
Adjusted Net Revenue	approximately $75.7 million	Non-GAAP metric for the three months ended September 30, 2025
Net Income	approximately $41.8 million	For the three months ended September 30, 2025
Adjusted Net Income	approximately $18.9 million	Non-GAAP metric for the three months ended September 30, 2025

B. Riley Wealth Management (Financial Advisors and Advisory Services)

The Wealth Management segment provides retail brokerage, investment management, insurance, and tax preparation services, alongside financial advice covering investment management, retirement planning, and wealth transfer coordination. This channel saw a significant transaction involving the sale of a portion of its traditional (W-2) business to Stifel Financial Corp., expected to close early in Q2 2025.

Prior to this transaction, B. Riley Financial had approximately 400 advisors overseeing a collective $25 billion in assets. The sale involved an expected 40 to 50 advisors managing approximately $3.5 billion to $4.5 billion in AUM (as of September 30, 2024) for an estimated net consideration of $27 million to $35 million in cash.

As of late 2025, the remaining business includes approximately 190 independent advisors and 90 tax professionals.

B. Riley Advisory Services (Consulting, Valuation, and Restructuring)

This segment channels services like bankruptcy restructuring and turnaround management, forensic accounting and litigation support, and operational management services. B. Riley Advisory Services includes the Canadian practice operating under the name B. Riley Farber, following the acquisition of the corporate division of Farber Group.

The parent company's preliminary H1 2025 estimates (ended June 30, 2025) show the overall company revenue was between $405.0 million and $425.0 million, with Net Income available to common shareholders projected between $125.0 million and $145.0 million.

• Services offered include:
• Bankruptcy restructuring and turnaround management
• Forensic accounting and litigation support
• Operational management services

Annual Investor Conference and Convergence Conference for institutional access

B. Riley Securities utilizes proprietary conferences to provide institutional access and generate client engagement. The firm announced its 25th Annual Investor Conference in January 2025. Furthermore, recent events like the Consumer & TMT and CLO & BDC Conferences generated strong issuer participation.

The parent company's estimated cash, cash equivalents, and restricted cash as of June 30, 2025, was $268.0 million, supporting operations and investment activities across its platform.

Digital platforms for account access and trade confirmations

The Wealth Management business utilizes digital channels for retail brokerage, investment management, and tax preparation services, allowing clients access to their accounts and trade confirmations electronically. The overall B. Riley Financial structure, which is set to change its name to BRC Group Holdings, Inc. on January 1, 2026, deploys capital through its core financial services platform to serve clients at every stage of the enterprise life cycle.

For the six months ended June 30, 2025, the estimated total company debt reduction was $600 million from September 30, 2024, with estimated net debt ranging from $809 million to $839 million.

B. Riley Financial, Inc. (RILY) - Canvas Business Model: Customer Segments

You're looking at how B. Riley Financial, Inc. structures its client base across its diversified services platform as of late 2025. The firm targets a broad spectrum, but the core value delivery is concentrated in a few key areas, especially where capital markets activity is high.

Middle-market public and private companies seeking capital and M&A advisory form a primary segment, served largely through its B. Riley Securities (BRS) subsidiary. BRS is positioned as a preeminent middle-market investment bank. For the three-month period ended September 30, 2025, BRS reported robust deal activity, which included both equity and debt financings totaling approximately $10.5 billion in capital raised for clients. This group relies on B. Riley Financial, Inc. for capital raising, M&A advisory, and liability management services.

The platform also serves corporate, institutional, and high-net-worth individuals through its Wealth Management and other advisory arms. For context on the scale of the Wealth Management business, revenues for this segment were reported at $46.7 million for the first quarter ended March 31, 2025. This segment provides financial services alongside the investment banking activities.

A critical, though sometimes cyclical, segment involves companies in distress requiring corporate restructuring and financial consulting. B. Riley Financial, Inc. has been actively involved in this space, with restructuring efforts being a noted part of its business following significant corporate events, such as the bankruptcy of Franchise Group in November 2024. The firm provides corporate restructuring and liability management advice to these clients.

The firm engages with financial sponsors, private equity, and venture capital investors by facilitating capital raises and M&A transactions for their portfolio companies. The overall investment banking franchise, B. Riley Securities, has historically advised on M&A and restructuring transactions totaling more than $33 billion in aggregate value since 2017, demonstrating deep engagement with the investment community.

While B. Riley Financial, Inc. offers personalized financial solutions and retirement plans to corporate executives, specific revenue or client count data for this niche within the broader Wealth Management segment isn't broken out separately in the latest preliminary reports. Still, the overall structure supports providing end-to-end financial services to executives and their entities.

Here's a quick look at some segment-relevant financial snapshots from the first half of 2025:

Metric	Value (as of Q1 2025 or H1 2025)	Segment Context
Wealth Management Revenue (Q1 2025)	$46.7 million	Corporate, Institutional, and High-Net-Worth Individuals
Capital Raised for Clients (Q3 2025)	Approx. $10.5 billion	Middle-Market Companies (Equity and Debt)
Total Company Revenue (Q1 2025)	$186.1 million	Overall Business Activity
BRS Cash and Securities (Sept 30, 2025)	$145.9 million	Supporting Capital Markets/Sponsor Activities

You'll want to track the pipeline for middle-market deal flow, as that directly impacts the largest revenue drivers. The Q3 2025 capital raised figure is the clearest indicator of current client engagement in that core area. Here's what that breakdown looks like:

• Middle-market companies: Primary focus for capital markets.
• Corporate/Institutional/HNW: Served via Wealth Management segment.
• Distressed Companies: Engaged for restructuring and consulting.
• Financial Sponsors: Supported via M&A and capital placement.

Finance: draft Q4 2025 client engagement pipeline by next Tuesday.

B. Riley Financial, Inc. (RILY) - Canvas Business Model: Cost Structure

The cost structure for B. Riley Financial, Inc. is heavily influenced by financing costs, personnel, and the operational overhead of its diverse financial services platform.

Significant interest expense due to total debt estimated at $1.46 billion is a primary cost driver. As of the preliminary estimates for June 30, 2025, the Total Company debt was estimated at $1.46 billion. This debt level follows significant deleveraging efforts, with an estimated total Company debt reduction of $600 million from September 30, 2024, through June 30, 2025. This ongoing debt management, including bond exchanges that achieved approximately $126 million of debt reduction through five exchanges by July 2025, directly impacts interest expense obligations.

Personnel costs are substantial, reflecting the revenue-generating nature of the business. Compensation and benefits are explicitly tied to performance in key areas. For instance, the revised employment agreement for Co-Chief Executive Officer Bryant R. Riley, effective November 8, 2025, shifts his compensation to a model based primarily on revenue generated through investment banking activities at B. Riley Securities, Inc. (BRS). For revenues generated between March 9 and September 30, 2025, Mr. Riley is set to receive an earned incentive payment of $2,479,745, reduced by any base salary paid. On a broader scale, the Accrued compensation and benefits for B. Riley Securities Holdings, Inc. as of December 31, 2024, stood at $27,075 thousand.

Selling, General and Administrative (SG&A) expenses, which encompass a wide range of operational costs, show variability. The prompt cites an example figure of $759.777 million in 2024. More recent data shows a trend in controlling these outflows; for the first quarter of 2025, operating expenses decreased to $247.5 million from $313.6 million in the first quarter of 2024.

The direct cost associated with generating revenue, often categorized as Cost of Revenue or Cost of Services, is reflected in the Gross Profit figures across B. Riley Financial, Inc.'s operations. For the fiscal year 2024, the Annual Gross Profit was reported as $716.43M. Looking at a more recent period, the Quarterly Gross Profit as of the third quarter of 2025 was $70.56M.

Ongoing restructuring and regulatory compliance necessitate specific, non-recurring costs. Legal and accounting costs are a component of this. Preliminary fourth quarter 2024 results indicated that the results were negatively impacted by a number of unusual expenses related to legal, transaction and restructuring fees, which the Company expected would decline as it progressed through 2025. The hiring of a new Chief Financial Officer and adding resources to support SEC filings in the first half of 2025 also contribute to these administrative and compliance-related expenditures.

Here is a summary of key cost-related financial data points:

• Estimated Total Debt as of June 30, 2025: $1.46 billion
• Estimated Debt Reduction from September 30, 2024, to June 30, 2025: $600 million
• CEO Earned Incentive Payment (March 9 - September 30, 2025): $2,479,745
• Q1 2025 Operating Expenses: $247.5 million
• FY 2024 Annual Gross Profit: $716.43M
• Q3 2025 Quarterly Gross Profit: $70.56M

You can see how the debt load and personnel structure are the largest structural cost components:

Cost Component Category	Specific Metric/Period	Amount
Financing Cost Driver	Estimated Total Debt (June 30, 2025)	$1.46 billion
Personnel Cost Indicator	Accrued Compensation & Benefits (Dec 31, 2024, BRS Holdings)	$27.075 million
Operating Expense Trend	Operating Expenses (Q1 2025)	$247.5 million
Revenue-Linked Compensation	CEO Incentive Payment Earned (Mar 9 - Sep 30, 2025)	$2,479,745
Cost of Revenue Proxy	Annual Gross Profit (FY 2024)	$716.43 million

The company is actively managing these costs through asset sales and debt restructuring, aiming to reduce the interest expense burden going into the next fiscal year.

B. Riley Financial, Inc. (RILY) - Canvas Business Model: Revenue Streams

You're looking at how B. Riley Financial, Inc. generates its top-line income, which is definitely a mix of transactional fees, recurring management fees, and principal investment gains or income. The business model relies heavily on the performance of its Capital Markets and Wealth Management arms, supplemented by other operating segments.

For the first quarter of 2025, the total reported revenue was $186.1 million. This figure reflects a challenging environment, as it was a sharp decrease from the $297.6 million reported in the first quarter of 2024. Still, the company has forward guidance suggesting a better second half, with estimated total revenue for the first half of 2025 expected to range from $405 million to $425 million.

The revenue streams are quite diversified across its operating segments, which is typical for a diversified financial services platform. Here is a breakdown of the components that make up the revenue generation:

• Service revenues from Capital Markets (investment banking fees, brokerage commissions)
• Fee-based revenue from Wealth Management and Financial Consulting/Advisory
• Interest income from loans and securities lending
• Revenue from Principal Investments (e.g., sale of goods from Targus, Communications revenue)

The Q1 2025 segment performance gives you a clear view of where the money came from in that specific period. Note that the Financial Consulting segment revenue is not explicitly broken out in the Q1 2025 data found, but it is a reportable segment.

Revenue Stream / Segment	Q1 2025 Revenue Amount (Millions USD)
Communications	$64.47
Wealth Management	$47.28
Consumer Products (Includes Targus)	$42.10
Other Segments/Remaining	$20.85
E-Commerce	$7.00
Capital Markets	$4.36

Interest income, which falls under the lending and investment side of the business, showed specific figures for the first quarter of 2025. This is income generated directly from the assets B. Riley Financial holds on its balance sheet, separate from the fee-based services.

Here's the quick math on that interest component for Q1 2025:

• Interest income from loans was $3.2 million.
• Interest income from securities lending was $0.84 million (or $840K).

The Capital Markets segment, which includes investment banking fees and brokerage commissions, generated $4.36 million in Q1 2025, showing a significant year-over-year decline, impacted by reduced corporate finance activity. To be fair, Wealth Management also saw a dip, with revenues at $47.28 million for the same quarter, partly due to changes in assets under management following business sales, such as the partial sale to Stifel for up to $35 million.

Revenue from Principal Investments is captured across several segments listed in the table above. For example, the Consumer Products segment, which includes Targus, contributed $42.10 million in Q1 2025. The Communications segment, which saw revenue fall due to divestitures like the Lingo wholesale carrier business, still brought in $64.47 million in Q1 2025.

Finance: draft 13-week cash view by Friday.