RCS Capital Corporation (RCAP), the Schorsch holding company that owns independent broker-dealers, a wholesale broker-dealer, a research firm, a crowdfunding platform, and a liquid alternatives shop among others, has entered into an agreement with Docupace Technologies (Docupace). RCAP will acquire a majority interest in the electronic platform provider but the terms of the transaction remain undisclosed.
Docupace’s technology gives broker-dealers a solution to connect systems, documents, and data that will help drive cost savings, efficiency, and compliance oversight.
The company’s main offering is called ePACS®, and is a Straight-Through-Processing platform which is used by over 500 clients with a total of 70,000 individual users. Clients include some of the largest broker-dealers in the industry. ePACS® is the first web-based processing system that is fully compliant with SEC and FINRA regulations.
“We are pleased to announce this pending investment in Docupace Technologies,” commented Michael Weil, RCAP’s President. “Docupace is leading the financial services industry’s evolution to secure, compliant end-to-end electronic processing, which enables broker-dealers to streamline their workflow with a fully integrated document management technology solution. This synergistic investment provides RCAP with a new, scalable and recurring revenue stream and will allow us to further leverage Docupace’s solutions, which are designed to increase efficiency by reducing operational costs and delivering enhanced compliance oversight.”
“The investment from RCAP will provide Docupace with the necessary capital, expertise and resources to further expand its product suite and market share,” said Docupace President & CEO, Michael Pinsker. “I am excited about the growth this investment will enable. Docupace is now better positioned than ever to deliver the highest quality workflow systems and services solutions to its current and future customer base. I look forward to working with the entire RCAP team as we continue to develop new products to streamline business processes and grow our business to better serve our customers.”
RCAP will continue to integrate Docupace products across its broker-dealer network. Michael Pinsker will remain President & CEO of Docupace and along with the Docupace management team will continue to lead the day-to-day operations of the business.
Larry Roth, CEO of Cetera Financial Group, added, “This announcement demonstrates our commitment to providing our network of financial advisors with the best-in-class tools and opportunities necessary to create value in their businesses and for their clients. The more than 9,700 financial advisors in the Cetera Financial Group retail advice network, many of whom are existing Docupace customers, will benefit from this streamlined new business processing, client on-boarding and document storage and retrieval solutions.”