Investment Banking and Securities Dealing Revenue Benchmarks
The average investment banking and securities dealing business in the United States generates $57.5M in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 2,301 investment banking and securities dealing businesses in the U.S., employing 85,594 workers with an average profit margin of 15.0%.
What Does a Investment Banking and Securities Dealing Business Actually Do?
Investment Banking and Securities Dealing: Businesses that handle money — lending, investing, insuring risk, or facilitating financial transactions.
Who buys: Consumers, businesses, and institutional clients.
Sector-level description — a more specific write-up is available for high-traffic industries.
Average Revenue
$57.5M
per year
Profit Margin
15.0%
industry average
Revenue / Employee
$1.5M
per year
Total Businesses
2,301
in the US
Est. Owner Income
$8.6M
small business avg
Labor Cost
30.0%
of revenue
Avg Employee Wage
N/A
per year (BLS)
Market Saturation
0.7
firms per 100K people
How Much Do Investment Banking and Securities Dealing Charge?
Investment Banking and Securities Dealing: Financial services earn AUM fees, commissions, spreads, or hourly fees. The specifics vary within the investment banking and securities dealing category — the ranges below are typical for the sector.
| Service | Typical range |
|---|---|
Investment mgmt (AUM) | 0.5–1.5% of assets/year |
Financial planning (hourly) | $150–500/hour |
Financial planning (flat) | $1,500–7,500 one-time |
Insurance commission | 5–15% of premium first year |
Sector-typical ranges — individual services within this industry may fall higher or lower.
Complete investment banking and securities dealing business plan
A 12-section data-backed business plan for a investment banking and securities dealing business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.
Cost Structure — Where Every $100 in Revenue Goes
Approximate P&L breakdown for the investment banking and securities dealing industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.
| Category | Per $100 revenue | Per typical business | What's in it |
|---|---|---|---|
Claims & interest paid | $8 | $4.7M | Insurance claim payouts, interest paid to depositors, or securities transaction costs. |
Wages & benefits | $30 | $17.3M | Payroll for all employees at the business (owner comp not included for small owner-operators). |
Rent & facilities | $11 | $6.3M | Rent or mortgage on business location plus utilities tied to the space. |
Marketing & advertising | $8 | $4.7M | Google/Meta ads, SEO, print, referral fees, event sponsorships. |
Other operating costs | $27 | $15.8M | Compliance, technology, professional liability, licensing fees. |
Net profit | $15 | $8.6M | What remains for the owner or shareholders after all business expenses. |
Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.
Average Revenue by Business Size
Industry Dynamics (Census BDS 2023)
New Business Rate
6.95%
openings/year
Closure Rate
11.38%
closings/year
Net Job Growth
+2.02%
annual
Businesses Closed
719
in 2023
Firm Count Trend
Should You Start a Investment Banking and Securities Dealing Business?
Startup Cost
$50K – $250K
Break-Even
0 months
5-Year Survival Rate
50.0%
Related Industries
Frequently Asked Questions
- What does a investment banking and securities dealing business do?
- Investment Banking and Securities Dealing: Businesses that handle money — lending, investing, insuring risk, or facilitating financial transactions. Consumers, businesses, and institutional clients.
- How much do investment banking and securities dealing charge?
- Investment Banking and Securities Dealing: Financial services earn AUM fees, commissions, spreads, or hourly fees. The specifics vary within the investment banking and securities dealing category — the ranges below are typical for the sector. See the pricing table above for typical rates by service type.
- How much does the average investment banking and securities dealing make per year?
- The average investment banking and securities dealing business generates $57.5M in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $8.6M per year at a 15.0% profit margin.
- How many investment banking and securities dealing businesses are there in the US?
- There are 2,301 investment banking and securities dealing businesses operating in the United States, employing a total of 85,594 workers.
- How much does it cost to start a investment banking and securities dealing business?
- Startup costs for a investment banking and securities dealing business typically range from $50K to $250K, with a 5-year survival rate of 50.0%.
Industry Growth & Survival
The investment banking and securities dealing industry is actively growing — adding jobs at a net rate of 2.0% per year. New establishments are opening faster than existing ones close (7.0% entry vs 11.4% exit), indicating healthy demand.
Approximately 55% of investment banking and securities dealing businesses survive their first 5 years. This is near the national average (~50%), with typical business risk. In 2023, 719 firms in this industry closed permanently.
Industry Trend (2000–2023)
The investment banking and securities dealing industry has declined 32% since 2000 (from 11,660 to 7,890 firms).
See full historical statistics →Compare Investment Banking and Securities Dealing revenue with other industries: