July Business Services Company Profile

Background

July Business Services (JULY), established in 1994 and headquartered in Waco, Texas, is a leading national provider of retirement plan services. The company specializes in 401(k) plans, cash balance plans, and other retirement solutions tailored for small to mid-sized employers. JULY's mission is to deliver innovative, technology-driven retirement solutions that simplify plan management for employers and enhance retirement outcomes for employees. Over the years, JULY has expanded its services to support over 6,000 retirement plans across the United States, reflecting its significant role in the retirement services industry.

Key Strategic Focus

JULY's strategic focus centers on:

Advisor Support: Collaborating with financial advisors to design and implement customized retirement plans that optimize savings and tax benefits.

Technological Innovation: Developing proprietary technology solutions to streamline plan setup and administration, enhancing user experience for employers and employees.

Service Expansion: Offering white-label and business process outsourcing (BPO) services to partners, allowing them to leverage JULY's expertise in compliance and operations.

Growth through Acquisitions: Expanding its national presence and service capabilities by acquiring complementary businesses in the retirement services sector.

Financials and Funding

In October 2022, JULY secured a capital investment from Platform Partners LLC, a private investment firm based in Houston. This investment aims to accelerate JULY's product development, support its acquisition strategy, and enhance its service offerings. The financial backing underscores JULY's commitment to innovation and growth in the retirement services market.

Pipeline Development

JULY has been proactive in expanding its service offerings and market reach through strategic acquisitions:

Sunwest Pensions (June 2023): Based in Tempe, Arizona, Sunwest Pensions specializes in third-party administration and recordkeeping services for defined contribution and defined benefit plans. This acquisition enhances JULY's capabilities in plan design and administration.

Digital Retirement Solutions (DRS) (March 2023): Located in Longmont, Colorado, DRS provides high-tech recordkeeping and administration services, strengthening JULY's technological infrastructure and service delivery.

TPA (March 2023): Based in Swedesboro, New Jersey, TPA offers personalized retirement plan services to small businesses, expanding JULY's footprint in the Northeast.

Summit Benefit Solutions (July 2019): Headquartered in Mansfield, Ohio, Summit provides retirement plan recordkeeping, administration, and payroll services, bolstering JULY's presence in the Midwest.

These acquisitions align with JULY's strategy to enhance its service offerings and geographic reach.

Technological Platform and Innovation

JULY differentiates itself through its proprietary technology platforms and innovative service models:

Proprietary Technologies: The company has developed in-house software solutions that automate and simplify retirement plan setup and administration, improving efficiency and user experience.

Scientific Methodologies: JULY employs advanced data analytics and machine learning algorithms to optimize plan performance and participant engagement.

AI-Driven Capabilities: The integration of artificial intelligence enhances decision-making processes, from plan design to compliance monitoring, ensuring tailored solutions for clients.

Leadership Team

John Humphrey: Serving as the President and CEO, John has been instrumental in steering JULY's strategic direction and growth initiatives.

Jim Hudson: As a key member of the leadership team, Jim contributes to the company's operational and strategic planning.

Michelle LeCates: Holding the position of Marketing Specialist, Michelle plays a vital role in JULY's marketing and client engagement strategies.

Leadership Changes

In July 2024, JULY appointed Bill Riccio as Vice President of Sales, succeeding Adam Barker, who was promoted to Vice President of TPA Partner Services. These leadership changes reflect JULY's commitment to strengthening its strategic leadership and expanding its national sales presence.

Competitor Profile

Market Insights and Dynamics

The retirement plan services industry is characterized by:

Market Size and Growth: A substantial and growing market driven by increasing employer adoption of retirement plans and regulatory changes promoting retirement savings.

Industry Trends: Emphasis on technological innovation, personalized plan offerings, and enhanced participant engagement to meet evolving client needs.

Competitor Analysis

Key competitors in the retirement plan services sector include:

Pentegra: With approximately 276 employees and estimated revenue of $241.9 million, Pentegra offers a range of retirement plan solutions and fiduciary services.

AmeriBen: Employing around 1,400 individuals and generating estimated revenue of $295.9 million, AmeriBen provides retirement plan administration and consulting services.

Sentinel Group: With a workforce of about 260 and estimated revenue of $134 million, Sentinel Group specializes in retirement plan consulting and administration.

These competitors focus on delivering comprehensive retirement solutions, leveraging technology, and maintaining strong client relationships.

Strategic Collaborations and Partnerships

JULY has engaged in significant collaborations to enhance its service offerings:

HTLF Retirement Plan Services: In 2023, JULY acquired the recordkeeping and administration business of HTLF Retirement Plan Services, expanding its client base and service capabilities.

Investors Asset Management of Georgia: Partnered to offer a Pooled Employer Plan (PEP) solution, Launch401k, aimed at small businesses and charter schools, demonstrating JULY's commitment to innovative retirement solutions.

Operational Insights

JULY's strategic considerations include:

Competitive Positioning: Differentiating through technological innovation, personalized service, and strategic acquisitions to enhance market presence.

Distinct Advantages: Proprietary technology platforms, a client-centric approach, and a focus on small to mid-sized employers set JULY apart in the competitive landscape.