Focus Financial Partners (FOCS) 10-Q5 May 222022 Q1 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2022	May 02, 2022
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Mar. 31, 2022
Entity File Number	001-38604
Entity Registrant Name	Focus Financial Partners Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	47-4780811
Entity Address, Address Line One	875 Third Avenue, 28th Floor
Entity Address, City or Town	New York
Entity Address, State or Province	NY
Entity Address, Postal Zip Code	10022
City Area Code	646
Local Phone Number	519-2456
Title of 12(b) Security	Class A common stock, par value$0.01 per share
Trading Symbol	FOCS
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Central Index Key	0001651052
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q1
Amendment Flag	false
Class A common stock
Document and Entity Information
Entity Common Stock, Shares Outstanding		65,362,389
Class B common stock
Document and Entity Information
Entity Common Stock, Shares Outstanding		12,114,104

Unaudited condensed consolidate

Unaudited condensed consolidated balance sheets - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
ASSETS
Cash and cash equivalents	$ 317,034	$ 310,684
Accounts receivable less allowances of $3,255 at 2021 and $3,696 at 2022	209,209	198,827
Prepaid expenses and other assets	161,997	123,826
Fixed assets-net	46,832	47,199
Operating lease assets	256,064	249,850
Debt financing costs-net	3,580	4,254
Deferred tax assets-net	258,228	267,332
Goodwill	1,928,135	1,925,315
Other intangible assets-net	1,525,002	1,581,719
TOTAL ASSETS	4,706,081	4,709,006
LIABILITIES
Accounts payable	14,719	11,580
Accrued expenses	75,956	72,572
Due to affiliates	28,808	105,722
Deferred revenue	12,742	10,932
Contingent consideration and other liabilities	415,942	468,284
Deferred tax liabilities	36,501	31,973
Operating lease liabilities	284,613	277,324
Borrowings under credit facilities (stated value of $2,407,302 and $2,451,128 at December 31, 2021 and March 31, 2022, respectively)	2,438,183	2,393,669
Tax receivable agreements obligations	215,999	219,542
TOTAL LIABILITIES	3,523,463	3,591,598
COMMITMENTS AND CONTINGENCIES (Note 12)
EQUITY
Additional paid-in capital	865,857	841,753
Retained earnings	54,097	24,995
Accumulated other comprehensive income	20,469	3,029
Total shareholders' equity	941,192	870,544
Non-controlling interest	241,426	246,864
Total equity	1,182,618	1,117,408
TOTAL LIABILITIES AND EQUITY	4,706,081	4,709,006
Class A common stock
EQUITY
Common stock	653	653
Class B common stock
EQUITY
Common stock	$ 116	$ 114

Unaudited condensed consolida_2

Unaudited condensed consolidated balance sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Accounts receivable, allowances	$ 3,696	$ 3,255
Borrowings under credit facilities, stated value	$ 2,451,128	$ 2,407,302
Class A common stock
Common stock, par value	$ 0.01	$ 0.01
Common stock, authorized shares	500,000,000	500,000,000
Common stock, issued shares	65,362,389	65,320,124
Common stock, outstanding shares	65,362,389	65,320,124
Class B common stock
Common stock, par value	$ 0.01	$ 0.01
Common stock, authorized shares	500,000,000	500,000,000
Common stock, issued shares	11,601,814	11,439,019
Common stock, outstanding shares	11,601,814	11,439,019

Unaudited condensed consolida_3

Unaudited condensed consolidated statements of operations - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
REVENUES:
Total revenues	$ 536,567	$ 394,175
OPERATING EXPENSES:
Compensation and related expenses	181,800	141,043
Management fees	137,839	102,072
Selling, general and administrative	88,650	63,826
Intangible amortization	60,276	42,983
Non-cash changes in fair value of estimated contingent consideration	(8,985)	25,936
Depreciation and other amortization	3,633	3,607
Total operating expenses	463,213	379,467
INCOME FROM OPERATIONS	73,354	14,708
OTHER INCOME (EXPENSE):
Interest income	3	47
Interest expense	(17,616)	(10,521)
Amortization of debt financing costs	(1,101)	(852)
Other income (expense)-net	(36)	3
Income from equity method investments	95	283
Total other expense-net	(18,655)	(11,040)
INCOME BEFORE INCOME TAX	54,699	3,668
INCOME TAX EXPENSE	15,617	1,186
NET INCOME	39,082	2,482
Non-controlling interest	(9,980)	(2,226)
NET INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS	29,102	256
Wealth management fees
REVENUES:
Total revenues	515,179	374,845
Other
REVENUES:
Total revenues	$ 21,388	$ 19,330
Class A common stock
Income per share of Class A common stock:
Basic (in dollars per share)	$ 0.45	$ 0
Diluted (in dollars per share)	$ 0.44	$ 0
Weighted average shares of Class A common stock outstanding:
Basic (in shares)	65,331,370	52,200,029
Diluted (in shares)	65,767,463	52,654,822

Unaudited condensed consolida_4

Unaudited condensed consolidated statements of comprehensive income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Unaudited condensed consolidated statements of comprehensive income
Net income	$ 39,082	$ 2,482
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	3,750	(441)
Unrealized gain on interest rate swaps designated as cash flow hedges	18,766	5,251
Comprehensive income	61,598	7,292
Less: Comprehensive income attributable to non-controlling interest	(15,056)	(3,952)
Comprehensive income attributable to common shareholders	$ 46,542	$ 3,340

Unaudited condensed consolida_5

Unaudited condensed consolidated statements of cash flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 39,082	$ 2,482
Adjustments to reconcile net income to net cash provided by (used in) operating activities-net of effect of acquisitions:
Intangible amortization	60,276	42,983
Depreciation and other amortization	3,633	3,607
Amortization of debt financing costs	1,101	852
Non-cash equity compensation expense	6,707	12,356
Non-cash changes in fair value of estimated contingent consideration	(8,985)	25,936
Income from equity method investments	(95)	(283)
Distributions received from equity method investments	425	176
Deferred taxes and other non-cash items	6,424	436
Changes in cash resulting from changes in operating assets and liabilities:
Accounts receivable	(10,478)	(7,393)
Prepaid expenses and other assets	(12,827)	(5,098)
Accounts payable	3,081	(1,637)
Accrued expenses	4,721	2,169
Due to affiliates	(76,997)	(39,818)
Contingent consideration and other liabilities	(22,520)	(3,023)
Deferred revenue	1,810	383
Net cash provided by (used in) operating activities	(4,642)	34,128
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash paid for acquisitions and contingent consideration-net of cash acquired	(2,603)	(7,925)
Purchase of fixed assets	(3,232)	(2,835)
Investment and other, net	(5,232)	(17,500)
Net cash used in investing activities	(11,067)	(28,260)
CASH FLOWS FROM FINANCING ACTIVITIES:
Borrowings under credit facilities	50,000	524,375
Repayments of borrowings under credit facilities	(6,174)	(409,173)
Proceeds from issuance of common stock, net		12,119
Payments in connection with unit redemption, net		(12,119)
Payments in connection with tax receivable agreements	(3,856)	(4,112)
Contingent consideration paid	(10,443)	(4,172)
Payments of debt financing costs		(2,700)
Proceeds from exercise of stock options	422	2,863
Payments on finance lease obligations		(33)
Distributions for unitholders	(8,209)	(9,055)
Net cash provided by financing activities	21,740	97,993
EFFECT OF EXCHANGE RATES ON CASH AND CASH EQUIVALENTS	319	(4)
CHANGE IN CASH AND CASH EQUIVALENTS	6,350	103,857
CASH AND CASH EQUIVALENTS:
Beginning of period	310,684	65,858
End of period	$ 317,034	$ 169,715

Unaudited condensed consolida_6

Unaudited condensed consolidated statements of changes in equity - USD ($) $ in Thousands	Total Shareholders' Equity	Common StockClass A common stock	Common StockClass B common stock	Additional Paid-In Capital	Retained Earnings	Accumulated Other Comprehensive Income	Non-controlling Interest	Total
Beginning balance at Dec. 31, 2020	$ 539,799	$ 512	$ 207	$ 526,664	$ 14,583	$ (2,167)	$ 319,080	$ 858,879
Beginning balance (in shares) at Dec. 31, 2020		51,158,712	20,661,595
Increase (Decrease) in shareholders' equity
Net income	256				256		2,226	2,482
Issuance (cancellation) of common stock in connection with offering, net	121,984	$ 26	$ (25)	121,983				121,984
Issuance (cancellation) of common stock in connection with offering, net (in shares)		2,640,369	(2,460,732)
Issuance (cancellation) of common stock in connection with exercise of Focus LLC common unit exchange rights	54,869	$ 12	$ (12)	54,869				54,869
Issuance (cancellation) of common stock in connection with exercise of Focus LLC common unit exchange rights (in shares)		1,181,759	(1,181,759)
Issuance of common stock in connection with exercise of Focus LLC incentive unit exchange rights	3,272	$ 1		3,271				3,272
Issuance of common stock in connection with exercise of Focus LLC incentive unit exchange rights (in shares)		70,465
Exercise of stock options	2,022			2,022				2,022
Exercise of stock options (in shares)		63,537
Change in non-controlling interest allocation	(125,836)			(125,836)			(51,884)	(177,720)
Non-cash equity compensation expenses	1,164			1,164				1,164
Currency translation adjustment - net of tax	(312)					(312)	(129)	(441)
Unrealized gain on interest rate swaps designated as cash flow hedges	3,396					3,396	1,855	5,251
Adjustment of deferred tax assets, net of amounts payable under tax receivable agreements and changes from LLC interest transactions	5,885			5,885				5,885
Ending balance at Mar. 31, 2021	606,499	$ 551	$ 170	590,022	14,839	917	271,148	877,647
Ending Balance (in shares) at Mar. 31, 2021		55,114,842	17,019,104
Beginning balance at Dec. 31, 2021	870,544	$ 653	$ 114	841,753	24,995	3,029	246,864	1,117,408
Beginning balance (in shares) at Dec. 31, 2021		65,320,124	11,439,019
Increase (Decrease) in shareholders' equity
Net income	29,102				29,102		9,980	39,082
Issuance of units in connection with an acquisition and contingent consideration	2		$ 2					2
Issuance of units in connection with an acquisition and contingent consideration (in shares)			187,795
Issuance (cancellation) of common stock in connection with exercise of Focus LLC common unit exchange rights	1,107			1,107				1,107
Issuance (cancellation) of common stock in connection with exercise of Focus LLC common unit exchange rights (in shares)		25,000	(25,000)
Issuance of common stock in connection with exercise of Focus LLC incentive unit exchange rights	87			87				87
Issuance of common stock in connection with exercise of Focus LLC incentive unit exchange rights (in shares)		1,956
Exercise of stock options	422			422				422
Exercise of stock options (in shares)		15,309
Change in non-controlling interest allocation	23,747			23,747			(20,494)	3,253
Non-cash equity compensation expenses	1,992			1,992				1,992
Currency translation adjustment - net of tax	2,915					2,915	835	3,750
Unrealized gain on interest rate swaps designated as cash flow hedges	14,525					14,525	4,241	18,766
Adjustment of deferred tax assets, net of amounts payable under tax receivable agreements and changes from LLC interest transactions	(3,251)			(3,251)				(3,251)
Ending balance at Mar. 31, 2022	$ 941,192	$ 653	$ 116	$ 865,857	$ 54,097	$ 20,469	$ 241,426	$ 1,182,618
Ending Balance (in shares) at Mar. 31, 2022		65,362,389	11,601,814

GENERAL

GENERAL	3 Months Ended
GENERAL	Mar. 31, 2022
GENERAL
GENERAL	1. GENERAL Organization and Business Focus LLC is a Delaware limited liability company that was formed in November 2004. Focus LLC’s subsidiaries commenced revenue-generating and acquisition activities in January 2006. Focus LLC’s activities are governed by its Fourth Amended and Restated Operating Agreement (the “Operating Agreement”). Focus LLC is in the business of acquiring and overseeing independent fiduciary wealth management and related businesses. The unaudited condensed consolidated financial statements reflect the results of operations and financial position of Focus Inc. and its subsidiaries (the “Company”).

SUMMARY OF ACCOUNTING POLICIES

SUMMARY OF ACCOUNTING POLICIES	3 Months Ended
SUMMARY OF ACCOUNTING POLICIES	Mar. 31, 2022
SUMMARY OF ACCOUNTING POLICIES
SUMMARY OF ACCOUNTING POLICIES	2. SUMMARY OF ACCOUNTING POLICIES Basis of Presentation Operating results for the three months ended March 31, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022. Use of Estimates Revenue The Company disaggregates revenue by wealth management fees and other. The Company does not allocate revenue by the type of service provided in connection with providing holistic wealth management client services. The Company generally manages its business based on the operating results of the enterprise taken as a whole, not by geographic region. The following table disaggregates the revenues based on the location of the partner firm legal entities that generate the revenues and therefore may not be reflective of the geography in which clients are located. Three Months Ended March 31, 2021 2022 Domestic revenue $ 370,954 $ 507,311 International revenue 23,221 29,256 Total revenue $ 394,175 $ 536,567 International revenue consists of revenue generated by partner firm legal entities in Australia, Canada and the United Kingdom. Recent Accounting Pronouncements In March 2020, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) No. 2020-04, “ Facilitation of the Effects of Reference Rate Reform on Financial Reporting .” ASU No. 2020-04 provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference the London InterBank Offered Rate (“LIBOR”) or another rate that is expected to be discontinued. The amendments in ASU No. 2020-04 are effective for all entities as of March 12, 2020 through December 31, 2022. The adoption of ASU No. 2020-04 did not have a material impact on the Company’s consolidated financial statements; however, the Company will continue to evaluate the impacts, if any, of the provisions of ASU No. 2020-04 on the Company’s debt and hedging arrangements through December 31, 2022.

NON-CONTROLLING INTEREST AND IN

NON-CONTROLLING INTEREST AND INCOME PER SHARE	3 Months Ended
NON-CONTROLLING INTEREST AND INCOME PER SHARE	Mar. 31, 2022
NON-CONTROLLING INTEREST AND INCOME PER SHARE
NON-CONTROLLING INTEREST AND INCOME PER SHARE	3. NON-CONTROLLING INTEREST AND INCOME PER SHARE The calculation of controlling and non-controlling interest is as follows as of March 31, 2021 and 2022: 2021 2022 Focus LLC common units 17,019,104 11,601,814 Focus LLC restricted common units 71,374 193,625 Common unit equivalents of outstanding vested and unvested Focus LLC incentive units(1) 7,006,625 6,998,055 Total common units, restricted common units and common unit equivalents attributable to non-controlling interest 24,097,103 18,793,494 Total common units, restricted common units and common unit equivalents of incentive units outstanding 79,211,945 84,155,883 Non-controlling interest allocation 30.4 % 22.3 % Company’s interest in Focus LLC 69.6 % 77.7 % (1) Focus LLC common units issuable upon conversion of 16,728,882 and 16,202,274 (see Note 9) vested and unvested Focus LLC incentive units outstanding as of March 31, 2021 and 2022, respectively, was calculated using the common unit equivalent of vested and unvested Focus LLC incentive units based on the closing price of the Company’s Class A common stock on the last trading day of the periods. Basic income per share is calculated utilizing net income attributable to common shareholders divided by the weighted average number of shares of Class A common stock outstanding during the same periods. The calculation of basic income per share is as follows: Three Months Ended March 31, 2021 2022 Net income attributable to common shareholders $ 256 $ 29,102 Weighted average shares of Class A common stock outstanding 52,200,029 65,331,370 Basic income per share $ 0.00 $ 0.45 Diluted income per share is calculated utilizing net income attributable to common shareholders divided by the weighted average number of shares of Class A common stock outstanding during the same periods plus the effect, if any, of the potentially dilutive shares of the Company’s Class A common stock from stock options, restricted stock units and Focus LLC common units, restricted common units and incentive units as calculated using the treasury stock method: Three Months Ended March 31, 2021 2022 Net income attributable to common shareholders $ 256 $ 29,102 Weighted average shares of Class A common stock outstanding 52,200,029 65,331,370 Effect of dilutive stock options 415,041 407,059 Effect of dilutive restricted stock units 39,752 29,034 Total 52,654,822 65,767,463 Diluted income per share $ 0.00 $ 0.44 Diluted income per share for the three months ended March 31, 2021 and 2022 excludes shares related to 155,000 market-based stock options, as modified, that vest on the sixth anniversary of the pricing of the Company’s initial public offering (“IPO”) with vesting based on the highest volume weighted average per share price for any ninety-calendar day period (“90-day VWAP”) prior to the anniversary, with 0% vesting if the highest 90-day VWAP is $80.00 or less and 100% vesting if the highest 90-day VWAP is $110.00 or more, with linear interpolation in between (see Note 9). Such market-based criteria were not met at March 31, 2021 and 2022. Focus LLC common, restricted common and incentive units may be exchanged for the Company’s Class A common stock, subject to certain limitations (see Note 9). In computing the dilutive effect, if any, that the exchange would have on net income per share, net income attributable to Class A common shareholders would be adjusted due to the elimination of the non-controlling interests (including any associated tax impact). For the three months ended March 31, 2021 and 2022, such exchange is not reflected in diluted net income per share as the assumed exchange is not dilutive.

ACQUISITIONS

ACQUISITIONS	3 Months Ended
ACQUISITIONS	Mar. 31, 2022
ACQUISITIONS
ACQUISITIONS	4. ACQUISITIONS Asset Acquisition The Company separately purchases customer relationships and other intangible assets. These purchases are accounted for as asset acquisitions as they do not qualify as business acquisitions pursuant to ASC Topic 805: Business Combinations The weighted-average useful lives of intangible assets acquired during the three months ended March 31, 2022 are as follows: Number of years Customer relationships 5 Other acquired intangibles 5 Weighted-average useful life of all intangibles acquired 5 From April 1, 2022 to May 5, 2022, the Company completed four business acquisitions for cash, including cash due subsequent to closing, and equity, inclusive of the issuance of 512,290 shares of Class B common stock, of $263,188, plus contingent consideration.

GOODWILL AND OTHER INTANGIBLE A

GOODWILL AND OTHER INTANGIBLE ASSETS	3 Months Ended
GOODWILL AND OTHER INTANGIBLE ASSETS	Mar. 31, 2022
GOODWILL AND OTHER INTANGIBLE ASSETS
GOODWILL AND OTHER INTANGIBLE ASSETS	5. GOODWILL AND OTHER INTANGIBLE ASSETS The following table summarizes the change in the goodwill balances for the year ended December 31, 2021 and the three months ended March 31, 2022: December 31, March 31, 2021 2022 Balance beginning of period: Goodwill $ 1,278,183 $ 1,947,939 Cumulative impairment losses (22,624) (22,624) 1,255,559 1,925,315 Goodwill acquired 677,195 — Other (7,439) 2,820 669,756 2,820 Balance end of period: Goodwill 1,947,939 1,950,759 Cumulative impairment losses (22,624) (22,624) $ 1,925,315 $ 1,928,135 The following table summarizes the amortizing acquired intangible assets at December 31, 2021: Gross Carry Accumulated Net Book Amount Amortization Value Customer relationships $ 2,228,461 $ (787,016) $ 1,441,445 Management contracts 191,578 (57,153) 134,425 Other acquired intangibles 10,911 (5,062) 5,849 Total $ 2,430,950 $ (849,231) $ 1,581,719 The following table summarizes the amortizing acquired intangible assets at March 31, 2022: Gross Carry Accumulated Net Book Amount Amortization Value Customer relationships $ 2,232,141 $ (844,289) $ 1,387,852 Management contracts 191,665 (60,000) 131,665 Other acquired intangibles 10,988 (5,503) 5,485 Total $ 2,434,794 $ (909,792) $ 1,525,002

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	3 Months Ended
FAIR VALUE MEASUREMENTS	Mar. 31, 2022
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	6. FAIR VALUE MEASUREMENTS ASC Topic 820, Fair Value Measurement The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels, as follows: Level 1 Level 2 Level 3 Marketable securities At March 31, 2022, the fair value of the Company’s investment in a mutual fund was $16,724. The fair value was determined using Level 1 inputs. First Lien Term Loan The implied fair value of the Company’s First Lien Term Loan (as defined below) based on Level 2 inputs at December 31, 2021 and March 31, 2022 are as follows: December 31, 2021 March 31, 2022 Stated Fair Stated Fair Value Value Value Value First Lien Term Loan - Tranche A $ 1,610,928 $ 1,598,846 $ 1,606,755 $ 1,580,645 First Lien Term Loan - Tranche B 796,374 792,392 794,373 783,450 Derivatives At December 31, 2021 and March 31, 2022, the fair value of the Company’s $850,000 notional amount interest rate swap agreements was $5,810 and $29,593, respectively, which is included in prepaid expenses and other assets in the accompanying unaudited condensed consolidated balance sheets. The fair value was based on Level 2 inputs which included the relevant interest rate forward curves. Business acquisitions For business acquisitions, the Company recognizes the fair value of goodwill and other acquired intangible assets, and estimated contingent consideration at the acquisition date as part of purchase price. This fair value measurement is based on unobservable (Level 3) inputs. The following table represents changes in the fair value of estimated contingent consideration for business acquisitions for the year ended December 31, 2021 and the three months ended March 31, 2022: Balance at January 1, 2021 $ 169,670 Additions to estimated contingent consideration 212,074 Payments of contingent consideration (143,107) Non-cash changes in fair value of estimated contingent consideration 112,416 Other (1,026) Balance at December 31, 2021 $ 350,027 Additions to estimated contingent consideration — Payments of contingent consideration (43,190) Non-cash changes in fair value of estimated contingent consideration (8,985) Other 735 Balance at March 31, 2022 $ 298,587 Estimated contingent consideration is included in contingent consideration and other liabilities in the accompanying unaudited condensed consolidated balance sheets. At December 31, 2021 and March 31, 2022, amounts due to sellers in connection with business acquisitions of $114,156 and $113,987, respectively, are included in contingent consideration and other liabilities in the unaudited condensed consolidated balance sheets. During the year ended December 31, 2021, the Company paid $131,827 in cash and issued $11,280 in Focus LLC common units as contingent consideration associated with business acquisitions. During the three months ended March 31, 2022, the Company paid $33,492 in cash and issued $9,698 in Focus LLC common units as contingent consideration associated with business acquisitions. During the three months ended March 31, 2021 and 2022, the Company paid cash of $591 and $728 , respectively, as contingent consideration associated with asset acquisitions. These amounts are included in cash paid for acquisitions and contingent consideration—net of cash acquired in investing activities in the unaudited condensed consolidated statement of cash flows. In determining fair value of the estimated contingent consideration, the acquired business’ future performance is estimated using financial projections for the acquired business. These financial projections, as well as alternative scenarios of financial performance, are measured against the performance targets specified in each respective acquisition agreement. In addition, discount rates are established based on the cost of debt and the cost of equity. The Company uses the Monte Carlo Simulation Model to determine the fair value of the Company’s estimated contingent consideration. The significant unobservable inputs used in the fair value measurement of the Company’s estimated contingent consideration are the forecasted growth rates over the measurement period and discount rates. Significant increases or decreases in the Company’s forecasted growth rates over the measurement period or discount rates would result in a higher or lower fair value measurement. Inputs used in the fair value measurement of estimated contingent consideration at December 31, 2021 and March 31, 2022 are summarized below: Quantitative Information About Level 3 Fair Value Measurements Fair Value at Valuation Unobservable December 31, 2021 Techniques Inputs Ranges $ 350,027 Monte Carlo Simulation Model Forecasted growth rates 0.7% - 20.1 % Discount rates 9.0% - 15.0 % Quantitative Information About Level 3 Fair Value Measurements Fair Value at Valuation Unobservable March 31, 2022 Techniques Inputs Ranges $ 298,587 Monte Carlo Simulation Model Forecasted growth rates (9.1)% - 32.1 % Discount rates 10.0% - 17.0 %

CREDIT FACILITY

CREDIT FACILITY	3 Months Ended
CREDIT FACILITY	Mar. 31, 2022
CREDIT FACILITY.
CREDIT FACILITY	7. CREDIT FACILITY As of March 31, 2022, Focus LLC’s credit facility (the “Credit Facility”) consisted of a $2,401,128 first lien term loan (the “First Lien Term Loan”), consisting of a tranche A (“Tranche A”) and tranche B (“Tranche B”), and a $650,000 first lien revolving credit facility (the “First Lien Revolver”). Tranche A bears interest (at Focus LLC’s option) at: (i) LIBOR plus a margin of 2.00% or (ii) the lender’s Base Rate (as defined in the Credit Facility) plus a margin of 1.00%. Tranche A requires quarterly installment repayments of $4,173 and has a maturity date of July 2024. Tranche B bears interest (at Focus LLC’s option) at: (i) LIBOR plus a margin of 2.50% with a 0.50% LIBOR floor or (ii) the lender’s Base Rate plus a margin of 1.50%. Tranche B requires quarterly installment repayments of $2,001 and has a maturity date of June 2028. In April 2022, Focus LLC amended the First Lien Revolver to extend the maturity date to June 2024 and change the benchmark interest rate from LIBOR to the Secured Overnight Financing Rate (“SOFR”). As amended, the First Lien Revolver bears interest (at Focus LLC’s option) at SOFR, including a credit adjustment spread, plus a margin of 2.00% with step downs to 1.75%, 1.50% and 1.25% or the lender’s Base Rate plus a margin of 1.00% with step downs to 0.75%, 0.50% and 0.25%, based on achievement of a specified First Lien Leverage Ratio. The First Lien Revolver unused commitment fee is 0.50% with step downs to 0.375% and 0.25% based on achievement of a specified First Lien Leverage Ratio. Up to $30,000 of the First Lien Revolver is available for the issuance of letters of credit, subject to certain limitations. In connection with the amendment, Focus LLC incurred $975 in estimated debt financing costs. Focus LLC’s obligations under the Credit Facility are collateralized by the majority of Focus LLC’s assets. The Credit Facility contains various customary covenants, including, but not limited to: (i) incurring additional indebtedness or guarantees, (ii) creating liens or other encumbrances on property or granting negative pledges, (iii) entering into a merger or similar transaction, (iv) selling or transferring certain property and (v) declaring dividends or making other restricted payments. Focus LLC is required to maintain a First Lien Leverage Ratio (as defined in the Credit Facility) of not more than 6.25:1.00 as of the last day of each fiscal quarter. At March 31, 2022, Focus LLC’s First Lien Leverage Ratio was 3.84:1.00, which satisfied the maximum ratio of 6.25:1.00. First Lien Leverage Ratio means the ratio of amounts outstanding under the First Lien Term Loan and First Lien Revolver plus other outstanding debt obligations secured by a lien on the assets of Focus LLC (excluding letters of credit other than unpaid drawings thereunder) minus unrestricted cash and cash equivalents to Consolidated EBITDA (as defined in the Credit Facility). Consolidated EBITDA for purposes of the Credit Facility was $556,172 at March 31, 2022. Focus LLC is also subject on an annual basis to contingent principal payments based on an excess cash flow calculation (as defined in the Credit Facility) for any fiscal year if the First Lien Leverage Ratio exceeds 3.75:1.00. No contingent principal payments were required to be made in 2021. Based on the excess cash flow calculation for the year ended December 31, 2021, no contingent principal payments are required to be made in 2022. The Company defers and amortizes its debt financing costs over the respective terms and tranches of the First Lien Term Loan and First Lien Revolver. The debt financing costs related to the First Lien Term Loan are recorded as a reduction of the carrying amount of the First Lien Term Loan in the unaudited condensed consolidated balance sheets. The debt financing costs related to the First Lien Revolver are recorded in debt financing costs-net in the unaudited condensed consolidated balance sheets. The following is a reconciliation of principal amounts outstanding under the Credit Facility to borrowings under the Credit Facility recorded in the unaudited condensed consolidated balance sheets at December 31, 2021 and March 31, 2022: December 31, March 31, 2021 2022 First Lien Term Loan - Tranche A $ 1,610,928 $ 1,606,755 First Lien Term Loan - Tranche B 796,374 794,373 First Lien Revolver — 50,000 Unamortized debt financing costs (7,523) (7,096) Unamortized discount (6,110) (5,849) Total $ 2,393,669 $ 2,438,183 At December 31, 2021 and March 31, 2022, unamortized debt financing costs associated with the First Lien Revolver of $4,254 and $3,580, respectively, were recorded in debt financing costs-net in the unaudited condensed consolidated balance sheets. Weighted-average interest rates for outstanding borrowings were approximately 3% for the year ended December 31, 2021 and the three months ended March 31, 2022. As of December 31, 2021 and March 31, 2022, the First Lien Revolver available unused commitment line was $642,085 and $590,249, respectively. As of December 31, 2021 and March 31, 2022, Focus LLC was contingently obligated for letters of credit in the amount of $7,915 and $9,751, respectively, each bearing interest at an annual rate of approximately 2%.

DERIVATIVES

DERIVATIVES	3 Months Ended
DERIVATIVES	Mar. 31, 2022
DERIVATIVES
DERIVATIVES	8. DERIVATIVES At March 31, 2022, the Company has (i) a 4 year floating to fixed interest rate swap with a notional amount of $400,000 that was entered into in March 2020, the terms of which provide that the Company pays interest to the counterparty each month at a rate of 0.713% and receives interest from the counterparty each month at the 1 month USD LIBOR rate, subject to a 0% floor and (ii) two 4 year floating to fixed interest rate swap agreements with notional amounts of $250,000 and $200,000, that were entered into in April 2020, the terms of which provide that the Company pays interest to the counterparties each month at a rate of 0.537% and 0.5315%, respectively, and receives interest from the counterparties each month at the 1 month USD LIBOR rate, subject to a 0% floor. The interest rate swaps effectively fix the variable interest rate applicable to At December 31, 2021 and March 31, 2022, the fair value of the interest rate swaps was $5,810 and $29,593, respectively, which is included in prepaid expenses and other assets in the accompanying unaudited condensed consolidated balance sheets. The interest rate swaps continue to be effective hedges, and as such, the offsetting adjustment to the fair value is recorded in accumulated other comprehensive income, net of tax of $1,194 and $6,211 at December 31, 2021 and March 31, 2022, respectively.

EQUITY

EQUITY	3 Months Ended
EQUITY	Mar. 31, 2022
EQUITY
EQUITY	9. EQUITY Exchange rights Each Focus LLC common unit, together with a corresponding share of Focus Inc.’s Class B common stock, and Focus LLC incentive unit (after conversion into a number of Focus LLC common units taking into account the then-current value of the common units and such incentive unit’s aggregate hurdle amount) is exchangeable, pursuant to the terms and subject to the conditions set forth in the Operating Agreement, for one share of Focus Inc.’s Class A common stock, or, if either Focus Inc. or Focus LLC so elects, cash. In March 2022, the Company issued an aggregate of 26,956 shares of Class A common stock and retired 25,000 shares of Class B common stock and 4,250 incentive units in Focus LLC, and acquired 26,956 common units in Focus LLC, in each case as part of the regular quarterly exchanges offered to holders of units in Focus LLC. Other In February 2022, Focus LLC issued 187,795 common units and Focus Inc. issued a corresponding number of shares of Class B common stock in connection with a contingent consideration payment. Stock Options and Restricted Stock Units The following table provides information relating to the changes in the Company’s stock options during the three months ended March 31, 2022: Weighted Average Stock Exercise Options Price Outstanding—January 1, 2022 1,931,868 $ 37.47 Granted 350,048 51.73 Exercised (15,309) 27.60 Forfeited (36,079) 55.71 Outstanding—March 31, 2022 2,230,528 39.48 Vested—March 31, 2022 839,770 31.61 The Company uses the Black-Scholes option-pricing model to determine the fair value of time-based stock options. The determination of the fair value using the Black-Scholes option-pricing model is affected by the price of Focus Inc.’s Class A common stock, as well as by assumptions regarding a number of complex and subjective variables. These variables include the Company’s expected unit price volatility over the term of the stock option, expected term, risk-free interest rates and expected dividend yield. The estimated grant-date fair value of the time-based stock option grants during the three months ended March 31, 2022 were calculated based on the following weighted-average assumptions: Expected term 6.3 years Expected stock price volatility 34 % Risk-free interest rate 1.85 % Expected dividend yield — % Weighted average grant date fair value $ 19.09 The following table provides information relating to the changes in the Company’s restricted stock units during the three months ended March 31, 2022: Weighted Restricted Average Stock Grant Date Units Fair Value Outstanding—January 1, 2022 187,756 $ 47.69 Granted — — Forfeited (11,668) 47.15 Vested — — Outstanding—March 31, 2022 176,088 47.72 In connection with the IPO, the Company granted market-based stock options to purchase an aggregate of 155,000 shares of Class A common stock that would have vested on the fifth anniversary of the IPO if the 90-day VWAP within such five year period immediately following the IPO reaches at least $100. In March 2022, these stock options were modified whereby the stock options will vest in July 2024, the sixth anniversary of the pricing of the Company’s IPO, with vesting based on the highest 90-day VWAP prior to the anniversary, with 0% vesting if the highest 90-day VWAP is $80.00 or less and 100% vesting if the highest 90-day VWAP is $110.00 or more, with linear interpolation in between. The vested stock options can only be exercised in accordance with the following schedule: (i) a total of The Company recognized $1,164 and $1,992 of non-cash equity compensation expense in relation to the stock options and restricted stock units during the three months ended March 31, 2021 and 2022, respectively. Focus LLC Restricted Common Units and Focus LLC Incentive Units The following table provides information relating to the changes in Focus LLC restricted common units during the three months ended March 31, 2022: Weighted Restricted Average Common Grant Date Units Fair Value Outstanding—January 1, 2022 193,625 $ 54.70 Granted — — Forfeited — — Vested — — Outstanding—March 31, 2022 193,625 54.70 The following table provides information relating to the changes in Focus LLC incentive units during the three months ended March 31, 2022: Weighted Average Incentive Hurdle Units Price Outstanding—January 1, 2022 16,146,524 $ 26.44 Granted 60,000 43.07 Exchanged (4,250) 27.00 Forfeited — — Outstanding—March 31, 2022 16,202,274 26.51 Vested—March 31, 2022 9,817,878 20.47 The Company uses the Black-Scholes option-pricing model to determine the fair value of time-based incentive units. The determination of the fair value using the Black-Scholes option-pricing model is affected by the Company’s estimated common unit price, as well as by assumptions regarding a number of complex and subjective variables. These variables include the Company’s expected unit price volatility over the term of the incentive unit, expected term, risk-free interest rates and expected dividend yield. The estimated grant-date fair value of the time-based incentive unit grants during the three months ended March 31, 2022 was calculated based on the following weighted-average assumptions: Expected term 5.0 years Expected stock price volatility 34 % Risk-free interest rate 1.71 % Expected dividend yield — % Weighted average grant date fair value $ 14.16 Incentive units outstanding and vested at March 31, 2022 were as follows: Number Vested Incentive Hurdle Rates Outstanding Units $1.42 421 421 5.50 798 798 6.00 386 386 7.00 1,081 1,081 9.00 708,107 708,107 11.00 813,001 813,001 12.00 513,043 513,043 13.00 540,000 540,000 14.00 10,098 10,098 16.00 45,191 45,191 17.00 20,000 20,000 19.00 527,928 527,928 21.00 3,045,236 3,045,236 22.00 821,417 821,417 23.00 524,828 524,828 26.26 12,500 — 27.00 12,484 12,484 27.90 1,929,424 931,758 28.50 1,440,230 1,051,459 30.48 30,000 10,000 33.00 3,617,500 7,500 36.64 30,000 20,000 43.07 60,000 — 43.50 30,000 10,000 44.71 806,324 203,142 58.50 662,277 — 16,202,274 9,817,878 In connection with the IPO, Focus LLC granted 3,845,000 market-based incentive units with a hurdle rate of $33.00 that would have vested on the fifth anniversary of the IPO if the 90-day VWAP within such five year period immediately following the IPO reaches at least $100. In March 2022, these incentive units were modified whereby the incentive units will vest in July 2024, the sixth anniversary of the pricing of the Company’s IPO, with vesting based on the highest 90-day VWAP prior to the anniversary, with 0% vesting if the highest 90-day VWAP is $80.00 or less and 100% vesting if the highest 90-day VWAP is $110.00 or more, with linear interpolation in between. The vested incentive units can only be exchanged for Class A common stock in accordance with the following schedule: (i) a total of The Company recorded $11,192 and $4,715 of non-cash equity compensation expense for incentive units and restricted common units during the three months ended March 31, 2021 and 2022, respectively.

INCOME TAXES

INCOME TAXES	3 Months Ended
INCOME TAXES	Mar. 31, 2022
INCOME TAXES
INCOME TAXES	10. INCOME TAXES The estimated annual effective tax rate for the three months ended March 31, 2022 was 28.6% as compared to 45.1% for the year ended December 31, 2021. Income tax expense for the three months ended March 31, 2022 is primarily related to federal, state and local income taxes imposed on the Company’s allocable portion of taxable income from Focus LLC. The allocable portion of taxable income primarily differs from the net income attributable to the Company due to permanent differences such as non-deductible equity-based compensation expense of Focus LLC. During the three months ended March 31, 2022, there were no changes to the Company’s uncertain tax positions.

TAX RECEIVABLE AGREEMENTS

TAX RECEIVABLE AGREEMENTS	3 Months Ended
TAX RECEIVABLE AGREEMENTS	Mar. 31, 2022
TAX RECEIVABLE AGREEMENTS
TAX RECEIVABLE AGREEMENTS	11. TAX RECEIVABLE AGREEMENTS In connection with the IPO and the reorganization transactions that occurred in connection with the IPO, Focus Inc. entered into two tax receivable agreements: one with certain entities affiliated with the private equity investors of Focus LLC and the other with certain other continuing and former owners of Focus LLC. In March 2020, Focus Inc. entered into an additional tax receivable agreement (the three agreements, collectively, the “Tax Receivable Agreements”) for tax receivable agreement holders that join Focus LLC as members after the closing of the IPO (the parties to the Tax Receivable Agreements, collectively, the “TRA Holders”). New Focus LLC owners in the future may also become party to this additional Tax Receivable Agreement. The Tax Receivable Agreements generally provide for the payment by Focus Inc. to each TRA holder of 85% of the net cash savings, if any, in U.S. federal, state and local income and franchise tax that Focus Inc. actually realizes (computed using simplifying assumptions to address the impact of state and local taxes) or is deemed to realize in certain circumstances in connection with the reorganization transactions that occurred in connection with the IPO and in periods after the IPO or after entering into the Tax Receivable Agreements, as applicable, as a result of certain increases in tax bases and certain tax benefits attributable to imputed interest. Focus Inc. will retain the benefit of the remaining 15% of these cash savings. As of March 31, 2022, the Company had recorded a liability of $215,999 relating to the TRA obligations. Future payments under the Tax Receivable Agreements in respect of future exchanges of Focus LLC units for shares of Class A common stock will be in addition to the amount recorded. During the three months ended March 31, 2022, payments totaling $3,856 were made under the Tax Receivable Agreements.

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	3 Months Ended
COMMITMENTS AND CONTINGENCIES	Mar. 31, 2022
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES	12. COMMITMENTS AND CONTINGENCIES Credit Risk In addition, the Company has the right to pursue collection or performance from the counterparties who do not perform under their contractual obligations. The Company monitors the credit standing of the clearing brokers and counterparties with which they conduct business. The Company is exposed to credit risk for accounts receivable from clients. Such credit risk is limited to the amount of accounts receivable. The Company is also exposed to credit risk for changes in the benchmark interest rate (LIBOR, SOFR or Base Rate) in connection with its Credit Facility. The counterparties to the Company’s derivative financial instruments are major international financial institutions. The Company is exposed to credit risk for the net exchanges under these agreements, but not for the notional amounts. The Company does not anticipate non-performance by any of its counterparties. The Company maintains its cash in bank depository accounts, which, at times, may exceed federally insured limits. The Company selects depository institutions based, in part, upon management’s review of the financial stability of the institution. At December 31, 2021 and March 31, 2022, a significant portion of cash and cash equivalents were held at a single institution. Contingent Consideration Arrangements Legal and Regulatory Matters From time to time, the Company and its subsidiaries receive requests for information from governmental authorities regarding business activities. The Company has cooperated and plans to continue to cooperate with all governmental authorities. The Company continues to believe that the resolution of any governmental inquiry will not have a material impact on the Company’s consolidated financial position, results of operations or cash flows. Indemnifications Management believes that the likelihood of any material liability arising under these indemnification provisions is remote. Management cannot estimate any potential maximum exposure due to both the remoteness of any potential claims and the fact that items that would be included within any such calculated claim would be beyond the control of the Company. Consequently, no liability has been recorded in the unaudited condensed consolidated balance sheets.

CASH FLOW INFORMATION

CASH FLOW INFORMATION	3 Months Ended
CASH FLOW INFORMATION	Mar. 31, 2022
CASH FLOW INFORMATION
CASH FLOW INFORMATION	13. CASH FLOW INFORMATION Three Months Ended March 31, 2021 2022 Supplemental disclosures of cash flow information—cash paid for: Interest $ 10,267 $ 16,506 Income taxes $ 3,739 $ 10,066 Supplemental non-cash cash flow information: Fair market value of estimated contingent consideration in connection with acquisitions $ 6,187 $ —

RELATED PARTIES

RELATED PARTIES	3 Months Ended
RELATED PARTIES	Mar. 31, 2022
RELATED PARTIES
RELATED PARTIES	14. RELATED PARTIES The Company’s Chief Executive Officer, through an entity owned and controlled by him, owns a personal aircraft that was acquired without Company resources that he uses for business travel. The Company reimburses the Company’s Chief Executive Officer for certain costs and third party payments associated with the use of his personal aircraft for Company-related business travel. The Company also pays pilot fees for such business travel flights. During the three months ended March 31, 2021 and 2022, the Company recognized expenses of $603 and $1,095, respectively, related to these reimbursements. Given the geography of the Company’s partner firms and prospects, the Company believes that the use of private aircraft creates efficiencies to enhance the productivity of the Company’s Chief Executive Officer and certain other authorized personnel. At March 31, 2022, affiliates of certain holders of the Company’s Class A common stock and Class B common stock were lenders under the Credit Facility.

SUMMARY OF ACCOUNTING POLICIES

SUMMARY OF ACCOUNTING POLICIES (Policies)	3 Months Ended
SUMMARY OF ACCOUNTING POLICIES (Policies)	Mar. 31, 2022
SUMMARY OF ACCOUNTING POLICIES
Basis of Presentation	Basis of Presentation Operating results for the three months ended March 31, 2022 are not necessarily indicative of the results that may be expected for the year ending December 31, 2022.
Use of Estimates	Use of Estimates
Revenue	Revenue The Company disaggregates revenue by wealth management fees and other. The Company does not allocate revenue by the type of service provided in connection with providing holistic wealth management client services. The Company generally manages its business based on the operating results of the enterprise taken as a whole, not by geographic region. The following table disaggregates the revenues based on the location of the partner firm legal entities that generate the revenues and therefore may not be reflective of the geography in which clients are located. Three Months Ended March 31, 2021 2022 Domestic revenue $ 370,954 $ 507,311 International revenue 23,221 29,256 Total revenue $ 394,175 $ 536,567 International revenue consists of revenue generated by partner firm legal entities in Australia, Canada and the United Kingdom.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In March 2020, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) No. 2020-04, “ Facilitation of the Effects of Reference Rate Reform on Financial Reporting .” ASU No. 2020-04 provides optional expedients and exceptions for applying generally accepted accounting principles to contract modifications and hedging relationships, subject to meeting certain criteria, that reference the London InterBank Offered Rate (“LIBOR”) or another rate that is expected to be discontinued. The amendments in ASU No. 2020-04 are effective for all entities as of March 12, 2020 through December 31, 2022. The adoption of ASU No. 2020-04 did not have a material impact on the Company’s consolidated financial statements; however, the Company will continue to evaluate the impacts, if any, of the provisions of ASU No. 2020-04 on the Company’s debt and hedging arrangements through December 31, 2022.

SUMMARY OF ACCOUNTING POLICIE_2

SUMMARY OF ACCOUNTING POLICIES (Tables)	3 Months Ended
SUMMARY OF ACCOUNTING POLICIES (Tables)	Mar. 31, 2022
SUMMARY OF ACCOUNTING POLICIES
Schedule of disaggregated revenues based on the location of the partner firm	Three Months Ended March 31, 2021 2022 Domestic revenue $ 370,954 $ 507,311 International revenue 23,221 29,256 Total revenue $ 394,175 $ 536,567

NON-CONTROLLING INTEREST AND _2

NON-CONTROLLING INTEREST AND INCOME PER SHARE (Tables)	3 Months Ended
NON-CONTROLLING INTEREST AND INCOME PER SHARE (Tables)	Mar. 31, 2022
NON-CONTROLLING INTEREST AND INCOME PER SHARE
Schedule of controlling and non-controlling interest	2021 2022 Focus LLC common units 17,019,104 11,601,814 Focus LLC restricted common units 71,374 193,625 Common unit equivalents of outstanding vested and unvested Focus LLC incentive units(1) 7,006,625 6,998,055 Total common units, restricted common units and common unit equivalents attributable to non-controlling interest 24,097,103 18,793,494 Total common units, restricted common units and common unit equivalents of incentive units outstanding 79,211,945 84,155,883 Non-controlling interest allocation 30.4 % 22.3 % Company’s interest in Focus LLC 69.6 % 77.7 % (1) Focus LLC common units issuable upon conversion of 16,728,882 and 16,202,274 (see Note 9) vested and unvested Focus LLC incentive units outstanding as of March 31, 2021 and 2022, respectively, was calculated using the common unit equivalent of vested and unvested Focus LLC incentive units based on the closing price of the Company’s Class A common stock on the last trading day of the periods.
Schedule of calculation of basic income per share	Three Months Ended March 31, 2021 2022 Net income attributable to common shareholders $ 256 $ 29,102 Weighted average shares of Class A common stock outstanding 52,200,029 65,331,370 Basic income per share $ 0.00 $ 0.45
Schedule of calculation of diluted income per share	Three Months Ended March 31, 2021 2022 Net income attributable to common shareholders $ 256 $ 29,102 Weighted average shares of Class A common stock outstanding 52,200,029 65,331,370 Effect of dilutive stock options 415,041 407,059 Effect of dilutive restricted stock units 39,752 29,034 Total 52,654,822 65,767,463 Diluted income per share $ 0.00 $ 0.44

ACQUISITIONS (Tables)

ACQUISITIONS (Tables)	3 Months Ended
ACQUISITIONS (Tables)	Mar. 31, 2022
ACQUISITIONS
Schedule of intangible assets acquired	Number of years Customer relationships 5 Other acquired intangibles 5 Weighted-average useful life of all intangibles acquired 5

GOODWILL AND OTHER INTANGIBLE_2

GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	3 Months Ended
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables)	Mar. 31, 2022
GOODWILL AND OTHER INTANGIBLE ASSETS
Summary of changes in the goodwill balances	December 31, March 31, 2021 2022 Balance beginning of period: Goodwill $ 1,278,183 $ 1,947,939 Cumulative impairment losses (22,624) (22,624) 1,255,559 1,925,315 Goodwill acquired 677,195 — Other (7,439) 2,820 669,756 2,820 Balance end of period: Goodwill 1,947,939 1,950,759 Cumulative impairment losses (22,624) (22,624) $ 1,925,315 $ 1,928,135
Summary of amortizing acquired intangible assets	The following table summarizes the amortizing acquired intangible assets at December 31, 2021: Gross Carry Accumulated Net Book Amount Amortization Value Customer relationships $ 2,228,461 $ (787,016) $ 1,441,445 Management contracts 191,578 (57,153) 134,425 Other acquired intangibles 10,911 (5,062) 5,849 Total $ 2,430,950 $ (849,231) $ 1,581,719 The following table summarizes the amortizing acquired intangible assets at March 31, 2022: Gross Carry Accumulated Net Book Amount Amortization Value Customer relationships $ 2,232,141 $ (844,289) $ 1,387,852 Management contracts 191,665 (60,000) 131,665 Other acquired intangibles 10,988 (5,503) 5,485 Total $ 2,434,794 $ (909,792) $ 1,525,002

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	3 Months Ended
FAIR VALUE MEASUREMENTS (Tables)	Mar. 31, 2022
FAIR VALUE MEASUREMENTS
Schedule of implied fair value of the Company's First Lien Term Loan (as defined below)	December 31, 2021 March 31, 2022 Stated Fair Stated Fair Value Value Value Value First Lien Term Loan - Tranche A $ 1,610,928 $ 1,598,846 $ 1,606,755 $ 1,580,645 First Lien Term Loan - Tranche B 796,374 792,392 794,373 783,450
Schedule of changes in the fair value of estimated contingent consideration for business acquisitions	Balance at January 1, 2021 $ 169,670 Additions to estimated contingent consideration 212,074 Payments of contingent consideration (143,107) Non-cash changes in fair value of estimated contingent consideration 112,416 Other (1,026) Balance at December 31, 2021 $ 350,027 Additions to estimated contingent consideration — Payments of contingent consideration (43,190) Non-cash changes in fair value of estimated contingent consideration (8,985) Other 735 Balance at March 31, 2022 $ 298,587
Schedule of inputs used in the fair value measurement of estimated contingent consideration	Quantitative Information About Level 3 Fair Value Measurements Fair Value at Valuation Unobservable December 31, 2021 Techniques Inputs Ranges $ 350,027 Monte Carlo Simulation Model Forecasted growth rates 0.7% - 20.1 % Discount rates 9.0% - 15.0 % Quantitative Information About Level 3 Fair Value Measurements Fair Value at Valuation Unobservable March 31, 2022 Techniques Inputs Ranges $ 298,587 Monte Carlo Simulation Model Forecasted growth rates (9.1)% - 32.1 % Discount rates 10.0% - 17.0 %

CREDIT FACILITY (Tables)

CREDIT FACILITY (Tables)	3 Months Ended
CREDIT FACILITY (Tables)	Mar. 31, 2022
CREDIT FACILITY.
Schedule of reconciliation of principal amounts outstanding under the Credit Facility to borrowings under credit facilities recorded in the consolidated balance sheets	December 31, March 31, 2021 2022 First Lien Term Loan - Tranche A $ 1,610,928 $ 1,606,755 First Lien Term Loan - Tranche B 796,374 794,373 First Lien Revolver — 50,000 Unamortized debt financing costs (7,523) (7,096) Unamortized discount (6,110) (5,849) Total $ 2,393,669 $ 2,438,183

EQUITY (Tables)

EQUITY (Tables)	3 Months Ended
EQUITY (Tables)	Mar. 31, 2022
Stock options
Schedule of stock options granted	Weighted Average Stock Exercise Options Price Outstanding—January 1, 2022 1,931,868 $ 37.47 Granted 350,048 51.73 Exercised (15,309) 27.60 Forfeited (36,079) 55.71 Outstanding—March 31, 2022 2,230,528 39.48 Vested—March 31, 2022 839,770 31.61
Time-based stock option awards
Schedule of fair value of stock options grants determined with assumptions	Expected term 6.3 years Expected stock price volatility 34 % Risk-free interest rate 1.85 % Expected dividend yield — % Weighted average grant date fair value $ 19.09
Restricted Stock Units (RSUs)
Schedule of changes in restricted stock units	Weighted Restricted Average Stock Grant Date Units Fair Value Outstanding—January 1, 2022 187,756 $ 47.69 Granted — — Forfeited (11,668) 47.15 Vested — — Outstanding—March 31, 2022 176,088 47.72
Focus LLC Restricted Common Units
Schedule of changes in restricted stock units	Weighted Restricted Average Common Grant Date Units Fair Value Outstanding—January 1, 2022 193,625 $ 54.70 Granted — — Forfeited — — Vested — — Outstanding—March 31, 2022 193,625 54.70
Incentive Units
Schedule of incentive units granted	Weighted Average Incentive Hurdle Units Price Outstanding—January 1, 2022 16,146,524 $ 26.44 Granted 60,000 43.07 Exchanged (4,250) 27.00 Forfeited — — Outstanding—March 31, 2022 16,202,274 26.51 Vested—March 31, 2022 9,817,878 20.47
Schedule of incentive units outstanding and vested by hurdle rates	Number Vested Incentive Hurdle Rates Outstanding Units $1.42 421 421 5.50 798 798 6.00 386 386 7.00 1,081 1,081 9.00 708,107 708,107 11.00 813,001 813,001 12.00 513,043 513,043 13.00 540,000 540,000 14.00 10,098 10,098 16.00 45,191 45,191 17.00 20,000 20,000 19.00 527,928 527,928 21.00 3,045,236 3,045,236 22.00 821,417 821,417 23.00 524,828 524,828 26.26 12,500 — 27.00 12,484 12,484 27.90 1,929,424 931,758 28.50 1,440,230 1,051,459 30.48 30,000 10,000 33.00 3,617,500 7,500 36.64 30,000 20,000 43.07 60,000 — 43.50 30,000 10,000 44.71 806,324 203,142 58.50 662,277 — 16,202,274 9,817,878
Time based incentive units
Schedule of fair value of stock options grants determined with assumptions	Expected term 5.0 years Expected stock price volatility 34 % Risk-free interest rate 1.71 % Expected dividend yield — % Weighted average grant date fair value $ 14.16

CASH FLOW INFORMATION (Tables)

CASH FLOW INFORMATION (Tables)	3 Months Ended
CASH FLOW INFORMATION (Tables)	Mar. 31, 2022
CASH FLOW INFORMATION
Schedule of supplemental cash flow information	Three Months Ended March 31, 2021 2022 Supplemental disclosures of cash flow information—cash paid for: Interest $ 10,267 $ 16,506 Income taxes $ 3,739 $ 10,066 Supplemental non-cash cash flow information: Fair market value of estimated contingent consideration in connection with acquisitions $ 6,187 $ —

SUMMARY OF ACCOUNTING POLICIE_3

SUMMARY OF ACCOUNTING POLICIES - Revenue (Details) - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Revenue Recognition
Total revenues	$ 536,567	$ 394,175
Domestic
Revenue Recognition
Total revenues	507,311	370,954
International
Revenue Recognition
Total revenues	$ 29,256	$ 23,221

NON-CONTROLLING INTEREST AND _3

NON-CONTROLLING INTEREST AND INCOME PER SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2021
Basic income per share:
Net income attributable to common shareholders	$ 29,102	$ 256
Diluted income per share:
Net income attributable to common shareholders	29,102	256
Class A common stock
Basic income per share:
Net income attributable to common shareholders	$ 29,102	$ 256
Weighted average shares of Class A common stock outstanding	65,331,370	52,200,029
Basic income per share	$ 0.45	$ 0
Diluted income per share:
Net income attributable to common shareholders	$ 29,102	$ 256
Weighted average shares of Class A common stock outstanding	65,331,370	52,200,029
Effect of dilutive stock options	407,059	415,041
Effect of dilutive restricted stock units	29,034	39,752
Total	65,767,463	52,654,822
Diluted income per share	$ 0.44	$ 0
Market based stock options
Diluted income per share:
Antidilutive shares	155,000	155,000
Market based stock options \| IPO
Diluted income per share:
Threshold period	90 days	90 days
Highest 90-day VWAP is $80.00 or less \| Market based stock options \| IPO
Diluted income per share:
Threshold period	90 days	90 days
Threshold volume weighted average per share price trigger	$ 80	$ 80
Vesting percentage	0.00%	0.00%
Highest 90-day VWAP is $110.00 or more \| Market based stock options \| IPO
Diluted income per share:
Threshold period	90 days	90 days
Threshold volume weighted average per share price trigger	$ 110	$ 110
Vesting percentage	100.00%	100.00%
Focus LLC
NON-CONTROLLING INTEREST AND INCOME PER SHARE
Focus LLC common units	11,601,814	17,019,104
Focus LLC restricted common units	193,625	71,374
Common unit equivalents of outstanding vested and unvested Focus LLC incentive units	6,998,055	7,006,625
Total common units, restricted common units and common unit equivalents attributable to non-controlling interest	18,793,494	24,097,103
Total common units, restricted common units and common unit equivalents of incentive units outstanding	84,155,883	79,211,945
Non-controlling interest allocation	22.30%	30.40%
Company's interest in Focus LLC	77.70%	69.60%
Convertible incentive units	16,202,274	16,728,882

ACQUISITIONS - Asset Acquisitio

ACQUISITIONS - Asset Acquisitions (Details) - Asset acquisitions $ in Thousands	3 Months Ended
	Mar. 31, 2022USD ($)
Asset Acquisitions
Total purchase consideration in cash	$ 875
Weighted-average useful life of all intangibles acquired	5 years
Customer relationships
Asset Acquisitions
Weighted-average useful life of all intangibles acquired	5 years
Other acquired intangibles
Asset Acquisitions
Weighted-average useful life of all intangibles acquired	5 years

ACQUISITIONS - Business Acquisi

ACQUISITIONS - Business Acquisitions (Details) - Business acquisitions - Subsequent Events $ in Thousands	1 Months Ended
	May 05, 2022USD ($)itemshares
ACQUISITIONS
Number of business acquisitions closed \| item	4
Purchase consideration for asset acquisitions \| $	$ 263,188
Class B common stock
ACQUISITIONS
Number of shares issued \| shares	512,290

GOODWILL AND OTHER INTANGIBLE_3

GOODWILL AND OTHER INTANGIBLE ASSETS - Change in goodwill (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Change in the goodwill
Goodwill, gross, beginning of period	$ 1,947,939	$ 1,278,183
Cumulative impairment losses beginning of period	(22,624)	(22,624)
Goodwill, net, beginning of period	1,925,315	1,255,559
Goodwill acquired		677,195
Other	2,820	(7,439)
Goodwill period increase	2,820	669,756
Goodwill, gross, end of period	1,950,759	1,947,939
Cumulative impairment losses, end of period	(22,624)	(22,624)
Goodwill, net, end of period	$ 1,928,135	$ 1,925,315

GOODWILL AND OTHER INTANGIBLE_4

GOODWILL AND OTHER INTANGIBLE ASSETS - Intangible assets (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Amortizing acquired intangible assets
Gross Carry Amount	$ 2,434,794	$ 2,430,950
Accumulated Amortization	(909,792)	(849,231)
Net Book Value	1,525,002	1,581,719
Customer relationships
Amortizing acquired intangible assets
Gross Carry Amount	2,232,141	2,228,461
Accumulated Amortization	(844,289)	(787,016)
Net Book Value	1,387,852	1,441,445
Management contracts
Amortizing acquired intangible assets
Gross Carry Amount	191,665	191,578
Accumulated Amortization	(60,000)	(57,153)
Net Book Value	131,665	134,425
Other acquired intangibles
Amortizing acquired intangible assets
Gross Carry Amount	10,988	10,911
Accumulated Amortization	(5,503)	(5,062)
Net Book Value	$ 5,485	$ 5,849

FAIR VALUE MEASUREMENTS - Marke

FAIR VALUE MEASUREMENTS - Marketable securities (Details) $ in Thousands	Mar. 31, 2022USD ($)
Level 1
Marketable securities
Investments in mutual fund	$ 16,724

FAIR VALUE MEASUREMENTS - First

FAIR VALUE MEASUREMENTS - First Lien Term Loan (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Implied fair value based on level 2 inputs
Stated Value	$ 2,438,183	$ 2,393,669
First Lien Term Loan Tranche A
Implied fair value based on level 2 inputs
Stated Value	1,606,755	1,610,928
First Lien Term Loan Tranche A \| Level 2
Implied fair value based on level 2 inputs
Fair Value	1,580,645	1,598,846
First Lien Term Loan Tranche B
Implied fair value based on level 2 inputs
Stated Value	794,373	796,374
First Lien Term Loan Tranche B \| Level 2
Implied fair value based on level 2 inputs
Fair Value	$ 783,450	$ 792,392

FAIR VALUE MEASUREMENTS - Chang

FAIR VALUE MEASUREMENTS - Changes in the fair value (Details) - USD ($) $ in Thousands	3 Months Ended		12 Months Ended
	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Changes in the fair value of estimated contingent consideration for business acquisitions
Balance at beginning of period	$ 350,027	$ 169,670	$ 169,670
Additions to estimated contingent consideration			212,074
Payments of contingent consideration	(43,190)		(143,107)
Non-cash changes in fair value of estimated contingent consideration	(8,985)		112,416
Other	735		(1,026)
Balance at end of period	298,587		350,027
Interest rate swap
Changes in the fair value of estimated contingent consideration for business acquisitions
Notional amount	400,000
Asset acquisitions
Changes in the fair value of estimated contingent consideration for business acquisitions
Contingent consideration paid in cash	728	$ 591
Business acquisitions
Changes in the fair value of estimated contingent consideration for business acquisitions
Contingent consideration paid in cash	33,492		131,827
Contingent consideration issued of restricted common units	9,698		11,280
Contingent consideration and other liabilities
Changes in the fair value of estimated contingent consideration for business acquisitions
Amounts due to sellers	113,987		114,156
Prepaid expenses and other assets \| Interest rate swap
Changes in the fair value of estimated contingent consideration for business acquisitions
Notional amount	850,000		850,000
Fair value of interest rate swap	$ 29,593		$ 5,810

FAIR VALUE MEASUREMENTS - Conti

FAIR VALUE MEASUREMENTS - Contingent consideration fair value inputs (Details) - Level 3 $ in Thousands	Mar. 31, 2022USD ($)	Dec. 31, 2021USD ($)
Inputs used in the fair value measurement of estimated contingent consideration
Estimated contingent consideration	$ 298,587	$ 350,027
Valuation Technique, Forecasted Growth Rates \| Minimum
Inputs used in the fair value measurement of estimated contingent consideration
Measurement input	(9.1)	0.7
Valuation Technique, Forecasted Growth Rates \| Maximum
Inputs used in the fair value measurement of estimated contingent consideration
Measurement input	32.1	20.1
Valuation Technique, Discount Rates \| Minimum
Inputs used in the fair value measurement of estimated contingent consideration
Measurement input	10	9
Valuation Technique, Discount Rates \| Maximum
Inputs used in the fair value measurement of estimated contingent consideration
Measurement input	17	15

CREDIT FACILITY - Old and New C

CREDIT FACILITY - Old and New Credit Facility (Details) - USD ($) $ in Thousands	1 Months Ended	3 Months Ended		12 Months Ended
	Apr. 30, 2022	Mar. 31, 2022	Mar. 31, 2021	Dec. 31, 2021
Credit Facility
Face amount of debt		$ 2,451,128		$ 2,407,302
Debt issuance costs			$ 2,700
Contingent Principal Payments				$ 0
Contingent principal payments due in current year		$ 0
Credit Facility
Credit Facility
Actual total secured leverage ratio		3.84
Consolidated EBITDA		$ 556,172
Secured leverage ratio threshold for contingent principal payments		3.75
Credit Facility \| Maximum
Credit Facility
Actual total secured leverage ratio		6.25
First Lien Term Loan
Credit Facility
Face amount of debt		$ 2,401,128
First Lien Term Loan Tranche A
Credit Facility
Repayments installments		$ 4,173
First Lien Term Loan Tranche A \| LIBOR
Credit Facility
Margin (as a percent)		2.00%
First Lien Term Loan Tranche A \| Base rate
Credit Facility
Margin (as a percent)		1.00%
First Lien Term Loan Tranche B
Credit Facility
Repayments installments		$ 2,001
First Lien Term Loan Tranche B \| LIBOR
Credit Facility
Margin (as a percent)		2.50%
First Lien Term Loan Tranche B \| Base rate
Credit Facility
Margin (as a percent)		1.50%
First Lien Term Loan Tranche B \| LIBOR Floor
Credit Facility
Margin (as a percent)		0.50%
First Lien Revolver
Credit Facility
Accordion feature		$ 650,000
Debt issuance costs	$ 975
Maximum borrowing capacity	$ 30,000
Unused commitment fee (as a percent)	0.50%
First Lien Revolver \| LIBOR
Credit Facility
Margin (as a percent)	2.00%
First Lien Revolver \| Base rate
Credit Facility
Margin (as a percent)	1.00%
First Lien Revolver Step Down One
Credit Facility
Unused commitment fee (as a percent)	0.375%
First Lien Revolver Step Down One \| LIBOR
Credit Facility
Margin (as a percent)	1.75%
First Lien Revolver Step Down One \| Base rate
Credit Facility
Margin (as a percent)	0.75%
First Lien Revolver Step Down Two
Credit Facility
Unused commitment fee (as a percent)	0.25%
First Lien Revolver Step Down Two \| LIBOR
Credit Facility
Margin (as a percent)	1.50%
First Lien Revolver Step Down Two \| Base rate
Credit Facility
Margin (as a percent)	0.50%
First Lien Revolver Step Down Three \| LIBOR
Credit Facility
Margin (as a percent)	1.25%
First Lien Revolver Step Down Three \| Base rate
Credit Facility
Margin (as a percent)	0.25%

CREDIT FACILITY - Reconciliatio

CREDIT FACILITY - Reconciliation of Principal Amounts Outstanding (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
Credit Facility
Unamortized debt financing costs	$ (7,096)	$ (7,523)
Unamortized discount	(5,849)	(6,110)
Amount outstanding under credit facility	2,438,183	2,393,669
First Lien Term Loan Tranche A
Credit Facility
Amount outstanding under credit facility	1,606,755	1,610,928
First Lien Term Loan Tranche B
Credit Facility
Amount outstanding under credit facility	794,373	$ 796,374
First Lien Revolver
Credit Facility
Amount outstanding under credit facility	$ 50,000

CREDIT FACILITY - First Lien Re

CREDIT FACILITY - First Lien Revolver and Letters of Credit (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
Credit Facility
Weighted average interest rate	3.00%	3.00%
Deferred financing costs	$ 3,580	$ 4,254
First Lien Revolver
Credit Facility
Deferred financing costs	3,580	4,254
Unused commitment line	590,249	642,085
Standby Letters of Credit
Credit Facility
Letter of credit outstanding	$ 9,751	$ 7,915
Annual interest rate	2.00%	2.00%

DERIVATIVES (Details)

DERIVATIVES (Details) $ in Thousands	1 Months Ended	3 Months Ended
DERIVATIVES (Details) $ in Thousands	Apr. 30, 2020USD ($)agreement	Mar. 31, 2022USD ($)	Dec. 31, 2021USD ($)
Interest rate swap
Derivatives
Number of interest rate swap agreements \| agreement	2
Term of contract	4 years	4 years
Notional amount		$ 400,000
Interest payable to counterparty (as a percent)		0.713%
Floating to fixed interest rate swap one
Derivatives
Notional amount	$ 250,000
Interest payable to counterparty (as a percent)	0.537%
Floating to fixed interest rate swap two
Derivatives
Notional amount	$ 200,000
Interest payable to counterparty (as a percent)	0.5315%
Prepaid expenses and other assets \| Interest rate swap
Derivatives
Notional amount		$ 850,000	$ 850,000
Fair value of interest rate swap		29,593	5,810
Offsetting adjustment to fair value in accumulated other comprehensive income (loss), net of tax		$ 6,211	$ 1,194
LIBOR \| Interest rate swap
Derivatives
Interest received from counterparty (as a percent)	0.00%
Interest rate floor (as a percent)		0.00%
First Lien Term Loan \| Interest rate swap
Derivatives
Outstanding debt	$ 850,000

EQUITY (Details)

EQUITY (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended		3 Months Ended
	Mar. 31, 2022	Feb. 28, 2022	Mar. 31, 2022	Mar. 31, 2021
EQUITY
Net proceeds of deducting underwriting discounts				$ 12,119
Class A common stock
EQUITY
Issuance of common stock (in shares)	26,956
Class B common stock
EQUITY
Common stock retired (in shares)	25,000
Issuance of units in connection with an acquisition and contingent consideration (in shares)		187,795
Incentive Units
Changes in unvested common stock, Grant Date Fair Value
Non-cash equity compensation expense			$ 4,715	11,192
Focus LLC
EQUITY
Incentive units retired (in shares)	4,250
Common units acquired (in shares)	26,956
Stock options \| Class A common stock
Changes in unvested common stock, Grant Date Fair Value
Non-cash equity compensation expense			$ 1,992	$ 1,164
Time-based stock option awards
Changes in unvested common stock, Grant Date Fair Value
Granted			$ 19.09
Market condition-based awards
EQUITY
Vesting period			5 years
Threshold period			90 days
Threshold volume weighted average per share price trigger			$ 100
Market condition-based awards \| Exercised on and following the first anniversary of the date of vesting in July 2025
EQUITY
Vested stock options exercised (in percent)	25.00%
Cumulative vested stock options exercised (in percent)	50.00%
Market condition-based awards \| IPO
EQUITY
Threshold period	90 days
Incremental Non-cash equity compensation expense recognized	$ 518		$ 518
Market condition-based awards \| IPO \| Highest 90-day VWAP is $80.00 or less
EQUITY
Vesting percentage	0.00%
Threshold period	90 days
Threshold volume weighted average per share price trigger	$ 80
Market condition-based awards \| IPO \| Highest 90-day VWAP is $110.00 or more
EQUITY
Vesting percentage	100.00%
Threshold period	90 days
Threshold volume weighted average per share price trigger	$ 110
Market condition-based awards \| IPO \| Exercised on and following the date of vesting
EQUITY
Vested stock options exercised (in percent)	25.00%
Market condition-based awards \| IPO \| Exercised on and following the second anniversary of the date of vesting in July 2026
EQUITY
Vested stock options exercised (in percent)	50.00%
Cumulative vested stock options exercised (in percent)	100.00%
Market condition-based awards \| Class A common stock
EQUITY
Granted			155,000
Changes in stock options
Granted			155,000
Changes in unvested common stock
Granted			155,000
Restricted Stock Units (RSUs)
Changes in unvested common stock
Outstanding at the beginning of the period			187,756
Forfeited			(11,668)
Outstanding at the end of the period	176,088		176,088
Changes in unvested common stock, Grant Date Fair Value
Outstanding at the beginning of the period			$ 47.69
Forfeited			47.15
Outstanding at the end of the period	$ 47.72		$ 47.72
Common Stock \| Class B common stock
EQUITY
Issuance of units in connection with an acquisition and contingent consideration (in shares)			187,795
Common Stock \| Stock options
EQUITY
Granted			350,048
Changes in stock options
Outstanding at the beginning of the period			1,931,868
Granted			350,048
Exercised			(15,309)
Forfeited			(36,079)
Vested			839,770
Outstanding at the end of the period	2,230,528		2,230,528
Changes in stock option, Weighted Average Exercise Price
Outstanding at the beginning of the period			$ 37.47
Granted			51.73
Exercised			27.60
Forfeited			55.71
Outstanding at the end of the period	$ 39.48		39.48
Vested			$ 31.61
Changes in unvested common stock
Granted			350,048
Vested			(839,770)
Changes in unvested common stock, Grant Date Fair Value
Vested			$ 31.61

EQUITY - Focus LLC Restricted C

EQUITY - Focus LLC Restricted Common Units and Focus LLC Incentive Units - Hurdle Rates (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	3 Months Ended
	Mar. 31, 2022	Mar. 31, 2022	Mar. 31, 2021
Focus LLC Restricted Common Units
Restricted Common Units
Outstanding at the beginning of the period		193,625
Outstanding at the end of the period	193,625	193,625
Weighted Average Grant Date Fair Value
Outstanding at the beginning of the period		$ 54.70
Outstanding at the end of the period	$ 54.70	$ 54.70
Focus LLC Incentive Units
Incentive Units
Outstanding at the beginning of the period		16,146,524
Granted		60,000
Exchanged		(4,250)
Outstanding at the end of the period	16,202,274	16,202,274
Vested at the end of the period		9,817,878
Weighted Average Hurdle Price
Outstanding at the beginning of the period		$ 26.44
Granted		43.07
Exchanged		27
Outstanding at the end of the period	$ 26.51	26.51
Vested at the end of the period	$ 20.47	$ 20.47
Restricted Stock Units (RSUs)
Restricted Common Units
Outstanding at the beginning of the period		187,756
Forfeited		(11,668)
Outstanding at the end of the period	176,088	176,088
Weighted Average Grant Date Fair Value
Outstanding at the beginning of the period		$ 47.69
Forfeited		47.15
Outstanding at the end of the period	$ 47.72	$ 47.72
Market-Based Incentive Units
Incentive Units
Granted		3,845,000
Fair value of the stock option grants determined with assumptions
Vesting period		5 years
Threshold period		90 days
Threshold volume weighted average per share price trigger		$ 100
Hurdle Rate		$ 33
Incentive Units
Incentive Units
Outstanding at the end of the period	16,202,274	16,202,274
Vested at the end of the period		9,817,878
Fair value of the stock option grants determined with assumptions
Non-cash equity compensation expense		$ 4,715	$ 11,192
Incentive Units \| Hurdle Rate $1.42
Incentive Units
Outstanding at the end of the period	421	421
Vested at the end of the period		421
Weighted Average Hurdle Price
Hurdle Rates		$ 1.42
Incentive Units \| Hurdle Rate 5.50
Incentive Units
Outstanding at the end of the period	798	798
Vested at the end of the period		798
Weighted Average Hurdle Price
Hurdle Rates		$ 5.50
Incentive Units \| Hurdle Rate 6.00
Incentive Units
Outstanding at the end of the period	386	386
Vested at the end of the period		386
Weighted Average Hurdle Price
Hurdle Rates		$ 6
Incentive Units \| Hurdle Rate 7.00
Incentive Units
Outstanding at the end of the period	1,081	1,081
Vested at the end of the period		1,081
Weighted Average Hurdle Price
Hurdle Rates		$ 7
Incentive Units \| Hurdle Rate 9.00
Incentive Units
Outstanding at the end of the period	708,107	708,107
Vested at the end of the period		708,107
Weighted Average Hurdle Price
Hurdle Rates		$ 9
Incentive Units \| Hurdle Rate 11.00
Incentive Units
Outstanding at the end of the period	813,001	813,001
Vested at the end of the period		813,001
Weighted Average Hurdle Price
Hurdle Rates		$ 11
Incentive Units \| Hurdle Rate 12.00
Incentive Units
Outstanding at the end of the period	513,043	513,043
Vested at the end of the period		513,043
Weighted Average Hurdle Price
Hurdle Rates		$ 12
Incentive Units \| Hurdle Rate 13.00
Incentive Units
Outstanding at the end of the period	540,000	540,000
Vested at the end of the period		540,000
Weighted Average Hurdle Price
Hurdle Rates		$ 13
Incentive Units \| Hurdle Rate 14.00
Incentive Units
Outstanding at the end of the period	10,098	10,098
Vested at the end of the period		10,098
Weighted Average Hurdle Price
Hurdle Rates		$ 14
Incentive Units \| Hurdle Rate 16.00
Incentive Units
Outstanding at the end of the period	45,191	45,191
Vested at the end of the period		45,191
Weighted Average Hurdle Price
Hurdle Rates		$ 16
Incentive Units \| Hurdle Rate 17.00
Incentive Units
Outstanding at the end of the period	20,000	20,000
Vested at the end of the period		20,000
Weighted Average Hurdle Price
Hurdle Rates		$ 17
Incentive Units \| Hurdle Rate 19.00
Incentive Units
Outstanding at the end of the period	527,928	527,928
Vested at the end of the period		527,928
Weighted Average Hurdle Price
Hurdle Rates		$ 19
Incentive Units \| Hurdle Rate 21.00
Incentive Units
Outstanding at the end of the period	3,045,236	3,045,236
Vested at the end of the period		3,045,236
Weighted Average Hurdle Price
Hurdle Rates		$ 21
Incentive Units \| Hurdle Rate 22.00
Incentive Units
Outstanding at the end of the period	821,417	821,417
Vested at the end of the period		821,417
Weighted Average Hurdle Price
Hurdle Rates		$ 22
Incentive Units \| Hurdle Rate 23.00
Incentive Units
Outstanding at the end of the period	524,828	524,828
Vested at the end of the period		524,828
Weighted Average Hurdle Price
Hurdle Rates		$ 23
Incentive Units \| Hurdle Rate 26.26
Incentive Units
Outstanding at the end of the period	12,500	12,500
Weighted Average Hurdle Price
Hurdle Rates		$ 26.26
Incentive Units \| Hurdle Rate 27.00
Incentive Units
Outstanding at the end of the period	12,484	12,484
Vested at the end of the period		12,484
Weighted Average Hurdle Price
Hurdle Rates		$ 27
Incentive Units \| Hurdle Rate 27.90
Incentive Units
Outstanding at the end of the period	1,929,424	1,929,424
Vested at the end of the period		931,758
Weighted Average Hurdle Price
Hurdle Rates		$ 27.90
Incentive Units \| Hurdle Rate 28.50
Incentive Units
Outstanding at the end of the period	1,440,230	1,440,230
Vested at the end of the period		1,051,459
Weighted Average Hurdle Price
Hurdle Rates		$ 28.50
Incentive Units \| Hurdle Rate 30.48
Incentive Units
Outstanding at the end of the period	30,000	30,000
Vested at the end of the period		10,000
Weighted Average Hurdle Price
Hurdle Rates		$ 30.48
Incentive Units \| Hurdle Rate 33.00
Incentive Units
Outstanding at the end of the period	3,617,500	3,617,500
Vested at the end of the period		7,500
Weighted Average Hurdle Price
Hurdle Rates		$ 33
Incentive Units \| Hurdle Rate 36.64
Incentive Units
Outstanding at the end of the period	30,000	30,000
Vested at the end of the period		20,000
Weighted Average Hurdle Price
Hurdle Rates		$ 36.64
Incentive Units \| Hurdle Rate 43.07
Incentive Units
Outstanding at the end of the period	60,000	60,000
Weighted Average Hurdle Price
Hurdle Rates		$ 43.07
Incentive Units \| Hurdle Rate 43.50
Incentive Units
Outstanding at the end of the period	30,000	30,000
Vested at the end of the period		10,000
Weighted Average Hurdle Price
Hurdle Rates		$ 43.50
Incentive Units \| Hurdle Rate 44.71
Incentive Units
Outstanding at the end of the period	806,324	806,324
Vested at the end of the period		203,142
Weighted Average Hurdle Price
Hurdle Rates		$ 44.71
Incentive Units \| Hurdle Rate 58.50
Incentive Units
Outstanding at the end of the period	662,277	662,277
Weighted Average Hurdle Price
Hurdle Rates		$ 58.50
Time based incentive units
Weighted Average Grant Date Fair Value
Granted		$ 14.16
Fair value of the stock option grants determined with assumptions
Expected term (in years)		5 years
Expected stock price volatility (in percent)		34.00%
Risk-free interest rate (in percent)		1.71%
Weighted average grant date fair value		$ 14.16
Time-based stock option awards
Weighted Average Grant Date Fair Value
Granted		$ 19.09
Fair value of the stock option grants determined with assumptions
Expected term (in years)		6 years 3 months 18 days
Expected stock price volatility (in percent)		34.00%
Risk-free interest rate (in percent)		1.85%
Weighted average grant date fair value		$ 19.09
IPO \| Market-Based Incentive Units
Fair value of the stock option grants determined with assumptions
Incremental Non-cash equity compensation expense recognized	$ 10,144	$ 10,144
Threshold period	90 days
Highest 90-day VWAP is $80.00 or less \| IPO \| Market-Based Incentive Units
Fair value of the stock option grants determined with assumptions
Vesting percentage	0.00%
Threshold period	90 days
Threshold volume weighted average per share price trigger	$ 80
Highest 90-day VWAP is $110.00 or more \| IPO \| Market-Based Incentive Units
Fair value of the stock option grants determined with assumptions
Vesting percentage	100.00%
Threshold period	90 days
Threshold volume weighted average per share price trigger	$ 110
Exercised on and following the date of vesting \| IPO \| Market-Based Incentive Units
Fair value of the stock option grants determined with assumptions
Vested stock options exercised (in percent)	25.00%
Exercised on and following the first anniversary of the date of vesting in July 2025 \| IPO \| Market-Based Incentive Units
Fair value of the stock option grants determined with assumptions
Vested stock options exercised (in percent)	25.00%
Cumulative vested stock options exercised (in percent)	50.00%
Exercised on and following the second anniversary of the date of vesting in July 2026 \| IPO \| Market-Based Incentive Units
Fair value of the stock option grants determined with assumptions
Vested stock options exercised (in percent)	50.00%
Cumulative vested stock options exercised (in percent)	100.00%

INCOME TAXES (Details)

INCOME TAXES (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
INCOME TAXES (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Dec. 31, 2021
INCOME TAXES
Effective income tax rate (as a percent)	28.60%	45.10%
Uncertain tax positions reserve	$ 0

TAX RECEIVABLE AGREEMENTS (Deta

TAX RECEIVABLE AGREEMENTS (Details) $ in Thousands	3 Months Ended
TAX RECEIVABLE AGREEMENTS (Details) $ in Thousands	Mar. 31, 2022USD ($)	Mar. 31, 2020agreement	Jul. 31, 2018agreement
TAX RECEIVABLE AGREEMENTS
Number of tax receivable agreements \| agreement		3	2
Payment to TRA holder on net cash savings (as a percent)	85.00%
Retained benefit on net cash savings (as a percent)	15.00%
Tax Receivable Agreement obligations	$ 215,999
Payments made under Tax Receivable Agreements	$ 3,856

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands	3 Months Ended	12 Months Ended
	Mar. 31, 2022	Dec. 31, 2021
COMMITMENTS AND CONTINGENCIES
Liabilities, clearing brokers	$ 0	$ 0
Client assets in a private fund		$ 27,000

CASH FLOW INFORMATION (Details)

CASH FLOW INFORMATION (Details) - USD ($) $ in Thousands	3 Months Ended
CASH FLOW INFORMATION (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Mar. 31, 2021
Supplemental disclosures of cash flow information-cash paid for:
Interest	$ 16,506	$ 10,267
Income taxes	$ 10,066	3,739
Supplemental non-cash cash flow information:
Fair market value of estimated contingent consideration in connection with acquisitions		$ 6,187

RELATED PARTIES (Details)

RELATED PARTIES (Details) - USD ($) $ in Thousands	3 Months Ended
RELATED PARTIES (Details) - USD ($) $ in Thousands	Mar. 31, 2022	Mar. 31, 2021
Chief Executive Officer
Expenses recognized	$ 1,095	$ 603