The Hidden Cost of NIGOs and How to Fix Them

In the financial services industry, efficiency and accuracy aren’t just operational preferences—they’re essential for compliance, profitability, and client satisfaction. Yet, one silent saboteur continues to plague broker-dealers, registered investment advisors (RIAs), and financial advisors alike: NIGOs—or Not in Good Order business submissions (new business and maintenance).

If your firm is still struggling with frequent NIGOs, you’re not alone—but you are paying for it. In this post, we’ll explore the true cost of NIGOs, why they persist, and how digital solutions like Forms Logic’s Navigator platform can help you eliminate them for good.

What Are NIGOs?

A NIGO, or “Not in Good Order” document, refers to any form or piece of paperwork that is submitted with errors, omissions, or missing information that makes it unusable or non-compliant. These can include:

• Missing client signatures
• Incomplete fields
• Mismatched data across forms
• Outdated disclosures
• Illegible handwriting (yes, paper forms are still in use!)

Each time a form is rejected due to a NIGO error, the firm must re-engage the client, correct the issue, and reprocess the form—creating delays, operational friction, and reputational damage.

The True Cost of NIGOs

The impact of NIGOs goes well beyond minor inconveniences. Here’s what they’re really costing your firm:

1. Financial Loss:

   Every NIGO costs time and money. Reprocessing forms, chasing down signatures, and resubmitting documents consumes advisor and staff time that could be better spent on revenue-generating activities.
   Industry estimates suggest that firms can lose hundreds of dollars per NIGO, especially when it results in delayed account openings or missed investment opportunities.

2. Delayed Onboarding and Revenue:

   Each day a client’s paperwork sits in limbo due to a NIGO, your firm is potentially losing money. Whether it’s a new account or a product switch, NIGOs delay asset transfers, commission payments, and the advisor’s ability to serve the client.

3. Advisor Frustration and Attrition:

   Nothing is more frustrating to a financial advisor than losing face with a client due to back-office errors. When NIGOs become habitual, they can erode advisor trust and loyalty—leading to higher attrition and more expensive recruiting cycles.

4. Compliance Risk:

   NIGOs aren’t just an operational problem—they’re also a compliance red flag. Forms submitted with errors or incomplete disclosures can lead to audit issues, regulatory scrutiny, or worse: fines.

Why NIGOs Happen

If your firm is dealing with frequent NIGOs, it’s worth understanding where the problem originates. Common root causes include:

• Manual Data Entry:

  Re-entering the same client information across multiple systems or forms increases the chance of error.

• Lack of Standardization:

  Inconsistent forms and processes across product lines or custodians lead to confusion and mistakes.

• Legacy Systems:

  Paper-based workflows and fragmented technology stacks can’t keep up with modern compliance and client expectations.

• Insufficient Checks:

  Without built-in logic, advisors can easily miss required fields or submit outdated documents.

How to Fix NIGOs

The best way to reduce and eventually eliminate NIGOs is by adopting a digital processing platform with built-in compliance logic and automation. Enter: Navigator from Forms Logic.

Navigator is a cloud-based, end-to-end workflow automation solution built specifically for broker-dealers and RIAs. Here’s how it helps fix the NIGO problem:

• Single Data Entry:

  Advisor inputs client data once, and Navigator intelligently maps it across all required forms—whether it’s brokerage, annuities, alternatives, or insurance.

• Built-In Form Logic

  The platform includes real-time form validation, ensuring required fields are completed before submission. Say goodbye to missing signatures or incomplete checkboxes.

• E-Signature Integration

  Navigator supports compliant e-signature platforms, so clients can sign documents quickly and securely, without printing or scanning.

• Automated Workflows

  With pre-defined steps for each line of business, Navigator ensures that nothing is skipped and everything is submitted in the right order, to the right party.

• Audit-Ready Compliance

  Every document processed through Navigator is stored securely with an audit trail—making compliance checks faster, easier, and more reliable.

Why Firms Choose Forms Logic

At Forms Logic, we’ve helped firms transition from paper-heavy processes to streamlined digital workflows—reducing NIGO rates by over 70 percent in many cases.

Whether you’re onboarding new clients or helping advisors transition books of business, our solutions—Navigator and Migrator—offer:

• Fast implementation (90 days or less)
• End-to-end processing for all lines of business
• Custom workflows to match firm-specific compliance needs
• Real-time support and advisor visibility

With no implementation fees and a performance-based pricing model, we make it easy for firms of all sizes to eliminate NIGOs and embrace digital transformation.

Final Thoughts

NIGOs may seem like a small nuisance, but their cumulative effect can drag down your entire business—costing money, compliance credibility, and advisor trust.

But they don’t have to.

With the right platform in place, your firm can move from reactive error correction to proactive process automation. Navigator makes that possible—allowing your advisors to focus on what really matters: serving clients and growing the business.

Ready to eliminate NIGOs for good?

Schedule a demo to see how Forms Logic can help your firm digitize workflows, reduce errors, and drive efficiency from day one.