Ballast Financial Advisors LLC

Item 5: Fees & Compensation

Compensation for Our Advisory Services

Asset Management:

Our firm’s fees are generally a fixed fee based on the scope and complexity of the client’s situation.
Our fixed fees will neither exceed $10,000 annually nor exceed the equivalent of 1.2% of the client’s
assets under management. Fees to be assessed will be outlined in the advisory agreement to be
signed by the client. Annualized, AUM-based fees are billed on a pro-rata basis monthly in arrears
based on the value of the account(s) on the time-weighted daily average of the month. Fee-based
annuities and 401k plans will be billed quarterly in arrears based on the value of the account(s) on
the time-weighted daily average of the quarter Fees are negotiable and will be deducted from client
account(s). Adjustments will be made for deposits and withdrawals during the quarter. In rare cases,
our firm will agree to directly invoice. Further, it is important to note that our firm will assess

ADV Part 2A – Firm Brochure                    Page 6                           Ballast Financial Advisors, LLC

advisory fees on cash and cash equivalents held in client accounts. As part of this process, Clients
understand the following:

    a) The client’s independent custodian sends statements at least monthly showing the market
       values for each security included in the Assets and all account disbursements, including the
       amount of the advisory fees paid to our firm;
    b) Clients will provide authorization permitting our firm to be directly paid by these terms. Our
       firm will send an invoice directly to the custodian; and
    c) If our firm sends a copy of our invoice to the client, a legend urging the comparison of
       information provided in our statement with those from the qualified custodian will be
       included.

*Fees will typically be deducted/invoiced between the 10th and 20th of the calendar month.

The maximum annual fee charged to clients utilizing Third-Party Managers will not exceed the
maximum fee published above for this service. Our firm will debit fees for this service as disclosed in
the executed advisory agreement between the client and our firm. This fee shall be in addition to any
fees assessed by the chosen third-party money manager. The third-party money managers we
recommend will not directly charge you a higher fee than they would have charged without us
introducing you to them. Third party money managers establish and maintain their own separate
billing processes over which we have no control. They will directly bill you and describe how this
works in their separate written disclosure documents.

Wrap Asset Management:

Please see item 4 of our Part 2A Appendix 1 of Form ADV: Wrap Fee Program Brochure for
information regarding the fees and compensation for our Wrap Asset Management Services.

Financial Planning & Consulting:

Our firm charges on an hourly or flat fee basis for financial planning and consulting services. The total
estimated fee, as well as the ultimate fee charged, is based on the scope and complexity of our
engagement with the client. The maximum hourly fee to be charged will not exceed $500. Flat fees
will not exceed $10,000. The payment options are as follows: (1) An initial deposit of 50% of the
ultimate financial planning or consulting fee at the time of signing with the remainder of the fee being
directly billed to the client and due within 30 days of a financial plan being delivered or consultation
rendered; (2) Payment in full due upon execution of the Agreement; (3) Payment in full due upon
rendering of Planning or Consulting Service; or (4) Payments will be made through monthly
installments. In any case, the fee-paying arrangements will be determined on a case-by-case basis
and will be detailed in the signed consulting agreement. Our firm will not require a retainer exceeding
$1,200 when services cannot be rendered within 6 months.

Retirement Plan Consulting:

Our Retirement Plan Consulting services are billed on a flat fee basis or a fee based on the percentage
of Plan assets under management. The total estimated fee, as well as the ultimate fee charged, is based
on the scope and complexity of our engagement with the client. Flat fees will not exceed $10,000.
Fees based on a percentage of managed Plan assets will not exceed 1.00%. The fee-paying
arrangements will be determined on a case-by-case basis and will be detailed in the signed consulting
agreement.

ADV Part 2A – Firm Brochure                    Page 7                            Ballast Financial Advisors, LLC

Other Types of Fees & Expenses

Non-Wrap Clients will incur transaction fees for trades executed by their chosen custodian, via
individual transaction charges. These transaction fees are separate from our firm’s advisory fees and
will be disclosed by the chosen custodian. It is important to note that Schwab and Altruist Financial
LLC do not charge commissions on domestic equity and exchange traded fund transactions. Clients
may also pay holdings charges imposed by the chosen custodian for certain investments, charges
imposed directly by a mutual fund, index fund, or exchange traded fund, which shall be disclosed in
the fund’s prospectus (i.e., fund management fees, initial or deferred sales charges, mutual fund sales
loads, 12b-1 fees, surrender charges, variable annuity fees, IRA and qualified retirement plan fees,
and other fund expenses), mark-ups and mark-downs, spreads paid to market makers, fees for trades
executed away from custodian, wire transfer fees and other fees and taxes on brokerage accounts
and securities transactions. Our firm does not receive a portion of these fees.

Wrap clients will not incur transaction costs for trades by their chosen custodian. More information
about this can be found in our separate Wrap Fee Program Brochure.

Termination & Refunds

Either party may terminate the advisory agreement signed with our firm for Asset Management
...

Item 7: Types of Clients & Account Requirements

Our firm has the following types of clients:
   • Individuals and High Net Worth Individuals;
   • Trusts, Estates or Charitable Organizations;
   • Pension and Profit-Sharing Plans;
   • Corporations, Limited Liability Companies and/or Other Business Types

Our firm does not impose requirements for opening and maintaining accounts or otherwise engaging
us.