As a plan provider, it makes sense to create an ancillary line of business if it’s a natural carryover of the existing line of business.
The big problem with an ancillary line of business is when that new line is considered as competition to a plan provider that you work with. A third-party administrator (TPA) offering financial wellness program may see itself having a problem with the financial advisor who sees that as competition. As an ERISA attorney, I also feel the need to be careful in developing programs and features so those plan providers I work with, don’t see me as competition.
As I always say, it’s bad form to go across the street and go into business against people you work with.