If there is a lot of money going in and out of businesses, investment firms are usually the front line when it comes to investing that cash. There are many financial investment firms that specialize in various investment activities, including the stock market, bonds, equity trading, and much more. You can find a Wall Street firm that can take care of all your investment needs.

Knowing the type of financial investment options you want to explore can help you choose an investment firm. The pricing and costs of investment firms will depend on many factors, some of which include:

1. How customized your service is.

2. Whether you work with online investment firms or regular firms.

3. What type of services you are looking for.

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Sign up with online investment firms to save time and money

Online investment firms can do all the same things an investment firm without an online presence can do, but you get the convenience of checking your account at any time or contacting your investment brokerage when it is convenient for you. With many online services, you can sign up for monthly and yearly membership fees of $12 to $50 a month.

I recommend: Firstrade is an online investment firm where you can manage stocks, bonds, retirement and education accounts. Investment Pioneer offers information on how to compare online investment firms to best meet your needs.

Choose investment banks that offer wide industry coverage

Many investment banks are well equipped to handle all types of mergers and acquisitions, but you also want to pay attention to which industries they work with. The wider its industry coverage, the more sustainable an investment banking firm is. Investment banking with one or more companies will vary in price, depending on their fees, but you can expect to pay 5 to 20 percent commissions on transactions, plus additional service fees.

I recommend: J.P. Morgan provides investment banking solutions for a variety of industries, including health care, natural resources and real estate. Nationwide can provide you with the questions you need to ask investment firms before you sign up.

Work with investment banking firms that offer fee-only advisory services

It might be worth your while to look into investment firms that charge an hourly rate for their services. Instead of paying a 5 percent commission on your transactions, you might pay an advisor somewhere between $100 and $200 an hour to review your investments. This is especially effective for large, complex portfolios that can benefit from careful, unbiased analysis. It can add up to significant savings on commissions over the years, and you're likely to end up with a smarter investment strategy.

I recommend: Investopedia has a great article that compares the costs and services of fee-only brokers with brokers that are compensated by commissions. Portfolio Solutions is a low-cost investment firm that spells out its fee structure. MAXadvisor is another fee-only investment brokerage that spells out its fees upfront.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Because most professionals in the investment banking business work on commissions, make sure you know the fees associated with all transactions before you begin working with any firm.

There are many breeds of investment firms, and the type that’s right for you depends on your goals. Most people in search of investment firms are looking because, well, they have money to invest. Whether you have new personal money, business funds to invest, retirement account money, or money and/or investments at another firm that you’re not happy with, the key deciding factors include these:

1) How much money are you planning invest? If you’re starting with a few thousand dollars, for example, one of the major mutual fund investment firms may be a good place. With $50k, $100k, or over $1 million, an online or full-service brokerage firm (a.k.a. investment firm), or a bank offering investment accounts, may be best.

2) Do you want personalized advice and help, either by phone or at a nearby location you can visit? Or does low-cost online access to your investments suit you best? Full-service investment firms offer personalized service and financial planning advice, while people who are comfortable managing their own investments usually opt for discount investment firms.

3) What investment choices do you want? Most investment firms offer a complete range of investment choices, from U.S. and international stocks, bonds and mutual funds, to high-risk instruments like futures and options. Others may specialize in one or more of those areas.

4) Is an investment 'management' firm (a.k.a. 'money manager') really that you’re looking for? These firms invest your money for you. You place a lump sum with them, and they decide where to put it, when to buy and when to sell — taking a fee and perhaps a cut of earnings for their services and expertise.

Here’s where to find your best investment firm fit:

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Get low costs and professional management via mutual fund firms

People with investable sums both large and small like mutual funds for their simplicity, wide range of choices, low fees and professional money management expertise.

I recommend: Dozens of highly-regarded mutual fund investment firms offer funds to fit any investment style or specialty you can think of. A few of the major fund families include Vanguard, Fidelity, T. Rowe Price and American Century. The Investment Company Institute, a membership group for mutual fund investment companies, offers excellent advice and information about investing in general, as well as details about how mutual funds work and how to select the right one for you. The Investor Education section of their website is the place to look.

Compare online investment firms

These days, with online trading prices at rock bottom, the real battle for your business among investment firms is over additional services they offer.

I recommend: Investing Online Resources Center (IORC), an independent, non-commercial investor education organization, has links to independent rankings, service comparisons and features of online investment firms from places such as Smart Money magazine and JD Power. Take IORC's quiz to find out if using an online investment firm is the right choice for you. Or see their tutorial on signing up for an online investment firm account.

Don't forget your current bank

Your bank may also offer investment firm services, saving you time and trouble of moving assets elsewhere.

I recommend: To keep your finances in one place, check out the investment firm accounts and services that may be available at your bank. Not all banks offer investment services. A few that do include majors like Citibank, Wells Fargo, Bank of America, Chase, Wachovia and others. If your investment assets reach well into 7 figures or more, you might also want to consider Private Banking services offered by most major banks. Such services include banking as well as complete investment management and related capabilities.

Save money with discount investment firms

People who manage their own accounts and make their own investment decisions can save on fees with discount brokers.

I recommend: Discount or 'premium discount' broker investment firms, including Charles Schwab, Ameritrade, Scottrade, TradeKing, FirstTrade and eTrade can all provide the online trading accounts and tools you need to buy and sell stocks with low commissions.

Get complete care with full-service investment firms

Full service firms, as their name implies, offer a complete range of investment services and choices, with everything from online account access to financial planning and proprietary investment research.

I recommend: Full service investment firms include big names like Merrill Lynch, Edward Jones, Morgan Stanley and A.G. Edwards. These firms can also hook you up with money management services as well if you want someone to invest your money for you.

Working with investment firms requires a close relationship between the investment bank and your company, so the bank can gather all the information it needs to lead you to the right investors. These investors will want to know everything about your business, including your financial history. An investment firm can be a great mediator for mergers, acquisitions and other investor services.

Choosing financial investment firms should be a careful process of research and evaluation. Some things you will have to think about before choosing a Wall Street firm to handle your investments are:

1. What types of investments investment firms specialize in.

2. Whether financial experts are accessible and ready to talk to you about investor leads.

3. How the firm can customize its investment services to meet your goals.

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Ask a broker the important questions when choosing an investment firm

Venturing in the investment banking business can be overwhelming if you are doing it for the first time. Because investment banking can involve large amounts of money, it is wise to be a little reserved until you have all the facts. The best way to find out what an investment firm can do for you is to ask a lot of relevant questions to see if the firm is the right fit.

I recommend: Inc.com is a great resource for financial information, and its "Questions to Ask a Business Broker" can help you get started. You can also check out advice on choosing investment brokerage services from Gaebler.

Know what investment bankers can do for you in an IPO

The initial public offering, or IPO, is the first step a company must take to directly sell its common shares. An IPO is only needed for a company that wants to be listed on the stock exchange. Because of the many legal and financial issues that enter into the picture, an investment banker should be involved in every step of the process.

I recommend: IPO Planning Hub is a large resource of information that outlines the process of beginning and IPO, walks through the procedures of sale, and also offers links to other resources on the topic. Renaissance Capital offers information on IPO packaging plus consulting, research and indexing services.

Hire investing firms that can handle mergers and acquisitions

Investing firms will also play a large role in companies that need to deal with mergers and acquisitions. A merger combines two or more companies into one entity. An acquisition is one company buying out another and taking over its assets. An investment firm can help you complete this complicated process.

I recommend: Bank of America has services that to advise companies through mergers and acquisitions by handling financial information and interpreting the value of the transaction. KeyBank is another banking firm that can offer you advice on mergers or acquisitions. Metrus Group provides a detailed overview of the merger and acquisition process.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Many investment banking firms carefully research ways to bring in investments to your business, but independent researcher can also be used for this process.

Investment firms cater to a wide range of investors, from individual day traders and retirees to small businesses and corporations. With their knowledgeable staff and access to detailed market data, investment firms can help investors meet their financial goals, whether they reach far into the future or exist solely in the short-term. Knowing a handful of important investment terms gives investors the best shot at beating the market and turning a profit.

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Asset allocation

To maximize profits and meet time-related goals, investment firms must carefully choose how to invest their clients' money. Asset allocation is the process of putting money into stocks, bonds and other financial instruments.

I recommend: The U.S. Securities and Exchange Commission offers a simple, thorough beginner's guide to asset allocation.

Philosophy

An investment firm's philosophy does not describe its outlook on life. Instead, it describes the general approach to investing taken by the firm's managers and financial advisers. The two classic investing philosophies are growth, which is aggressive, and value, which is more patient and concerned with the long-term.

I recommend: Read more about investment firm philosophy at Investopedia.

Diversification

A diversified portfolio is one that includes a variety of investments, such as real estate, corporate bonds, Treasury bills and stocks. Diversification is a fairly basic principle, but many investment firms go the extra mile to make sure their clients' portfolios are strong enough to withstand fluctuations in individual markets.

I recommend: To understand how investment firms manage their portfolios, investors can learn the basics of diversification at TheStreet.com.

Closed-end investment

A few investment firms put money into closed-end investments, also known as closed-end funds (CEFs). These funds raise money by selling stock at an initial public offering (IFO), after which investors can buy or sell the shares on the exchange.

I recommend: One of the biggest and longest-running closed-end funds is the Adams Express Company. Its website has a detailed FAQ about the company and provides general information on CEFs.

Simplified employee pension plan

A simplified employee pension (SEP) is similar to a traditional pension plan, but it is generally easier to use and has lower visibility with the Internal Revenue Service (IRS). Many investment firms offer SEPs to small businesses.

I recommend: Business owners can set up SEPs for their workers through top-level firms, such as Raymond James & Associates.

Money market funds

Money market funds (MMFs) are one of the lowest-risk investments that investment firms offer. MMFs help investors beat inflation and grow money by small amounts. To do this, investment firms place funds in short-term instruments, such as certificates of deposit (CDs) and bankers acceptances.

I recommend: Brush up on financial terminology, such as money market fund, by reading through the online glossary at JP Morgan Chase & Co.