The seeds of destruction are sown in good times, as the proverb goes, and these have been good times for the advisory industry. Because our industry has been so successful, we have started to make some dangerous assumptions. Perhaps it is a good time to review our business models and take a hard look at these assumptions.
The Rain Will Come Back
The seeds of destruction are sown in good times, as the proverb goes, and these have been good times for the advisory industry. Because our industry has been so successful, we have started to make some dangerous assumptions. Perhaps it is a good time to review our business models and take a hard look at these assumptions.
When Less Is More
Time and again, even the largest and best run advisory firms refuse to declare any specialty or client profile and instead go in search of a generic investor of wealth. If advisory firms want to help their G2 advisors become better business developers and accelerate their own growth, they need to take a more differentiated approach focusing on specific target markets.
Do You Know a Good Advisor?
Referrals remain the primary source of growth for advisory firms. Not only are referrals a fantastic source of growth opportunity, but they also get you better clients. I would like to spend some time on referrals—how they originate and what we can do to make sure we capture their full potential.
How Much to Pay for a Client?
Many firms consider incentive compensation for business development. The carrots are there, but the bunnies don’t seem to be running. That warrants a discussion about whether the carrots work in the first place, and how bonuses ought to be structured.