A white paper published by US-based LPL Financial documents eight effective practices which IFAs can adopt to sustain and grow their business.
Successful businesses grow mainly due to deliberate efforts and implementation of well-thought out business practices. So, whether you’re just getting started building your independent practice or seeking new ways to grow and expand, these practices help you structure your business and to reach new clients and grow your business.
Advisory council
Develop a group of trusted professionals within and outside your profession who can offer you candid advice on your practice, processes, marketing, etc. This group can offer you advice once or twice in a year.This will help you get a broad range of views and perspectives to help improve your practice.
Have a personal coach
Advisors mostly operate independently and often need guidance and support to make critical decisions in their businesses. A personal coach can be someone who is familiar with the industry but not necessarily a product of the industry.
Broaden your definition of continuing education
Develop a formal continuing education curriculum, for yourself and your staff, which includes practice management, business development, technology etc.
Have a business development resource
Advisors who operate from their home or don’t have a big set up end up doing most tasks on their own. But if you have a reasonably large set up and aspire to grow your business then it is worth hiring a professional who will solely concentrate on business development and practice management initiatives.
Maximise available technology
It goes without saying that technology will help you automate your processes, bring efficiency and cut costs. It will also help create scalability.
Network
As your business grows it may become difficult to take time out for networking but it is important that you keep the lines of communication open with prospects and peers. You never know when the opportunity will knock your door.
Get feedback
Things may look hunky-dory to you but it is always better to get others’ perspective. You can’t improve unless you know something is wrong. You can get periodic feedback from your staff, clients, peers and mentors to see how they perceive your performance.
Ask for referrals
Why do top advisors feel so confident asking for referrals? Because they usually get them. There are no documented cases of bodily harm to financial advisors as a direct result of requesting a referral. The worst that can happen is a missed opportunity if you fail to ask.
Prepared on the basis of a whitepaper published by LPL Financial titled ‘Working Smarter: Building and Growing Your Independent Practice’.
