It is vital for any company, be it in manufacturing or services, to be in a position to generate new business leads and to make sure there is a steady pipeline in place.
In our industry, the rates of attrition as clients retire and die or occasionally move to another adviser, makes it even more important that a considered new business or client acquisition strategy is in place.
The issues remain the same, be it for nationals or networks. To the outside world we need to be seen as professional, highly qualified and, in addition to the relevant product knowledge and technical ability, advisers must demonstrate a degree of business and commercial acumen.
That is the only way a financial planning firm can grow, keep ahead of the competition and attract new clientele as well as new blood on the staffing front.
In our experience, establishing links with local professional introducers, namely accountants and solicitors, and, to a lesser extent HR practitioners and estate agents is very important.
IFAs need to stand shoulder to shoulder with their fellow professionals and that is why striving to attain chartered status is paramount.
As advisers, we need to show that we hold the highest professional qualifications. Indeed, attaining chartered firm status carries even more weight.
Endorsement by professional introducers is particularly important for corporate clients. Recommendations by existing private clients are also very effective ways to get new business. Be it dinner party or pub talk, a delighted client will sing the praises of his or her adviser.
Live client case studies resonate with those in need of advice and so when someone hears or reads in the weekend press about vexing IHT or retirement planning problems solved by a wise adviser, the telephone rings and the website is hit. But remember, the old adage of quality not quantity rings true.
Price is not everything and advisers must maintain the highest levels of service - the clients that are motivated by price alone are the ones you can do without. The ones to whom you have provided an excellent service are the ones that will bring you new business.
On the theme of quality, strong networks have extremely stringent compliance and control functions. Any investment recommended by an adviser has to be pre-approved. Networks cannot tolerate an adviser on a “folly of his own”.
So networks do sometimes turn business away. Niche areas are often worth looking at. For example, an adviser can specialise in advising divorcees and those going through family upheaval and establish a reputation which leads to the introduction of new clients from family solicitors and others involved in a given scenario.
Organising and hosting seminars for both private and corporate clients are useful for networking and for new business. And they need not be expensive to run.
