As we enter Q2 we should take the opportunity to reflect and decide how we plan to impact the remainder of the year. If your firm has experienced significant growth over the past 18 months like most of our advisors, you may consider expanding your prospect or client coverage by engaging a secondary advisor. Is now the right time? How do I know my firm, my prospects, and my clients are ready for a new team member? We typically receive such questions as a by-product of the growth triggers listed below:
Financial – if your firm has experienced an increase in overall production you likely have cash now available to expand your business. What is your strategic plan at this stage of your business? If aggressive and continued growth is a top priority, make the move to bring in another producer.
Capacity – regardless of cause, if you and or members of your firm are over capacity and cannot meet client demands it is time to bring on another client facing team member. Additionally, if you cannot properly manage your pipeline of leads or prospects, hiring a secondary advisor to sift through the contacts is a fantastic strategy. A secondary advisor who understands marketing can partner with you as the principle to ensure firm philosophy, financial advice, and reputation while providing the lift you need to pay closer attention to your VIP’s.
New Markets – what is your current product and service offering(s)? Diversification of your business is a key factor to longevity and continuation. Adding a proven, secondary advisor with a different client base or market share can instantly impact your business.
Business Management – adding an employee with proven success at another firm or as an individual is an excellent way to learn how your competition works, internally. Although, trade secrets and other specific competitive intelligence is likely contractually restricted, simple business process management knowledge can be a gold mind. Perhaps your firm struggles with appointment setting or client applications and paperwork. Learning from a recently hired employee may increase your overall efficiency as a firm by trying new techniques or tasks otherwise unknown to you.
Regardless of why you might be looking to expand your business by hiring, it is imperative that your qualification process is air-tight to help mitigate any risk to the firm. Be sure to have multiple conversations with your secondary advisor candidate(s), include your current key employees, and check all references.