The days when a firm could rely on one advisor reeling in new clients for growth are over, Angie Herbers says in the November issue of Investment Advisor. Now firms have to focus on making everyone a "rainmaker" and teach all employees to close new clients.
Mike Patton continues his series on starting a new independent advisory firm by answering some of the most common questions new RIAs have.
In the second of four Growth by Design articles, Dan Inveen and Eliza De Pardo break down the different management styles required by firms as the grow. What worked for a firm with one employee won't continue to work when it has 100 employees.
The Rainmaker's Reign Is OverMost of today's independent advisory firms were started decades ago and are still managed by "rainmakers." However, the advisory business has changed dramatically over the past 25 years: Firms are larger, ownership succession is at crisis levels, online advice is driving fees down and recruiting is nearly impossible.
To continue to grow, firms will have to let go of their rainmaking roots and shift the way they bring in new clients. Angie Herbers explains why firms need to embrace an integrated marketing approach where the firm itself markets for the advisors, instead of advisors marketing for the firms.
How to Start Your Own RIA Firm
How to Stand Out at Any Size: 2014 Growth by Design Study
