Advisors must think like business owners

Nearly two-thirds of advisors identify themselves as simply that — advisors, finds an SEI poll. But advisors are also business owners and must start capitalizing on the unique characteristics that set them apart from legacy and big-brand competitors.

“Many advisors have the opportunity to branch out, but seem to be unprepared for what they encounter once they do,” says John Anderson, head of practice management for the SEI Advisor Network.

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He adds, “Capitalizing on the very strengths that differentiate their firms – independence, integration, and intelligence – can help them flourish as business owners. Taking stock of these attributes and understanding how to apply them as they evolve is key to advisor business growth.”

You should identify your most basic assets, which let you business decisions that are in the firm’s best interest. Next, suggests SEI, look at what makes up your firm’s efficiencies. Finally, leverage your firm’s intellectual capital and find the right balance between managing client relationships and making effective decisions.

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“Investments are changing, client expectations are changing and to be successful, advisors have to think beyond individual relationships to institutionalized business practices,” says Bill Glubiak, CEO of Cedar Brook Financial Partners of Cleveland, Ohio. “From implementing new client service processes to integrating new technology everyone on the team has to be prepared to adapt.”

Also read:

Why most advisors will never retire

5 tips for clients with new businesses

4 tips to make better client recommendations

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.