Distraction-Proof® Advisor Ideas

One of the keys to succeeding sooner in this business is being ruthless. Let me explain…

Recently I was having coffee with a friend who works at a global asset management firm and we were talking about being ruthlessly clinical on the one hand, yet wonderfully relational on the other hand and how that pertains to advisors.

When I was training, I was ruthlessly clinical about executing the job at hand as best as possible. What that meant was if you were swimming in my lane, you either stayed in front of me, got behind me, or got out of my way. Otherwise, I was swimming over you and coming through. That was how I felt internally. That was how focused I was. Now on top of the water, to everybody around me, I was friendly, I was fun to be around. But once that job was clarified as to what we were going to do next, look out, because I was coming through.

You need to have the same approach as a financial advisor. You need to know, for instance, the minimum number of assets that each new prospect needs to have to come on board with you as a client. If it’s $500,000 minimum, then when you’re talking with a prospect and they have $750,000 plus more and they’re asking the right questions, you’ve been ruthlessly clinical about clarifying if they’re a good fit. Once they are, now you’re being wonderfully relational; you’re recognizing they deserve a seat on the bus with you in your business.

If your minimum is $500,000, and as you’re talking you realize they only have about $150,000, and they are asking all the wrong kinds of questions and are really not interested in how you work with people – ruthlessly clinical – they’re not getting on board this bus. We need to wind this conversation down to a close. Now, still wonderfully relational in that you’re going to be cordial and polite, but you’ve got a job to do: find the next person who does need your help.

If you’re working with a team as an employer, as an owner of the firm, you need to be ruthlessly clinical about all of your metrics – what each staff member is costing you, the amount of revenue you have to generate per client to just meet payroll. (You have got to be doing that if you’ve just got your own business by yourself to know the profitability of each client, but especially as an owner.) You’ve got to know those metrics and then communicate them clearly to your team. Then you’re wonderfully relational with them, once they’ve bought into where you’re going and they’ve accepted that. Then you’re a leader: you’re a coach, you’re helping them grow as people, helping them develop as employees.

So it’s always keeping those two aspects in tension: ruthlessly clinical about knowing exactly who you need to be talking with, how, how quickly you’re bringing them on board, how profitable they’ll be for you and then wonderfully relational in having them see they’ve made a great decision and having them see they need to refer you to their friends and family.

1. You’ve got to be ruthlessly clinical about your metrics. You’ve got to know them and know the ones you need to master to succeed as soon as possible.
2. Once you know them, then it’s being wonderfully relational. When you’re talking with a person who’s a great fit, you want to love on them. You want them to know you’re the best person they could have ever had to work with.
3. Keep doing this: it’s keeping these two things in tension. It’s not forgetting about one for a month and then trying to do the other the next month. It’s keeping them working with you all the time: ruthlessly clinical, wonderfully relational. Keep these two together and you’ll build a phenomenal business and develop as a great leader.

I look forward to bringing you another Distraction-Proof Advisor Idea next week.