After tossing and turning, Losey got out of bed in the wee hours to gather his thoughts in a letter to the client. "I needed to show her how upset I was about the decision, but I needed to do it in a professional manner," he says.
In the letter, he reiterated the strengths, weaknesses and goals they had talked about, and then explained why investing in a building contradicted everything they had discussed. "I used her own words to remind her of how she was preparing to make the very financial mistake she said she wanted to avoid," says Losey. He ended the letter by saying he had no choice but to terminate their relationship.
Losey expected never to hear from the client again. But, much to his surprise, the client took his letter to heart.
"Over the weekend she read the letter, talked with her partner and decided to stick with the original plan," says Losey. In fact, rather than resent Losey's honesty, she has thanked him for giving her what she said was a "kick in the behind."
Now, the client is finishing her training and setting up shop in rented space. "Instead of spending $200,000 to buy a building, she's spending $200 a month, and with a month-to-month lease," says Losey proudly.
It was the first time he had delivered that kind of ultimatum to a client, but he knows he would do it again. "We have a fiduciary responsibility to do what's right for the client," says Losey. "Even if it means telling them what they don't want to hear."
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