“Standout operators” with annual revenue between $100,000 and $500,000 focus on the quality and size of clients. They have discipline around pricing. These firms are more aggressive around client growth, because it is easier to do off a smaller base. Capacity needs to be filled and new clients need to be a fit.
“Standout cultivators” with annual revenue between $500,000 and $1.5 million often see a slower grow rate as capacity fills. They need to focus on hiring to keep up with capacity. They also need to keep a close eye on the metrics or they will experience the effects of sub-optimal capacity. Pushing things down the organization structure can help, so they need to feel comfortable with delegation.
“Standout accelerators” with annual revenue between $1.5 million and $4 million can have a dramatic difference in profit growth. They have to be careful when they are recruiting to make sure they are not blowing out the compensation for these roles. They are able to attract talent at less expensive rates. They are typically good at entertaining prospects and referral sources and often deliver seminars. A revenue percentage of 4.37% is being spent on marketing. They need to pay attention to key person risk.
Overall, the LINC attendees had plenty of chances to learn how they can be standouts too, if they are not already performing at that level.
Mike Byrnes is a national speaker and owner of Byrnes Consulting, LLC. His firm provides consulting services to help advisors become even more successful. Need help with business planning, marketing strategy, business development, client service and management effectiveness? Read more at ByrnesConsulting.com and follow @ByrnesConsultin.