ADVISER MATTERS
RUNNING A PROFITABLE ADVISORY BUSINESS IN 2022 AND BEYOND
Despite renewed optimism in the IFA sector , the challenging political and economic backdrop means many firms have told us they are concerned about how to ensure they keep their business profitable moving forward . With this in mind , we brought together a selection of best practice tips and suggestions to help you consider ways to keep your business running in a profitable and efficient manner .
FIVE STEPS TO BUSINESS PROFITABILITY of , to make your business process quicker , slicker and easier to control .
1 : Back to basics Firstly , let ’ s take ... we looked at the regulator ’ s expectations around service models and structures . Because much of the FCA ’ s current focus is on business models , structures , processes and meeting consumer expectations , you ’ re probably already doing a lot of the work you ’ ll look at when considering business profitability . If you can fully understand the value your customers gain from your services , and the costs of delivering that value to them , you ’ ll be better equipped to ensure you can do so profitably .
2 : Digital engagement Digital communication can bring you closer to your customer . It may not seem that way on the surface when we ’ re used to meeting clients over a cup of tea in the kitchen , but advisers now have access to a range of tools that help you communicate more frequently , more easily , more cheaply and in ways that your clients will often prefer . Next , we provided guidance and support on how to make this a reality within your business .
4 : Technology is your friend Use of technology to provide financial advice is now unavoidable . But the difference between using it begrudgingly and embracing its benefits could be the difference between profit and loss . Paper processes , working across multiple systems , lacking centralised control over business processes and being unable to easily access audit trails all build risk and cost into your business . In this section , we look at the ways you can consolidate your core technologies , and adopt others you might not be aware
5 : Exit planning In any given situation , you should always be aware of where the exits are , and being a financial adviser is no different . Whether you ’ re on the brink of retirement or just starting out , understanding how and when you ’ d like to exit means you can get your business into the right shape for a wouldbe acquirer when the time comes . In the section of the site , we look at how , through working both with acquisitive firms and those looking to exit , our Horizon service can provide guidance and support on how to exit in the best way for you and your clients .
Need help with profitability ? A wealth of helpful content on the above subjects can be found in the Additional Support section of our Member and Client websites .
3 : Outsource to earn more You don ’ t have to do the work yourself to have provided good client outcomes . By outsourcing to a specialist you can offer more services , increase your income and reduce risk without any extra resource , admin or training . SimplyRefer works with you and the client to provide specialist advice , and to ensure the client stays yours .
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