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Technology Issue • Special Sponsored Section

Create Systems to Maximize the Value of Your Practice

What Advisors Need to Know to Ensure a Successful Transition Many advisors are consumed by the thorny problem of what their practice is worth. They mull over multiple methods of valuation, trying to predict what position they’ll be in when the time comes to sell. This is more and more of a pressing issue as the average age of advisors increases with every passing year.

As recent Cerulli Associates research states, the average age of a financial advisor is 51 — and nearly 40% expect to retire within 10 years. Transition is looming for many. Maximizing valuation is mission critical. The truth is, no matter which method you use to put a dollar value on your practice, the best way to maximize its worth is to make it easy for someone else to step in and get the most out of your book. Keep in mind that purchasers will tend to be younger than the sellers, probably more comfortable in the digital environment, and expecting to buy practices that leverage technology and are already optimized. Advisors who have made the effort to create systems and automate workflows will have a big advantage over their competitors. Additionally, the increased productivity realized by optimizing your technology increases revenue and profitability now as well as increases the overall value for a future buyer.

What are systems?

When we talk about systems within a practice, we’re talking about the method in which an advisor conducts marketing, sales and service operations. For many advisors, these activities are handled in an informal way. For instance, when it comes to sales, advisors may send out emails, make calls and attempt to book meetings — as they see fit. But if the process changes each time, results will vary. To ensure consistency, a system is needed. Creating systems shouldn’t be a difficult or time-consuming process.

3 simple steps to creating systems that maximize the value of your book of business 1. Define the steps in each system — The best way to systematize your key processes is to codify what you already do when you are at your best. For the sales process, for instance, list the steps that you take when you are successful in making a sale — from finding an opportunity to closing the deal.

3. Leverage technology — To turn your workflows into automated systems, input into your advisor-specific CRM the tasks that make up each process. The software will automatically prompt you to perform each task at the correct time. This shifts the operations of the business from “ideas trapped in the advisor’s head” to defined, repeatable processes that can be followed by anyone.

Any buyer will be able to see how revenue is generated in the business and how they can seamlessly take over and continue to mine the potential of the book of business.

Wrap up

Defining each of the steps in your sales, marketing and relationship management processes, and then using your advisor-specific CRM to optimize your workflows, will dramatically increase the future value of your book of business. These systems will also save time and effort, maximizing the effectiveness of your sales and marketing efforts today which, in turn, provides an immediate boost to your revenue and profitability. For instance, the most advanced CRMs are integrated with third-party firms, enabling you to trade directly from the platform. Equisoft’s Grendel CRM ( is an advanced web-based and mobile practice management solution built for financial advisors, broker-dealers, RIAs, and their clients. Grendel’s exhaustive client information management, compliance management, account aggregation, client portal and practice management tools enable advisors to create the streamlined systems that will maximize the value of their practice. A recent analyst report ranked Grendel’s CRM among the top CRM solutions for the North American wealth management market. To learn more about Equisoft’s Grendel CRM, go to or contact Ge orge Guidotti at +1 888.989.3141, ext. 7116 ( To learn more about how Equisoft’s 25 years’ experience in the insurance and wealth management industry and its comprehensive set of integrated CRM, financial planning, portfolio design and analytics, and illustration solutions enable advisors to create the streamlined systems that will maximize the value of their practice, go to or contact Shawn Gille spie at +1 888.989.3141, ext. 368 (

2. Optimize the workflows — Next, consider each of the tasks you perform in each system and determine whether it could be accomplished in a more efficient manner or eliminated entirely.

November 2019 » InsuranceNewsNet Magazine


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