Do you ever get resistance to the fees you’re trying to charge? I’m certain that everyone has faced-off with a ‘negotiator’ client more than a few times in their career. What should you do if you’re sitting across the table from one? Do you: Hang tough and tell them it’s this fee or nothing? (and risk losing some work)Negotiate? (which means discounting your fee) If you negotiate: When does it make sense to do so? And importantly, when doesn’t it make sense to do … [Read more...] about Want to avoid a fee face-off? Here’s how.
There are still plenty of advisers and firms that are looking to increase their fees. Despite what you read in the industry press, that includes firms still looking to move up to 1% of assets under management. It also includes firms moving away from asset-based fees, but needing to charge pretty significant flat fees to replace them. Why Does This Become An Issue? This issue hits you between the eyes when you start digging into your profitability numbers (which I discussed in my blog, … [Read more...] about The short and sweet guide to raising your fees
I flew to Sydney recently and experienced an epic fail from three (yes three) car rental companies. Here’s what happened. I had to fly to Australia recently at very short notice. In the rush to get on a flight I didn’t book a rental car to pick up at Sydney Airport, before I left. “No problem” I thought. “I’ll just get it sorted when I arrive.” How hard can it be? Plenty hard as it turns out. I approached the first rental car company. Not one one I’d … [Read more...] about Sometimes it’s just too hard to do business
I recently heard about an adviser who has called it quits and is leaving the profession. The reason? He was totally fed up with the barrage of regulation. For him, the fun had finally left the building. I get it. I’ve written about some of my concerns on the regulation front previously in Regulation Is Failing - Here’s Why. If you’re feeling a bit jaded and ready to throw in the towel because of regulation fatigue, I’d like to give you some hope. That might take a … [Read more...] about Get better, not bitter
For most of your financial planning career you’ve fought hard to ‘bundle’ your advice to clients. What does ‘bundled advice’ mean? It means the client gets everything included for one fee; in this case the ongoing 1% of assets under management, or flat fee that you charge (whichever version you prefer). I realise that initial advice is usually offered as a stand alone fee-based option, albeit with the belief that a very large percentage of people who take your initial advice … [Read more...] about The (not so new) trend