Look to your right, then to your left. Odds are, you’ll see at least one team hard at work — and for a few good reasons.
Teams grow faster than solo practitioners. Cerulli Research reports that half of all advisors work on teams. Is it time for you to assemble one?
People who work in teams tend to be happier than those who work on their own. Investment firms prefer teams, because they are less likely to bolt.
But to be successful in a team, you need to be think carefully about who joins it and the ground rules used to manage it — which are not for everyone.
Here are some steps advisors need to take first:
1. Do a gut check on prospective team members.
A team is a second family.
“You’ll probably spend almost as much time with them as with family members. Do your personalities mesh? Can you communicate with them in a clear and open fashion?” says Michael Silver of Focus Partners, an advisor coaching and practice management firm based in Paramus, New Jersey.
Consider the character of potential team members.
Do you have a sense of how they might act under pressure or when things aren’t going well? Can you resolve differences in a respectful and amicable manner?
2. Look for complementary skill sets.
Team members should complement one another’s skills to be a true team.
One success story involved a retirement specialist, portfolio manager and two rainmakers.
“When they were alone, each advisor was forced to be a jack of all trades,” Silver explains. “Coming together as a team gave them the flexibility to pursue the areas at which they were best.”
3. Craft a strong marketing plan
Prepare to tell the story of how the new team will enhance services offered to clients. Articulate why it matters to the client.