08 Feb Build your business like you build your home
When you pitch a tent, do you dig?
Perhaps a little to hammer in the tent pegs.
But when you build your home, you go deeper and build a lay a strong foundation.
The deeper you go the higher will be your home.
The IFA business is similar.
This business is meaningful only if the customer stays.
Early closing is not as relevant as it is in other product and service businesses.
Closing for the long term is what you require.
A customer will get real satisfaction with his SIP only if he stays invested for over 5 to 7 years which is a very long time.
If you build your business like pitching a tent your investor is likely to redeem a lot faster. The moment the wind blows strong the tent gets uprooted. Similarly the moment there is volatility, the Investor is most likely to redeem.
But if you build your business like building your home by laying a deep foundation, your investor will stay for the 5 to 7 years and once he crosses this period he will see the impact of compounding and thereafter he will be signed with you for life.
So how do you build your business by laying a deep and strong foundation.
1) Always educate educate and educate the potential investor.
2) Don’t hurry to close. Let him come to you. This will happen if you educate in an interesting manner using films and visuals and of course the manner in which you connect with him while educating will play a key role. The use of humour and stories works wonderfully in this regard..
3) Have the patience. Collect his database and continue to educate using email / WhatsApp. Have the patience for him to approach you.
We expect the investor to have patience for 6 years but do we even have the patience for 6 months? We must.
In the IFA business it therefore isn’t about close close and close.
Rather it is about educate, educate and educate
patience, patience, and patience.
Investment Advisor = Investment Educator