Every week we speak with practice owners who thought their merger would be straightforward – and six months later, they’re dealing with staff walkouts, duplicated systems or silent boardroom battles.

The numbers stacked up. But the human and operational fit didn’t, and the deal is now worth less, not more.

The following three examples highlight the very real red flags that can derail advice practice mergers if they’re left unchecked.

Case one: the revolving door

A $3.5 million practice acquired a smaller boutique to build scale. Within six months, a senior adviser and practice manager had both resigned, citing “lack of clarity” and “different ways of working.”

The larger practice assumed the smaller team would simply slot into existing roles and systems. Instead, SOA turnaround time slowed to over 90 days, client handovers kept being pushed back and service levels dropped.

Their clients noticed, too – referrals dried up and retention slipped. Integration costs ballooned, far outweighing the projected revenue uplift.

Sound familiar? We’ve all seen this movie before and, spoiler alert, it’s not a rom com. It’s the one where your best adviser walks out halfway through the plot and the ending costs twice as much as you budgeted.

Case two: the tech tug-of-war

Two mid-sized practices merged, each with strong but different systems. Both insisted their CRM and process library was “non-negotiable.”

One team swore by Xplan with custom threads; the other refused to let go of their well-oiled Worksorted setup. Neither side would budge.

The result was three months of stalemates, duplicated efforts and data quality issues that left the team frustrated and inefficient. What should have been a capacity win became a costly bottleneck – worse, the inconsistent records created compliance risks the firm couldn’t ignore.

Case three: the culture clash

Two advice firms merged with the goal of creating one “high-performing” business. On paper, it made sense: profitable businesses, strong client bases and complementary services.

But culturally, they couldn’t have been further apart. One firm had a casual, family-style atmosphere – flexible hours, Friday drinks and lots of collaboration. The other ran on structure: strict start times, formal policies and a clear chain of command.

At first, both sides tried to adapt. But within months, friction set in. The “family” team felt micromanaged. The “structured” team felt the other group lacked discipline.

Jokes started in the office about “us vs them.” Staff stopped sharing ideas, silos were created and cross-team projects slowed to a crawl.

By the end of year one, staff turnover had spiked, client experience was inconsistent and the promise of “one strong team” had turned into two divided camps under one roof.

As one adviser told us, “It feels like we never really merged. We just share an office.”

Five red flags 

So, what do these three cases tell us about merger risks? We can identify five red flags:

1. Staff uncertainty: People don’t know if or how their role will change, their reporting lines or future prospects.
2. Process paralysis: Two “non-negotiable” ways of doing things clash and slow everything down.
3. System stalemate: Multiple CRMs, duplicated data, errors creeping in, clients getting mixed messages.
4. Leadership disconnect: Owners present unity but disagree behind closed doors (or worse, in front of the team).
5. Culture drift: One practice’s culture dominates, leaving the other team feeling disengaged and overlooked.

If you’re spotting even one of these red flags, your merger could already be on shaky ground.

These stories aren’t rare; they play out in advice practices every day. And by the time firms call us in to help, the costs are higher, the risks bigger and the fixes slower.

That’s exactly why Zestt Consulting and Tangelo Consulting created the Fit to Merge Assessment – a structured, practical review of your people, culture, systems and processes. It’s designed to spot the red flags early so you can align your team, streamline your systems, and protect the value of your deal.

If you’re planning a merger or acquisition, don’t leave the fit to chance. The Fit to Merge Assessment helps you anticipate risks and avoid the costly surprises.

The risk isn’t in the numbers – it’s in the fit.

October 22nd, 2025

Published on Advisely

I like to think of myself as “considered” rather than stubborn (although my husband might tell you it’s the same thing). Give me a new idea, and I’ll mull it over before I’m ready to change my mind.

Two years ago, our business coach asked me a question that made me squirm:

“What does it cost the business – in time, money, and energy – when you onboard a practice that turns out not to be a good fit?”

Without missing a beat, I explained (defended) our process and all the reasons it worked exactly as it was. He listened. Nodded. Asked a different question. Then another.

Over the next few conversations, I realised what he’d known all along: our “solid process” had a gaping hole in it.

A blind spot. One I never would have spotted myself.

That’s the thing about blind spots: you can’t fix what you can’t see. And when you’re in the thick of running a business, you’re often too close to see the inefficiencies, wasted effort, or missed opportunities staring you right in the face.

The quickest way to uncover them? Ask better questions.

The three questions that will uncover blind spots in your business

If you’re leading a financial advice practice – or any business, really – these three questions can reveal problems and opportunities you’ve been driving past for months without noticing.

1: “Where in our process do you see wasted time or effort?”

Most leaders think they know where the inefficiencies are – until they ask this question of their team and discover the real friction points aren’t where they assumed.

Unexpected benefit: This question often uncovers “double-handling” or outdated steps that have quietly survived years of process changes. Even more surprising, it can surface ways to add value – for example, by replacing wasted process time with a client touchpoint that builds loyalty.

Pro tip: Ask it of the people doing the work, not just those overseeing it. (And the best intel usually comes from the person who’s been quietly grumbling about the system for years.)

2: “If you were me, what would you do differently?”

This flips the perspective completely. It takes people out of their role and invites them to think like the leader. We ask this question to our team at least once a year via an internal survey.

Unexpected benefit: People often reveal priorities you didn’t realise mattered to them – like culture, recognition or career growth – which can be the key to retention.

It’s also a subtle way to identify emerging leaders in your team; the ones who give thoughtful, big-picture answers are usually the ones ready for more responsibility.

Pro tip: Ask this early when working with new team members or external partners. Their fresh perspective is gold, but you’ll only get it once before they adapt to “how things are done around here.”

3: “What would happen if we stopped doing this?”

Tradition is a terrible reason to keep doing something. This question creates space to challenge the “that’s how we’ve always done it” mindset.

Unexpected benefit: Sometimes the answer isn’t just “nothing bad would happen” – it’s that something great would happen. Stopping one low-value task can free up capacity for innovation, training or revenue-producing client work.

Pro tip: Use it in a “stop, start, continue” session each quarter to keep your team focused on work that actually matters.

The power of perspective

When my coach asked me those uncomfortable questions, it wasn’t that I couldn’t solve problems; problem-solving is one of my strengths. But even the strongest problem-solvers can’t see every angle from the inside. He could see what I couldn’t, and he knew how to guide me towards it without telling me outright.

That’s the real value of perspective.

It’s not someone swooping in with a ready-made solution. It’s having someone ask the right questions so you uncover the answers yourself – the answers that stick because you discovered them.

It’s also exactly what we do in our Zestt work with advice practices. We’re not there to lecture or hand over a one-size-fits-all playbook. We’re there to hold up a mirror, ask the uncomfortable questions and help you see what’s hiding in plain sight.

Your move, leader

The best leaders don’t have all the answers. They just know how to uncover them.

Start asking these three questions in your business. Listen without rushing to defend. And if something feels uncomfortably close to the bone, that’s your cue to dig deeper.

If I can admit my “perfectly fine” process had a gaping hole in it, you can survive a little ego bruise too.

August 20th, 2025

Published on Advisely

Somewhere between onboarding your last hire and rewriting your third process doc, your People Plan lost steam. Or maybe it never really had any.

It’s not that your team isn’t good – they are. It’s just that right now, everything feels a bit too reactive. Advice is still going out the door, but not without a few too many speed bumps.

There’s a sense that your people could be doing more, contributing more, owning more – but no one has the headspace to work out how. So you keep going, holding it all together, but with a quiet frustration and a heavy, invisible lid on any real growth.

Sound familiar? Well, it’s your lucky day: that’s exactly what a 90-day People Plan is built to fix.

In a previous piece, we explored why every advice firm needs a smart, intentional People Plan – not just to hire well, but to build a team that fits your strategy, culture and future growth. This article is about what happens next: turning that plan into momentum, clarity and flow.

Now, a People Plan doesn’t involve a drawn-out restructure or a set-and-forget org chart. It’s just a short, sharp reset that gets everyone refocused on who’s doing what, what’s working (and what’s not) and how you can reclaim capacity without blowing everything up. It’s practical, fast and designed for advice firms with no time to waste.

At Zestt, we’ve been helping advice teams use this 90-day window to get out of overwhelm and into flow – without the stress, inefficiencies or time-sucking meetings.

It reminds me of something I often notice in my downtime.

I’m a bit of a foodie, and there’s something I love about sitting in a well-run café or restaurant and just watching the people work. In the best places, the team moves like dancers: smooth, purposeful, and in sync. Everyone knows where their colleagues are without needing to ask.

It’s graceful, almost hypnotic. In a less-coordinated venue, though, it’s more like a game of bumper cars – noisy, reactive and exhausting for everyone involved. I often find myself quietly watching the “dance” and noticing where and how the choreography could be sharper.

Think of your advice team like a restaurant in the middle of a dinner rush. You’ve got capable people working hard, but they’re working without clear roles, direction or communication; orders get missed, meals go cold and chaos builds. The head chef ends up doing the dishes.

The solution isn’t more chefs , though; it’s simply getting your team to work better – together. That’s what a People Plan is really about: tightening the steps so the whole team moves smoothly. You need better flow. That’s exactly what a 90-day People Plan delivers.

Here’s how it works.

Month 1: get clear

Start by stepping back. What are the top three things slowing down your advice process right now? Where is your team leaning too heavily on advisers? Where is the rework happening? Use this stage to spot your biggest roadblocks.

Then take stock of your current roles and responsibilities. Who owns what? Are they the right person for that task? If too much is sitting with the adviser or the practice manager, that’s your first clue that the team structure is out of balance.

Just have honest conversations with your team about what’s on their plate and what’s getting in their way.

Month 2: make moves

Once you’ve clarified what’s not working, start making small, practical changes. Shift responsibilities. Define roles. Set clearer expectations. Move that task that no one really owns (but everyone touches) onto one person’s plate – and back it with trust and support.

This is also the time to cut down the noise. Streamline approvals. Tighten handovers. Reduce double handling. Make sure the right people are in the right conversations (and, more importantly, not in the wrong ones).

One Zestt client dramatically cut down their pre-SOA prep time by shifting responsibility for strategy creation and working papers from the adviser to their paraplanner. It was a small adjustment, but it gave the adviser back four hours a week – time they now spend building deeper client relationships.

That’s the kind of move we’re talking about.

Month 3: embed and reflect

Change fatigue is real, so don’t go too hard too fast. Use the third month to support the new structure and help the team settle into it. Give them space to test new ways of working. Ask what’s helping and what still feels clunky.

This is also your opportunity to reconnect with your original goals. Have you freed up the advisers? Are documents moving through the workflow faster? Is ownership clearer across the team?

If you said at the start that you wanted to reduce adviser time per plan from six hours to 3.5, check if you’re on track. If not, adjust. The beauty of a 90-day plan is that you can adapt without abandoning the whole thing.

Why it works

Advice practices don’t need more long-range strategic planning that collects digital dust like an old training manual no one reads. They need short, practical sprints that reconnect people to purpose and smooth out the chaos of daily workflow. A 90-day People Plan achieves that.

You’re not trying to overhaul your entire structure; you’re just re-aligning it. Clearing the clutter. Shifting energy back to where it matters. And giving your team the clarity and confidence to do their best work.

Turns out, clarity might be the most underrated “capacity hack” in your practice. When everyone knows their role, the kitchen runs smoothly, the punters are happy, the head chef isn’t drowning – and the service? Smooth as butter.

May 21st, 2025

Published on Advisely

Asking practices to share their people plan with us often results in blank stares, nervous laughter or a quick subject change.

Is it because the term “people plan” sounds too corporate for smaller teams? Too warm and fuzzy, without enough action and results? Or maybe it just sounds like another document that’ll get written once and never looked at again.

But here’s the thing – when it comes to running an advice practice, your people are the biggest investment. We’re talking hundreds of thousands (if not millions) of dollars spent every year on your team. Do you have a plan for how you’ll invest that money to get the best return? Or are you just hoping for the best and throwing salaries at the problem?

Given the significant investment in your team, it’s crucial to have a strategic approach to managing this resource. This is where a well-designed people plan comes into play.

Right now, the biggest roadblock to practice growth isn’t finding new clients or streamlining processes – it’s finding and keeping the right talent. A solid people plan doesn’t just help with hiring; it gives you a clear direction for all people-related decisions in the year ahead, helping you maximise value, keep your people happy and retain your best talent. A win-win for everyone.

But what makes a people plan go from average to great? Can you simply dust off a previous year’s plan and run it back? Probably not. The game is changing.

This brings me to Friday movie nights in our house. After a long week, I use the opportunity to spark debate with my pre-teen and help him see the world through a different lens (while I remain comfortably horizontal).

Our 12-year-old is a mad sports fan. Basketball, soccer, AFL, NFL – you name it, he loves it. Like many kids his age, he dreams of being a professional athlete. Right now, he’s set on becoming an NFL running back. This would be great, except for a few minor details: he’s average height, has a slight build and lives in regional Victoria, oceans away from any NFL league.

At the risk of crushing his dreams, I’m gently trying to steer him toward the business and leadership side of sports. The kid can hype up his teammates like nothing else, and he’s a born negotiator. So, we watched Jerry Maguire. He wanted to be Cuba Gooding Jr. Then we watched Moneyball, and while the lesson is yet to land for Mr. 12, it got me thinking.

What if we used the Moneyball approach to rethink how advice practices build and manage their teams?

If you’ve seen Moneyball, you’ll know it’s not just a film about baseball – it’s a masterclass in rethinking how we build winning teams. And while your financial advice practice may not be swinging for literal home runs, the lessons from the Oakland A’s strategy can help you rebuild, optimize, and future-proof your people plan.

The old playbook doesn’t work anymore

Traditionally, financial advice businesses have recruited based on the candidate’s education and the belief that experience = success. The same way baseball teams used to chase “star” players with high batting averages, advice firms have often gone after the most experienced paraplanners, the most charismatic advisers or the admin whiz who “does a bit of everything.”

The problem? That approach is outdated, expensive and often ineffective.

Instead, financial advice firms need to think differently about talent – focusing on performance, skill sets, and cultural and strategic fit rather than outdated hiring models.

The right seats before the right people

Before recruiting, get clear on what roles truly matter. Ask yourself:

• Do you truly need another full-time adviser, or could upskilling your support team give your existing advisers more capacity to see clients?
• Is hiring another admin support the best solution, or would smarter processes, role redefinition, and targeted incentives boost productivity within your current team?
• Can refining your client value proposition (CVP) and service model reduce workload bottlenecks and improve overall efficiency before adding headcount?

Before making hiring decisions this year, map out the real gaps in your practice. Not just in job titles, but in functions, capacity and efficiency.  This will ensure that every hire is a strategic investment – not just a quick fix.

Data over gut feel

Billy Beane, the Oakland A’s manager in Moneyball, didn’t make decisions based on gut feel. He used data to identify undervalued players who contributed in ways traditional scouting overlooked.

For financial advice firms, this means looking beyond the standard “experience + qualifications” checklist and instead asking:

• Who actually moves the needle in terms of client outcomes and business profitability?
• Is there untapped potential in our existing team than can be leveraged?  One of the greatest pleasures in our work is uncovering “diamonds in the rough” within a practice and coaching them to be a star player.
• How can we measure and optimize productivity rather than just throwing more people at the problem?

Find the right people in unexpected places

The best talent isn’t always where you expect it. In Moneyball, the team found bargain players with unconventional skills – just like advice firms can find high-potential candidates outside the usual hiring pool.

How can you apply the same tactics?

• Expand your recruitment reach: Could you attract better talent by offering hybrid or fully remote roles? Many practices still resist this change, but it’s a game-changer for hiring flexibility and removing growth restraints.Your talent pool is no longer limited to your region – it can be Australia-wide.
• Recruit for culture before experience: By hiring for cultural fit first, you build a team that is cohesive, engaged, and motivated to work towards a shared goal, ultimately leading to better outcomes for clients and the business.  You’ll also see higher employee retention.

• Consider outsourcing for non-traditional tasks. Could an experienced outsourced team handle key functions more effectively and cost-efficiently than an in-house hire?We’re seeing high-quality onshore providers take on traditionally in-house tasks like strategy and associate work, and review file preparation. The key is finding the right outsourcing partner to make it a success.

This year: build smarter before bigger

Financial advice firms don’t need the biggest payroll to be successful; they need the right people in the right roles, supported by smart processes and technology.

So, before you post that next job ad, ask yourself: “Are we building a team for the future, or just repeating the same old recruitment mistakes and hoping for a different result?”

March 19th, 2025

Published on Advisely

The latest Hays Salary Guide (24/25) paints a fascinating (and slightly alarming) picture of employee retention trends.

Of the 15,000 responses across 26 industries, a whopping 77% of Australian employees are either actively looking or planning to look for a new job within the next 12 months.  Wow! That’s 3 out of every 4 team members – a figure that’s enough to give any business owner a sleepless night.

And the top reason employees decide to stick around? Culture. 81% of respondents cited it as the most critical factor, outranking even job security (a close second). That’s a seismic shift for today’s workforce.

Compare that to those of us of a certain ilk who grew up with parents staying loyal to one company for decades. Take my Dad, for example – he worked for Boral Australia for 25 years, only leaving because of a corporate restructure. (And in all that time, the man took two sick days—but that’s a story for another time.)

The takeaway? Culture is no longer just a “nice-to-have” – it’s the deciding factor in whether your employees stay or join the great resignation wave. So, the million-dollar question: What are you doing to keep your employees happy? And what steps are you taking to improve your culture?

Culture: the mystery and the magic

Culture is a broad and slippery concept. It’s tricky to define; intangible and immeasurable. You can’t just sit down and “create” a culture like you would a business plan.

But most of us can spot the difference between a “good” culture and a “bad” one. Spend enough time in a workplace, and you’ll hear it in the chatter, see it in the meetings and feel it in how the work (or drama) plays out.

Culture is the personality of a business, and like all personalities, it’s shaped by quirks, habits, and the occasional leadership mood swing. It threads through processes, operations and strategy – an intricate web of tiny decisions, attitudes, and actions spun over time. And here’s the kicker: changing it takes just as much time.

Committing to a great culture in your business isn’t just about creating a feel-good atmosphere to keep staff happy (although fewer office tantrums are always a win). The real magic of a strong culture lies in aligning your team toward shared goals, improving performance and building resilience – because, let’s face it, running a business isn’t all smooth sailing and Friday happy hours.

In other words, a great culture isn’t just a “nice-to-have” or feel-good corporate jargon; it’s essential. A staggering 81% of employees say it’s critical. It’s the secret ingredient that keeps your people engaged, sparks innovation, and turns chaos into profit.

Sounds a little lofty? Don’t underestimate the power of a great culture – it’s one investment that actually pays off.

How to get started: a cheat sheet

Assess your business culture

We see companies obsessively asking clients for feedback with NPS surveys, but what about their own teams? Want to know if your employees are happy? Ask them. Your people are just as valuable to your business as your clients – arguably more so. After all, what would happen if your entire team didn’t show up tomorrow?

Another common pitfall? Believing you’re offering amazing perks that your team doesn’t actually value. If you’re not sure, don’t guess – ask them. Spoiler: it might not be the “fancy biscuits” you’ve been supplying.  I once worked in an advice practice that had labelled jars for “client biscuits” (fancy) and “staff biscuits” (cheap).  Let’s just say there was room for improvement in the culture.

Reward your people, the right way.

My dear friend and TNT Group co-founder Tanya Higgins once received a meat tray as a reward for an incredibly successful year managing a large accounting practice. Yes, a meat tray.

While it might have been a hit at the office barbecue, it’s hardly the kind of recognition that inspires professionals to go above and beyond. A well-structured incentive framework is key to making your team feel valued in ways that actually resonate.

Take the time to talk with your entire team – not just your advisers – about their career aspirations and professional goals. Skip the token gestures and arbitrary year-end bonuses; instead, create rewards that align with what truly matters to your people. Because let’s be honest, a meat tray doesn’t exactly scream “we appreciate your brilliance.”

Get clear on the culture you want to create

Work to define the explicit aspects of your company culture – those expressed in vision statements, core values, and guiding principles. While this alone won’t create or transform your culture, it’s an essential first step in building a framework that defines who you are, what you stand for and how you want to operate.

Involve your team in this process to ensure the values resonate with everyone, not just leadership. By including their voices, you’ll not only gain buy-in but also uncover insights that make your culture authentic and actionable. After all, culture isn’t just what’s written on paper; it’s what happens when no one’s watching.

Get help from the experts

Cultural transformation isn’t a DIY project. It takes an external perspective to uncover blind spots and challenge entrenched habits that might be holding you back. It also requires consistent effort, clear communication, and leadership that’s willing to embrace the awkward growing pains of change.

Remember, culture isn’t built overnight, and neither is a cultural overhaul. But the rewards? Worth it. Luckily, there are experts (like me—shameless plug!) who specialize in this work. You don’t have to navigate it alone.

So, invest in your culture – because in the end, keeping a happy team is far less stressful than trying to replace them!

December 16th, 2024

Published on Advisely

There are few things in life I would claim to be an expert on. (Remembering numbers, a great chicken soup, reverse parking, Bananagrams.) But as the co-founder of a business that has been 100% remote since its inception in 2013, I do know a thing or two about flexible working and how to build it into a successful business model.

Last month, we advertised for more paraplanners to meet the growing demand of our outsourcing business.

We interviewed – and recruited – a career paraplanner with a decade of experience. Despite being the most skilled in her team, she was ready to move on because her employer demanded a five-hour round-trip commute to the office once a week. She preferred not to. Their loss, our gain.

Since the pandemic, our candidate numbers have surged. People have gotten a taste for flexible work and most don’t want to return to the rigid 9-5 routine. Meanwhile, many employers are still resisting this shift, insisting that employees show up at the office.

Now, I know what you’re thinking: not every role can be successfully carried out 100% remotely. And sure, some tasks require greater collaboration with team members; in-person meetings often lead to more effective conversations and solutions for tackling ‘the big stuff.’

I’m not suggesting that every advice practice should bite the bullet and move to a fully-remote model (although some are doing this with great success). However, I am advocating for more flexible working arrangements for your teams. Begging, even.

In our experience, the scenario with our new paraplanner is not unique. Employers are still too afraid of giving their people more freedom and less supervision, and too rigid to consider different arrangements for different employees. Would this paraplanner have stayed with the previous employer with some softening of the rules and a negotiation?  Perhaps.

Life today for working adults is a far cry from what it was 20 years ago. Most families have both parents working, juggling the ever-increasing demands of children (physical, social, and emotional), maintaining homes, gardens, and pets, contributing to their community – all while paddling furiously just to keep their heads above water.

Exhausted just thinking about it? Welcome to the club!

The way we work must adapt to our lifestyle – it needs to be flexible. Right now, I’m typing this from the veranda of a café in Harrietville (gloves and beanie on) as snow falls on the mountains above me, while waiting to collect my son from kinder and take him to an appointment.

And boy am I grateful that I can.

Numerous studies conducted since the pandemic confirm what many of us have experienced firsthand: the hybrid working model is a winner. Employee satisfaction, productivity and retention all peak.

When we offer flexibility to our teams, they value this more than any pay rise, title or accolade. And that’s precisely what we’ve seen in our business. Next month, we’re celebrating our third employee with a 10-year tenure. Not bad for a small business only 11 years old.

It’s clear that giving employees this kind of flexibility is essential for fostering a thriving and committed team. And in a service-based industry, people are our biggest asset. On the whole, though, the numbers suggest that most businesses and leaders have done a pretty lousy job.

Since the shift to remote work, less than a third (31%) of leaders have received any formal training on leading and managing a hybrid team, as reported by PWC in 2022. I’d hazard a guess that this number is even lower in the advice industry, considering the level of change (read: distractions) we’ve encountered in the last few years.

The result? A trickle-down effect that’s less “trickle” and more “waterfall,” with nearly 40% of employees feeling like their managers don’t trust them to work remotely. Now that’s problematic.

So, if you’re ready to offer more flexibility to your team or want to do a better job leading remote or hybrid workers, here are some pointers to step up your game:

• Team communication and connection.

This is paramount – managers, this one’s on you. Trust your gut if you feel a team member needs a one-on-one catch-up or a bit more support.

Also, consider using different communication platforms for different purposes.In our company we use one platform for technical questions and help and another for social chatter, sharing holidays and personal stories.

This way, people can hang out in the space that suits their mood and needs for the day. Think of it like switching between the lunchroom and the tech support desk—each has its purpose!

• Equity is not equality.

Here’s an unpopular opinion: it’s perfectly acceptable to allow more flexibility for some employees than others.

Your team will have different salaries, experiences, life commitments, and commutes. There’s no reason this can’t extend to their working arrangements. Don’t get married to a rigid ‘company rule’ that dictates how a hybrid model must operate.

Flexibility in the office isn’t one-size-fits-all— it’s about finding the right balance for each team member to thrive.

• Set clear expectations.

Our company of 20+ has only ever known remote working. We offer incredible flexibility when it comes to hours of work and each person’s workload. We have early birds, night owls and weekend warriors who also happen to be some of the best paraplanners in the country.

But we’re also very clear on what we are not flexible on: deadlines, quality of work and communication. Our team is measured (and paid) on jobs completed, not hours logged.

It’s not a perfect science, though, and we’ve had our fair share of people who don’t thrive under this model. Our style isn’t for everyone and we must identify that quickly. You need to get clear on your employee value proposition and understand the type of candidate that will succeed in your business.

• Trust your team.

Micromanagement is out; trust is in. Trust is the cornerstone of successful flexible work. Leaders must trust their teams to complete tasks without constant supervision.

This involves setting clear goals, and then stepping back to let employees manage their own time and workload.

Clearly, the hybrid model is here to stay. In fact, as we saw in the Advice in 2030: The Big Shift report, published on Advisely last week, advisers who are adopting digital delivery and virtual channels in their business expect 22% more employee growth over the next five years. This certainly gels with our experience.

It’s time to say goodbye to rigid schedules and hello to a world where work adapts to our people, not the other way around.

July 15th, 2024

Published on Advisely

At the height of the GFC, I took on a role in a regional practice as a “paraplanner”.

I was as green as they come and wasn’t entirely sure what, exactly, I would be planning. One of my first tasks was to call our margin loan clients and let them know they were in a margin call and had to either invest more or sell down in a plummeting market.

What an introduction.

Back then, most paraplanners were like caterpillars: destined to morph into financial adviser butterflies. Paraplanning was a stepping stone; a safe space to learn the ropes and develop knowledge.

However, the last 10 years have seen the rise of the career paraplanner. And why not?

Many paraplanners have peeked into the advising world and decided that they prefer to stay cozy in their paraplanning cocoon, where they can get lost in a challenging cashflow model or nuanced policy interpretations – all while sipping coffee in their pyjamas. This evolution reflects a world where paraplanning isn’t just a stepping stone; it’s a whole charming profession in its own right.

So, what does the future hold for the paraplanner?

Ask any financial adviser: a good paraplanner is worth their weight in gold. Paraplanners are the silent workhorses in our industry: behind-the-scenes soldiers, magicians of modelling, keepers of policy and Xplan gurus. They are the practice’s compliance safety net and the first line of defense at audit time.

But a great paraplanner possesses an even more remarkable ability: they are “time-makers” for advisers. A well-utilised paraplanner gives time back to the adviser, and time is perhaps an adviser’s scarcest commodity.

The paraplanner of the future won’t simply be punching documents out of Xplan and playing policy enforcer, because – hold onto your hats – these paraplanners, and this traditional style of paraplanning, will become extinct. It will be made redundant by better tech and less red tape.

Sooner or later, AI will transform the landscape of advice production, automating the lower-skilled tasks of the paraplanner’s week (we live in hope for sooner and not later). Furthermore, the QAR changes should encourage shorter, simpler advice documents. That’s a big win for the clients, but fear not, dear paraplanners – your jobs are far from obsolete!

After all, who else will decipher the cryptic, scrawled client goals, ensure they are “SMART” goals and connect them to the advice? Who will pull together the strategy, suggest improvements and navigate the tech? I hope by now we all agree that this should not be the adviser. (And if you don’t agree, take a quick detour here.)

The paraplanner of the future will be more knowledgeable than the adviser. They will be a strategist, a trusted second opinion and a challenger of adviser thinking so as to build even better advice. They will be the adviser’s right-hand person.

And this adviser (the future adviser, complementing the future paraplanner) doesn’t touch Xplan. Ever. Or a plan request, a research document or working paper. Instead, they briefly Zoom with their paraplanner after the client meeting to convey their thoughts and ideas, and then they move on to the next client meeting.

These advisers are the holder of the client relationship, the client advocate and the co-strategist. And nothing more.

Sound simple? It can be. But for this model to succeed, there are some key points to consider:

Trust

The adviser is ultimately responsible for delivering appropriate and compliant advice. So it takes a profound shift in mindset to entrust their paraplanner to assist with the strategy and product selection.

For advisers used to maintaining tight control over every aspect of the advice process, relinquishing some of that control can be daunting. But as they witness the positive outcomes and enhanced efficiency that result from this collaborative approach, they will begin to appreciate the value it brings.

In our business, we’ve transitioned some of the more controlling advisers (self-confessed!) to this model – and they’ve never looked back.

Onshore paraplanning

Offshore support has proven successful in tasks like administration and basic paraplanning. But the paraplanner of the future is not simply completing set tasks in a pre-determined way.

They are out-of-the-box, critical thinkers, proactively challenging and anticipating the adviser.  Opting for onshore paraplanning vastly enhances the ability to achieve this level of engagement and collaboration. And the extra labour costs incurred are far outweighed by the added value of adviser capacity.

Key person risk

You might be feeling at this point that the adviser is sounding dangerously dependent on their paraplanner. And you would be right. So what happens when that paraplanner is sick or away? Does all work grind to a halt?

In the case of an internal paraplanner, the answer is often yes. But the paraplanner of the future is one highly-skilled team member, belonging to a larger, equally-proficient team who can step in at a moment’s notice without any disruption to the adviser’s process. This points to medium-to-large Australia-based paraplanning providers, as they possess the resources and expertise necessary to mitigate key person risk effectively.

Metamorphosis

The line between the adviser and the paraplanner is shifting. And it has to, if the advice profession is ever going to meet the demands of the thousands of Australians needing advice.

So the next time you consider your paraplanner, ask yourself: are they a “time-maker” in your business? Because it’s never too early to step into the future.

May 15th, 2024

Published on Advisely

A wise man once told me that the problem with the world today is that there is too much emotion and not enough data.  Operating an advice practice always has, and always will be, a numbers game.

Put more clients in the funnel to convert more new clients.

Get clear on your cost to serve to build out your advice fees.

And know your true adviser capacity. 

These days, adviser capacity is a topic hotter than a seat at a Swift concert. And with adviser numbers dwindling and practice operating costs rising, the clear solution is to help advisers to service more clients.

So what is the ideal number of clients for a financial adviser? Is revenue a better indicator of an adviser’s capacity? And how do we fairly measure their capacity?

Thoughts on this vary widely. And sure, it’s impacted by the level of service provided to said clients, amongst other things. But we know one thing for certain – we have to improve on what we’re doing now.

Based on the 2023 Iress Financial Advice Efficiency Report, the average client list per adviser has dropped to just 129. That’s too low. The latest Business Health report states a higher figure of 184 clients per adviser and up to 280 for high-performing practices.

In line with these stats, the 150-client mark seems to be a common place for advisers to land and what many deem a “respectable number”. This is an interesting position when others out there are successfully hitting the 280 to 300-client mark. If you can help more clients and make more money, why wouldn’t you?

The Business Health report also claims an average of 1.8 FTE support staff per adviser for high-performing practices versus 1.5 in other practices. It’s simple math, really. More support staff equals more adviser capacity. And with two (good) FTE support staff, an adviser can manage around 300 clients.

With an adviser only having so many working hours in the week, it would make sense to measure “capacity” by the number of direct support people available to that adviser. (Contrast this with the commonly-held notion that an adviser’s capacity equals their existing client base. Coincidence? I don’t believe so.)

Now, before you go handing out support staff to every adviser – there is an upper limit! Imagine an adviser stripped back to only client meetings and post-meeting file notes. With 20 meetings a week, they can maintain a comfortable workload and even find time for the occasional long lunch.

Some of you might shudder at that number, but I’m sure you all know an adviser operating this way right now, supported by a good team. The only difference between these few bold advisers and those settling around the 150-client mark is the decisions they make around their support. That’s it.

With the array of outsourcing options available, “finding the right people” is no longer the problem. And if you’re already operating with two support staff (or equivalent outsourced support) with less than 300 clients, what do you need to let go of? It’s time to spring clean your process.

Many practices we work with don’t know where to start in re-shaping their operations for greater capacity. The research is clear: start with building your team.

March 1st, 2024

Published on Advisely

Or do they?

Published on Advisely