Loyal as you may be to your firm, you won’t remain there forever. Perhaps you’re craving to become your own boss or feel ready to start a new chapter in your career. Whatever your reasons, becoming a self-employed financial adviser is a wise decision.
After working for several years in your current firm, you’ve grown your client list and built your career. However, starting over once you break away can be a challenge.
Here are a few clever ways to move with your clients.
Check your contract and honor it
Companies have restrictive contracts to protect themselves, but not all contracts will have covenants. Usually, you may be bound to certain restrictions and confidentiality agreements to ensure you don’t cause serious damage to the firm when you leave. First, however, ensure you honor the contracts. Remember, the financial advice industry is built on trust, and breaching a contract can ruin your reputation and negatively impact your new business down the road.
Explain your move to your clients
Your current employment contract may prohibit you from taking client information or soliciting clients to follow you. However, you can use publicly available sources to obtain your clients’ contact information after you move.
Ensure you create your communications plan carefully to avoid litigation after your move. Utilize your communications plan when calling your clients and articulate the benefits of moving. Remember also to highlight the things that won’t change if your clients decide to follow you, such as regular reviews and easy access to you and other support staff.
Address clients’ concerns
If clients decide to come with you after you break away, it’s necessary that you address their concerns. Your clients will want to know how the move will affect them, your fees and how you’ll keep everything secure. There are a lot of forms and procedures when starting an RIA firm, so reassure your clients constantly.
Starting an RIA firm is exciting yet stressful, especially if you have to start from scratch. But with sound legal advice and a well-thought strategy for communicating with clients, you may successfully move with your clients and grow your business.