Don't Keep Your Succession Plan a Secret
Dear Advisors,
Change is scary. It’s scary because it’s filled with uncertainty, and lack of control. We don’t want to scare our clients and employees by talking about our succession plan. But I believe talking about it is actually a silver bullet. Simply talking about it clears up the uncertainty. It builds confidence in the future you chose. Whether you’re taking over a practice, or looking forward to retirement, talking about the succession plan can actually help your firm grow.
How talking about your succession plan empowers your team:
As a leader in your business, it’s important to talk about business changes with your employees. Waiting to announce a big change at the last minute, or not telling people at all makes them feel excluded. They may even panic about what it means for their job. Don’t alienate your team. Use this to bring everyone together. Rally around the succession plan as a common goal that will secure the future of the company. It gives your employees a chance to get involved with the future of the company. A succession plan means a lot of change and a lot of extra work. This challenge will make your employees stronger leaders and better strategic thinkers.
How talking about your succession plan grows your business:
Announcing the exit strategy to your team is a great way to practice before starting that conversation with clients. I can tell you right now, your clients will be over the moon! They’ve probably been wondering about it, but were too polite to ask. Telling clients about the retirement plan will help them start building relationships with other people on your team. They will be excited to work with the successor advisor, and this is a great way to start handing over the reins. Honestly, that’s the true sign of a valuable business. The more your business can continue to run without you, the more valuable it is.
Telling prospects about your succession plan is a great way to grow your business. One team of older advisors I worked with explained that they had stopped getting younger clients because they didn’t have a succession plan in place. Now that they do, they’re able to convert more prospects to clients.
How talking about your succession plan reconnects your family:
Of course your life partner will know about the succession plan. This is where it becomes invaluable to work with a financial advisor. Both you and your spouse need to understand what life will look like in retirement, and beyond. You both should have complete confidence that you are financially prepared. Beyond sharing a future with your spouse, you get to share it with your friends and family! Having the conversation with friends and family is a great way to explore what that future looks like. Start making plans with your grand-kids! Get in touch with old friends! You’ll have more time to make memories together, and that’s definitely something to get excited about.
Ultimately, your employees, clients, and family want exactly what you want. They want to know what to expect when you’re gone. And they want you to be happy. You’ve been counseling clients for years about how to successfully transition into retirement. This is your chance to set an example and embrace a new chapter in life. If you’re the successor advisor, encourage the exiting advisor to take some of the steps above. It will help you both secure your family’s future and create a business that lasts.
Warm regards,
Brooklyn
P.S.
At Ellevate Advisors, we believe that advisors deserve to retire too. What does that look like for you, your family, and your business? Let’s figure it out together! Click here to schedule an initial phone call with our team today.