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As a financial planner, time is your most valuable resource. At the start of your career, you might find that a hands-on approach works, but it’s not sustainable as your practice expands.
Hiring is a crucial part of growth.
Studies show that financial planners who build their teams experience a higher growth rate in assets under management (AUM) and client retention.
Building your own team allows you to focus on high-value activities like client relationships and strategic planning while keeping your back-office operations running smoothly.
So, when is it time to hire?
Declining client satisfaction and burnout are strong indicators that it’s time to expand your team.
But you don’t have to wait until growth stretches your capacity to consider hiring. If you’re dedicating 5 hours in client management when a skilled Client Service Administrator (CSA) can complete it in just 2 hours, you’re not only slowing down your processes but also missing out on valuable opportunities to grow your business.
Inefficiency is an enemy. Inconsistency in service quality is a red flag. And limited capacity is a barrier to growth.
When you experience these, don’t wait any longer. Start building a team to support you.
But who do I hire first?
Once you recognize the need to hire, the next step is determining which role will have the most immediate impact on your practice’s growth.
Someone with complementary skills and who could alleviate the biggest bottleneck in your practice should be your first hire. Based on our research and experience, many fast-growing practices start with these three team members:
1. Client Service Administrator (CSA): The Operational Backbone
A CSA ensures that day-to-day operations run smoothly by taking charge of administrative and logistical tasks. This support allows you to focus on advising and driving business growth while enabling the entire team to operate more efficiently.
Key Responsibilities:
- Processing account openings, updates, and maintenance
- Managing client documents and ensuring compliance
- Scheduling meetings and preparing reports for client reviews
- Responding to routine client inquiries promptly
According to a study by the Financial Planning Association (FPA), practices with strong operational support see a 30% higher efficiency rate compared to those without. By delegating routine tasks to a CSA, you can redirect your energy to growing your client base and providing exceptional advice.
2. Associate Advisor: Scaling Expertise
An Associate Advisor is your partner in delivering financial advice. They take on the technical and preparatory aspects of financial planning, so you can focus on nurturing relationships and acquiring new clients.
Key Responsibilities:
- Creating comprehensive financial plans and conducting research
- Preparing investment proposals and scenario analyses
- Supporting client meetings with data-driven insights
- Transitioning into a lead advisory role for specific client segments over time
A Cerulli Associates study found that financial planners who delegate 40% or more of their client workload to associate advisors experience a 20% increase in client capacity. With an Associate Advisor on your team, you can serve more clients without sacrificing quality or results.
3. Marketing Specialist: Driving New Business
Client acquisition is the lifeblood of any financial planning practice. A Marketing Specialist ensures your practice maintains a strong online and offline presence. Their efforts help attract, engage, and qualify potential clients while also fostering retention of existing ones.
:Key Responsibilities
- Developing and executing targeted marketing campaigns
- Managing your website, social media, and email outreach
- Hosting webinars, seminars, or community events to generate leads
- Analyzing marketing performance and refining strategies
According to HubSpot, businesses that invest in digital marketing grow revenue 2.8 times faster than those that don’t. A dedicated Marketing Specialist not only increases your visibility but also ensures that your marketing efforts are consistent and measurable.
Why This Trio Works
The CSA provides operational stability, ensuring that day-to-day tasks don’t disrupt client-facing activities. The Associate Advisor increases your capacity to manage and grow your client base. And the Marketing Specialist fuels your pipeline by attracting and engaging potential clients.
Together, this small but powerful team creates a robust support system while you focus on your client-building activities.
But Hiring Alone Isn’t Enough
While this trio provides the foundation for a successful practice, the impact of your team depends on more than just the roles they fill—it hinges on hiring the right people to fill them.
Failing to do so doesn’t just slow growth, it can actively harm your practice. A 2024 study by CEG Insights reveals that nearly 43% of financial firms report significant losses in AUM or revenue due to negative team member behavior.
High-performing teams do more than just complete tasks. They operate with a shared vision and leverage each other’s strengths to deliver exceptional results. For this synergy to happen, technical skills alone won’t cut it.
When hiring, it’s equally important to assess alignment in values, character, and team dynamics. These attributes create the foundation for a cohesive and effective team.
Conclusion
Building a team isn’t just about hiring more hands —it’s about strategically assembling a group of people who complement your strengths, address bottlenecks, and align with your practice’s vision.
Start by identifying your biggest operational gaps and bring in the right people to fill them.
MacNicol & Associates Asset Management offer support in executing these strategies to improve your business and set up your client’s investment portfolio for success. Reach out to discuss how we can help grow your practice.
