Financially Simple

Defining the ideal client for your RIA is an important step toward the growth you desire. But what if the ideal client you've identified turns out to be more of a hindrance to your success? In this episode, I discuss seven reasons your perfect client persona may be holding you back. I'll also take a look at some of the ways you can refine your client persona to better fit the direction you want to go.   This week on The Financially Simple Podcast:    (1:18) What Is the Ideal Client? (2:48) How Do We Define Our Ideal Client? (3:46) Defining Your Target Market (4:20) You Haven't Defined Your Ideal Client Well Enough (7:33) Geographical Distance Could be Problematic (10:19) You're Targeting A Shrinking Market (11:56) Cultural Misalignment (13:46) You're Not Reaching Them Soon Enough (15:50) You Have No Common Ground (17:37) You Don't Have an Ideal Client (18:12) How to Address the Problem   Our Favorite Quotes:  "You've got to have a common ground with your ideal client. If you don't,

Growing your RIA in a highly competitive market can be a difficult task. Not only do you have to monitor the health and scalability of your own firm, but you must also keep your finger on the pulse of your competitors. Yet, competitive research is often met with a series of roadblocks.   In this episode, I look at the significant role that competitive research plays in the growth and direction of your RIA. Likewise, I discuss how to examine and evaluate your practice through the eyes of your competition. Finally, I review some of the most important assignments to take before your next strategic planning meeting, as well as the pros and cons that come with them. Whether you're a financial advisor or not, you don't want to miss this episode!   This week on The Financially Simple Podcast:   (3:48) Knowing the Destination: The Key to Good Planning (4:52) Business Owners Often Fail to Plan (5:55) Take Inventory of Right Now (6:38) Standard Operating Procedures (8:24) The Key Metrics (9:29) Take a Hol

As a financial advisor, it is possible to set your firm up in such a way that the eight-figure exit is possible. But simply trying to take on more clients as a primary means of growth could be a recipe for disaster. Instead, developing and implementing a system of KPIs could be the answer. KPIs or Key Performance Indicators can provide important insights into the health and direction of your firm.   In this episode, I discuss some of the many KPIs you could choose to explore within your finance department. I also talk about the importance of keeping your KPI tracking simple, and getting your team involved. With the correct KPIs, you could generate increased buy-in from your team while also driving more efficiently toward your objectives. You don't want to miss this episode!   This week on The Financially Simple Podcast:    (2:45) How do we determine if we made the right decision? (5:55) What are the KPIs that RIAs need to track? (7:56) Financial KPIs common to the financial world (12:20) Create a sy

Whether you're an established RIA or just starting, understanding which of your services is the most profitable can be a game-changer for the growth and direction of your firm. However, you must also view your services through the greater context of Client Lifetime Value (CLV). This simple metric could change your whole perspective when it comes to your profitability by service.   In this episode, I dive deep, looking at the many layers that determine each practice's best pathway to profitability. From the impact of CLV and time investment to direct and indirect expenses that could be eating into your profits, this episode will help you discover whether you're firm is truly focused on its most profitable services. Finally, I'll give you some practical tips for changing course, should you determine you've been heading in the wrong direction.   This week on The Financially Simple Podcast:    (1:13) The Productivity Paradox (4:27) Define Your Success (6:34) Resources Allocated Per Service (8:34) Concen

As the owner of an independent RIA, you likely wear many hats. You're an advisor to your clients, but you could also be overseeing compliance, accounting, operations, and more. Each of these tasks pulls you in different directions, and most importantly, away from your clients. Even if you are succeeding in juggling each of these responsibilities, doing so still presents a problem... your firm is controlling you!   In this episode, I discuss shifting that control back into your hands by hiring a dedicated CFO. I detail what a CFO does for your firm, average compensation in the RIA space, and the education and experience this professional adds to your firm. In addition, I also discuss the importance of looking at your firm's financial health and strategy through an objective lens. You don't want to miss this episode!   This week on The Financially Simple Podcast    (1:35) RIAs Who Use a Dedicated CFO (4:25) Difficult to Raise Fees (5:26) What does a CFO bring to the table? (8:50) The Most Important Th

Owning an independent RIA offers many rewards. You get to work with the clients you want to work with, receive a greater percentage of revenue, and as long as you remain compliant, you have autonomy to do things your way. Yet many financial advisors struggle to maximize the greatest reward that owning their own firm has to offer... You hold an asset that has the power to change your financial future!   In this episode, I discuss the expense benchmarks for the industry. Similarly, I discuss the impact of how you prioritize spending in your firm, as well as the importance of having financial controls in place. Although I'm speaking directly to financial advisors, many of the principles I cover can be directly applied to businesses across multiple industries. So, don't miss out!   This week on The Financially Simple Podcast:    (0:45) The "Eight Figure" Exit (2:30) Are You Tired of Feeling Broke As a Financial Advisor? (5:03) A Byproduct of a Lack of Pure Data (7:35) Moving Away From Brokenness/Facing

Like many other types of business owners, Independent Financial Advisors are prone to misunderstanding the true potential of their firms. Far beyond a means to a comfortable living, your firm is your greatest individual asset. As such, you must take great care to grow it,  maximizing its value in the process.   Unfortunately, many financial advisors fall short when it comes to preparing their firm for the ultimate sale. In this episode, I introduce a miniseries aimed at helping IARs unlock the success in their firms. Although I'm specifically addressing financial advisors, don't tune out! The information contained in this series can be applied across many industries, and could help you when hiring an advisor of your own.   This week on The Financially Simple Podcast:   (1:46) More questions from financial advisors than any other segment (2:33) Why this information is for everyone (4:15) One thing that surprises me (5:41) Who, specifically, am I speaking to? (9:31) The personality profiles of fi

As a business owner, you're a rock star. You are a master of your trade, and provide your clients with the best experience they can have. But what about all those other areas of business? Are you the best HR director? Marketing Specialist? Are you a master of developing systems and processes to maximize operational efficiency? More than likely, you're unequipped in at least one of these areas.   That's why you have a manager on your team. But too often, business owners fail to let their managers manage them. In this episode, I discuss some of the reasons business owners struggle to let go and let their managers also manage them. I also explore the benefits of working with your management team, and offer steps to take to relinquish control for the sake of your business!   This week on The Financially Simple Podcast:   (3:20) The role of an office manager (4:17) Hiring your opposite (11:26) How I allowed myself to be managed (24:00) Don't stand in the way (14:13) Benefits of being managed by your o

Selling your business can be a dream come true. But there are some surprising realizations you and your spouse or significant other will make once the sale is done. In this episode, I discuss some of the lessons I've learned about life after the sale of a business. I explain the sense of loss that many entrepreneurs feel after they've sold their companies. I also give some tips to prepare for life outside your business, so you can make the transition to "civilian life" as simple as possible.   This week on The Financially Simple Podcast:    (1:30) Burdens carried by our significant others (2:49) The question (4:34) There are rewards from selling your business (6:50) The emotional toll of selling a business (9:15) The link between business owners and their companies (11:01) How do you prepare for life after the sale? (13:01) Learning to live with your significant other... again (14:53) Give like no one else   Our Favorite Quotes:  "When people ask me about my own recent sale, they're ofte

Few things in life are as emotional and complex as a business sale. You've poured your blood, sweat, and tears into your business for years—even decades—and now, it's time to sell. But should you try to sell your business on your own, or use the services of a business broker?   Is it worth the headache of attempting to facilitate a sale while still operating your business? Are you certain of the real value of your business? Do you have what it takes to negotiate the best price? Can you differentiate between legitimate offers and scams?   In this episode, I look at the pros and cons of working with a broker, as well as detail some of the steps you can take to ensure that you're hiring the right one.   This week on The Financially Simple Podcast:   (0:44) What is a business broker? (3:00) A simple analogy: For Sale By Owner vs Realtor (4:50) Why you should use a broker to sell your business (8:00) Personal experience with an intermediary (9:05) How do you choose a broker?   Our Favorite Quotes:

Dental entrepreneurs are very near and dear to my heart. Over the years, I've worked with so many of you, and I hear from even more who follow the Financially Simple Podcast. That's why these past few episodes have been especially geared to each of you. Although you experience many of the same struggles that are common across all industries, there's also a uniqueness about the way a dental practice operates.   In this episode, I am wrapping up the miniseries I've devoted to dental entrepreneurs by looking at whether now is the perfect time to open a new office. I discuss the pros and cons of trying to open a new office from scratch while running a fully operational practice. Likewise, I uncover some of the necessary steps to take that will give your new office the best chance to succeed.   This week on The Financially Simple Podcast:   (1:00) Why you might be considering opening a new office (3:10) The benefits of starting a new office from scratch (Pros) (7:39) The downside of opening a second locati

Making a strategic move to grow your dental practice through a merger is a big decision; one that comes with many moving parts. In this episode, I reveal some of the pros and cons of merging a dental practice to facilitate growth. I also discuss the growing trend of dental entrepreneurs joining DSOs and DMSOs. While specifically addressing dental entrepreneurs, this episode is packed full of practical information for any business owner whose exploring the option of a merger.   This week on The Financially Simple Podcast:  (1:23) Why would you consider merging a dental practice? (3:49) Benefits of merging (4:02) Revenue synergy (5:32) Cost Savings (7:18) The downside of mergers (14:50) How DSO and DMSO models differ (17:10) Considerations for merging with DSOs or DMSOs   Our Favorite Quotes:  "All businesses have problem areas and nobody wants to believe their business isn't 'beautiful.' So, you must expect the same to be true with the practice you're considering a merger with." - Justin Goo

Recently, I received a very important question from one of our listeners. The question came from a dental entrepreneur who finds himself in a position where his business debts are paid and he has an excess of cash in his reserves. Likewise, he's taken steps to secure his personal finances by diversifying outside the business. He finds himself in a position where he can't take on anymore clients because he's already at capacity, but still wants to grow his practice.   The question is this, "What are the pros and cons of buying a practice to grow my current dental practice?" In this episode, I answer this question, addressing the pros and cons of such a strategic move. I also discuss some of the ways to mitigate the risks involved. Although this question is framed to speak directly to dental entrepreneurs, the information can still be applied to many different industries.   This week on The Financially Simple Podcast:    (1:13) Laying the groundwork/Who asks this type of question? (2:26) Why you should t

I'm always amazed at the number of dentists that listen to the show. It's always very humbling when I meet one of you in person and you tell me how much you enjoy our content and how it has helped you in your businesses. So, with this episode, I want to pay special attention to all of the dental entrepreneurs out there.   In this episode, I look at what it takes to grow your dental practice. From calculating the cost of capital to determining your year-over-year average growth rate, I walk dental entrepreneurs through the factors that go into deciding how and when to reinvest in their practices. However, the principles I'm discussing can also be applied to any business. Therefore, this episode is for all entrepreneurs who are ready to maximize their greatest asset... their business! This week on The Financially Simple Podcast:   (2:17) A few basic assumptions before we begin (5:20) Opportunity Cost (7:21) Calculating Opportunity Cost (8:27) Highest and Best Use of Reinvestment (10:51) What High

Selling a business provides many new and exciting opportunities. Although it may be tempting to use the proceeds of the sale to start a new business, there are reasons you might choose to wait. In this episode, I look at the effect our current economy could have on a new business.   I also examine how the mass migration going on in the US could have a variety of impacts on emerging businesses. Perhaps most importantly, I discuss the personal impact that immediately jumping into your next business venture could have on you, your health, and your relationships.   This week on The Financially Simple Podcast    (1:36) Current economic factors  (4:37) Mass migration's impact on local economies (9:20) Personal considerations (10:56) Taking care of yourself (12:36) Taking care of your relationships   Our Favorite Quotes:  "We have the desire to make a path where there isn't one. In many ways, that's a good and admirable trait. But we must remember that there is a cost to all of this, and it's one th

Expectations are an important part of business. A CEO sets expectations for growth over time. Your sales department outlines product and service expectations for potential clients. But can expectations be harmful to your business? Inherently working to exceed expectations isn't necessarily a bad thing. However, if you're setting expectations too high and consistently underperforming, that could be a recipe for disaster. In this episode, I unpack whether trying to exceed expectations is dangerous to your business. I also give some tips for setting clear expectations, opening the door for you to exceed them.   This week on The Financially Simple Podcast:  (2:08) The importance of clear expectations (3:39) Communicating expectations with clients (4:58) When expectations become dangerous (5:31) Creating realistic expectations (9:45) Exceeding expectations through transparency (11:04) Set boundaries Our Favorite Quotes:   "Setting expectations is only dangerous when they can't be met" - Justin Good

Making the transition from business owner to employee after selling your business is something that many entrepreneurs aren't well prepared for. Friends, I'm not referring to those who've sold their companies and must now find a job. Instead, I'm talking about those who do as I recently did, selling their business and staying on as an employee. Are you truly prepared for that type of transition? Can you handle it? In this episode, I'm exploring how to go from owner to employee in your own business.   This week on The Financially Simple Podcast:   ●        (2:15) Employment agreements and Earn-outs ●        (5:20) Can you handle the change? ●        (7:40) A new set of benefits ●        (10:01) Lowered risk ●        (11:30) Don't do it alone   Our Favorite Quotes: "You can handle whatever you desire to handle. Whether you think you can or think you can't, you're right." - Justin Goodbread   "Being at the top is a lonely place. While you might not be truly alone, there are very few people in the

Your company's core values are more than just a few "feel good" words plastered on your wall. They have the power to shape the entire culture of your business. Therefore, it's critical that your values actually mean something. More than this, they must be such a part of your daily culture that you and your team embody them without a conscious effort. In this episode, I discuss the importance of choosing the correct values for your business and how to live them out. I also cover 4 easy ways to communicate your core business values with your customers.   This week on The Financially Simple Podcast: ●       (1:33) Why core business values matter ●       (3:10) Putting your values to work ●       (4:34) How Chick-fil-A integrated their values into their culture ●       (9:35) 4 ways to communicate your company's core values with customers ●       (9:44) Listing values on your website ●       (11:08) Displaying values through actions ●       (11:34) The power of "Cause Marketing" ●       (12:48) Values-

In this episode, I discuss something very near and dear to my heart... the pro forma. You've probably heard of pro forma before. In fact, you may have used them in your business. But are you aware of the many different pro forma documents and their unique benefits?  Using pro forma documents can help you understand what the future holds for your business. I'll discuss this and explain the different types of pro forma and how they can be applied to your business in this episode of the Financially Simple podcast.   This week on The Financially Simple Podcast:  ●        (1:48) What is Pro Forma? ●        (2:35) Pro Forma calculation ●        (5:03) Budget documents ●        (5:24) Company income statements ●        (6:24) Earnings projections ●        (10:53) Secure funding ●        (11:51) Inspire confidence in prospective buyers ●        (13:38) Assessing M&A and risk analysis   Our Favorite Quotes:  "If you use correct assumptions in creating your pro forma, you can demonstrate viable growth

Have you ever wondered why some leaders are more effective than others? The extreme ownership principles taught by Jocko Willink and Leif Babin, both in their book and consulting firm, shine a light on the necessary traits of effective leaders. But how do you take battle-tested (literally) leadership principles and apply them to your business?   In this episode, I explore how extreme ownership applies to small business. I'll also explain 3 ways you can quickly implement extreme ownership principles in your team to supercharge your business.   This week on The Financially Simple Podcast:   (2:02) What is Extreme Ownership? (4:52) Accepting Criticism and Deflecting Praise (7:17) Self Evaluation (7:59) Implementing Extreme Ownership in Your Team (10:44) No Bad Teams, Only Bad Leaders (11:56) Transforming Leaders (16:26) Cover and Move (20:09) Steps to Break Down Silos   Our Favorite Quotes:   "With great leadership, any team can succeed." — Justin Goodbread   "Allow your group leaders to lead. Micro-managing t