6 Steps to a Business Plan That Gets Results

Now is an opportune time to position yourself for success in the coming year. With that in mind, I spoke with three of the advisory industry’s top sales coaches on what advisors need to know about crafting a truly transformative business plan. 

There’s some compelling research on the efficacy of clearly written business plans, according to Michael Silver, managing director of practice management at FLX Networks and managing director at Focus Partners.

A study of Harvard MBAs revealed that 10 years after graduation, students who had specific goals (but no written plans) were earning twice as much on average as those who didn’t have specific goals. 

Those who had written, explicit goals and plans were earning on average 10 times as much as other students. 

To start: A business plan is a document that outlines the overall strategy, goals and operations of a business, according to Maribeth Kuzmeski, president of Red Zone Marketing. 

It typically includes mission and vision statements, information on target market, competitive analysis and more. The marketing plan focuses on the strategies and tactics to achieve the business’ goals.

Here are six steps to a plan that gets results:

1. Use specific, measurable goals and tactics.

Kuzmeski, for instance, advocates SMART goals, which are specific, measurable, achievable, relevant and timely. 

“An effective business plan should focus not just on goals, but on the strategies and tactics needed to attain those goals,” Silver explained.

2. Design a goal-setting funnel.

There’s a critical distinction between goals, strategies and tactics, according to Eric Sheikowitz, a managing director at FLX Networks and senior managing partner of Focus Partners. 

It’s good to begin at the high level with specific, quantitative goals. 

Suppose your goal is to raise $50 million in new assets under management in 2024. The next step is to decide upon the target markets that you’ll focus on to implement your strategy. 

For example, you could decide to reach out to business owners or centers of influence. Both are strategies.  

You’ll then need to decide what specific tactics you’ll use to get your strategies to succeed.

“The most granular level of the funnel is the tactics,“ Sheikowitz said. “These are precisely what you are going to do to enable your strategy to come to fruition.” 

If you’re reaching out to business owners, for example, you might leverage LinkedIn or cultivate relationships with centers of influence like CPAs. 

You could also ask a specific number of clients per month for introductions to their CPAs or for permission to call them and introduce yourself. 

In addition, you might want to schedule one lunch per month with a center of influence. It’s best to employ multiple strategies and tactics to achieve your objectives. 

3. Measure results and tweak strategies regularly.

Advisors should gauge their results on a weekly or monthly basis and revise their efforts accordingly. 

If you’re bringing a friend to client appreciation events, educational seminars or spending money on online advertising, for instance, it’s important to continually assess how much you are spending and what types of clients each of these efforts is producing. 

Is your social media campaign generating likes and shares? 

“Don’t wait until December to find out that your marketing plan isn’t working,” Kuzmeski said.

Even when things are working well, advisors should always know their numbers. 

4. Be patient and persistent.

Don’t expect instant results. Be persistent in executing on your strategies, as long as you have some evidence that you’re moving in the right direction. 

5. Draw on each member of your team.

Everyone on the team — including financial planners, analysts and client service associates — should have input into the overall business plan. 

“This creates a culture of empowerment and accountability,” Silver said.

Specific goals can then be established for each team member that can be used in assessing bonuses and promotions.    

6. Remember: Delighted clients help a business grow.

“Make sure that your client experience is top notch,” Kuzmeski said.

This ensures that you’ll generate referrals without asking. That’s the best way to grow your business.

---

Mark Elzweig, who has more than three decades of experience in working with advisors and writing for industry publications. is head of Mark Elzweig Co., an executive recruiting firm that specializes in helping financial advisors find the right career paths. 

(Credit: Shutterstock)