5 Key Metrics to Maximize Your Value & Production

 

How can you maximize your value and production? Start by examining these five key metrics.

There are five key health metrics that you should watch in order to maximize the value and production in your practice:

  1. Find your product mix. It sounds simple, but I’m amazed at the number of producers who don’t know their product mix. Your product mix includes fees for financial planning, fees for assets that you manage, commissions for brokerage-type accounts, open commissions for insurance that you sell, and any outside business that flows through your financial planning practice.
  1. Find out how many new clients you acquired each year. This step should be relatively easy. You should have a report that you can generate from a broker dealer or IRA of new clients that you acquired in the course of a year. You might have to clean it up for some duplicate accounts, but that report should be easy to find.
  1. Find the mean, median, and mode of your clients’ ages. Each will tell you a different story about your existing client base. Put a spreadsheet together to figure out each one.
  1. Find your production by product according to the age of your clients. That spreadsheet will get bigger, but you need to make sure that your client base isn’t aging out on you. If it is, then you need to build a program to capture younger accounts.
  1. Find your average production separated by the length of time you’ve had a client. Naturally, during the first year or two, your client will generate larger commissions and fees. Are you generating new revenue off of that client base?

 "These metrics give you a great platform to plan your business."

Once you gather the information from those five metrics in one spot and analyze them, you will have a great platform for planning your business over the next three or four years.

If you have any other questions about these metrics, give me a call or send me an email. I would be happy to help you!

About

Liberty Partners is a comprehensive financial services firm offering broker-dealer, investment advisory and practice management services to a nationwide field of financial services professionals.

Brad Atkins
Liberty Partners
5060 California Ave, Suite 620,
Bakersfield, CA 93309
843-779-7056, batkins@libertypfs.com www.libertypfs.com

About

Liberty Partners is a comprehensive financial services firm offering broker-dealer, investment advisory and practice management services to a nationwide field of financial services professionals.

Brad Atkins
Liberty Partners
5060 California Ave, Suite 620,
Bakersfield, CA 93309
843-779-7056, batkins@libertypfs.com www.libertypfs.com

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