When it comes to winning new clients, Elvis got it right: “Wise men say only fools rush in.” I actually know people who pride themselves on what they call the “One-Call Close.”  The One-Call Close method of selling seeks to make a product sale to a client in the very first meeting. It is also called “Low-Hanging Fruit Selling.” The idea is to get in, get what you can, and get out. These amateurs are nothing more than cheap salespeople, not financial advisors. They give our industry a bad name. The very idea is arrogant beyond description. I have heard some of these people boast of getting one over on the client, manipulating them into a snap decision. It’s a form of conartistry. Back in the day, they were called confidence men, because their stock in trade was their ability to convince people to trust them long enough to be fleeced by them. These people remind me of those young men we’ve seen on the news lately who walk up to people and punch them in the head, trying to knock them out cold. It is some kind of barbarous game to them. One-Call Closing is not a game, and it is not financial planning. We are dealing with people’s life savings, and they deserve our care and respect. ‘Fools rush in’ works both ways: advisors and clients should take their time before they jump into a relationship.

Don’t Kiss on the First Date

The shorter the process for winning new accounts, the more it’s about the advisor.  The longer the process, the more it’s about the client. Longer is better. New prospective clients have to meet with me at least 3 times before I will agree to take on their accounts. They can walk into Merrill Lynch or Fidelity Investments and open up a million-dollar account on the very first visit. But, I don’t kiss on the first date, or the second, or the third. In the first meeting, I simply gather information and book a second.  In the second meeting, I identify the problems in the portfolio and book a third.  In the third meeting, I explain my investment philosophy.  That’s it. If they want to hire me anywhere along the way, I demur. Even after the third appointment, if the prospective clients have decided to hire me, I send them home to think it over. If they still love me in the morning, they may call the office and book a visit (not with me) to meet with the staff to complete the paperwork to open their new accounts and bring over their assets. This is a hard rule in our firm. We may discuss a decision in a particular meeting, but we may not execute the decision in the same meeting. Clients, for their own good and for ours, need time to consider their options in order to make the best decision.  I don’t want my practice built on manipulation.  If I deliver in the first three meetings, there is a good likelihood that they will want to work with me. If they decide not to, it was probably my fault. I don’t want to sell products; I want to win accounts.

Winning New Clients

People like buying, but they don’t like being sold. Don’t manipulate them into a decision they may later regret. Instead, win their minds and hearts with a thoughtful and substantive process. Create anticipation and desire. Take the time to show prospective clients that you’re not just another pretty face. Showcase your planning skills, your knowledge of the markets and the economy, and your sincere interest in their future before doing business with them. How many advisors has the average investor ever met who requires 4-6 hours of meetings over 3-4 visits before accepting an account? An average of none. Want to land a big a account? Slow down. Want to win the whole account? Take your time.