I would add to this excellent reply that it's very helpful if you can find a niche, generally a group you're already part of. That could be anything from model train enthusiasts to your local mosque. You won't get rich but if you pick a big enough niche you could make a living and quickly reach a point where you're getting your leads by word of mouth. For example, as a retirement gig I'll probably start a non-profit to provide financial advice to enlisted folks in the military, because I know they're underserved and can use it and I was part of that community for 20+ years.
Looking for Pre Qualified Leads Service
- Thread starter Chris0854
- Start date
- Calling people is too intrusive these days.
- IMO ...... Advertising and/or being a sponsor on ET would be the best way to get clients.
Reply to your posts are inline below:
"Chris0854, post: 4667193, member: 495529"]What are some services that offer leads to stockbrokers? There seem to be a lot of different companies but which is the most recommended out there?
Knowing how to do research is a key skill in life. There are blogs of stockbrokers out there that talk about marketing. You can get the perspectives from stockbrokers who work at a wide variety of firms. Some firms will have their news guys selling munis on the idea if the prospect shows interest in that kind of product, they are already well qualified. Also visit insurance sales, real estate sales, and loan originator blogs for well rounded information.
Within Elitetrader, I have commented before on ideas for a new financial salesperson to get started.
"Chris0854, post: 4667198, member: 495529"]Hi Robert, thanks for the response,
Basically instead of cold calling I would be calling people that have been already called and have expressed interest in investing and I could just call them.
Lead services are expensive and many of their leads have been previously called many times. Fortunately, most telephone solicitors do not know what they are doing so there should still be some prospects still in play. Four keys to maximizing these lists are how fast you contact new prospects on the list, your content, followup, and honesty.
Statistics show the response rate to a “warm” call are about ten times higher in the first five minutes of a lead initiating contact(say by filling out an online contact form) versus thirty minutes later. It is still profitable for a new guy to call “old” lists, however.
There is a lot going on geopolitically with impending trade wars. Many retail prospects don’t know what to make of it all and should you become knowlegeable in this subject, some prospects may see you as “their guy”.
When you make a contact, as in finding someone who will actually talk to you and is qualified, you must follow up. On average, it takes seven contacts for a prospect to become a client.
Financial relationships are built on trust. Always be honest.
Cold calling is still hot. By hot, I mean, depending on the area of the country you are in, at least 22% of people are not on do not call lists. A fair number of those people are older and still have landlines. Landline cold calling rules are less restrictive than cellphones.
One can cover a lot of ground cold calling and you would be suprised who you can reach by phone. You learn common objections, concerns, and hot buttons fairly quickly by contacting many people in a short period of time. In addition, you will have input on how to best refine your presentation. In time, you wil be able to develop specific presentations according to the personality type you meet on the phone and in person.
"Chris0854, post: 4667217, member: 495529"]None!
Im just starting out of a private little firm trying to build experience and see where I go from there.
You will learn quickly learn how people respond to you over the phone. To help get over fear of rejection, team up with a mentor that you might find from one of the stockbrokers or other financial blogs out there. As you build a clientele, your need to cold call, whether on “prequalified” lists or not, will diminish.
As your presentations become more effective, look to network with other industry professionals such as accountants, real estate agents, loan originators, attorneys, and business owners.
Perhaps you could join Toastmaster’s, Intl to learn more about effective written and verbal communication. In addition, many of the members at your Toastmaster’s meetings are very well connected. Building a relationship with these people will likely open doors that you didn’t even know existed.
Taking the time to understand certain tax laws, such as 1031 tax deferred exchanges, will open many doors as very few know how to properly explain the benefits. Maybe you can become the “go to” guy that people in your network will recommend to their clients. Perhaps they will send their clients to you in order to get their 1031 exchange questions answered. If you are not a tax professional, be sure to disclose that to all parties and have a trusted tax professional available to help handle specific transactions or questions you don’t know the answer to. There are several high commission products that are considered securities that can benefit people interested in 1031 tax deferred exchanges. Your client list, 1031 exchange knowledge, and series 7 license can make you very valuable to many service providers.
To succeed or even dominate in this very competative field, you need to be driven, be able to handle objections, work hard, and be honest with your clients all the time.
You knowing how to independent research would be an extra bonus for your clients.
Best wishes to your new venture.
"Chris0854, post: 4667193, member: 495529"]What are some services that offer leads to stockbrokers? There seem to be a lot of different companies but which is the most recommended out there?
Knowing how to do research is a key skill in life. There are blogs of stockbrokers out there that talk about marketing. You can get the perspectives from stockbrokers who work at a wide variety of firms. Some firms will have their news guys selling munis on the idea if the prospect shows interest in that kind of product, they are already well qualified. Also visit insurance sales, real estate sales, and loan originator blogs for well rounded information.
Within Elitetrader, I have commented before on ideas for a new financial salesperson to get started.
"Chris0854, post: 4667198, member: 495529"]Hi Robert, thanks for the response,
Basically instead of cold calling I would be calling people that have been already called and have expressed interest in investing and I could just call them.
Lead services are expensive and many of their leads have been previously called many times. Fortunately, most telephone solicitors do not know what they are doing so there should still be some prospects still in play. Four keys to maximizing these lists are how fast you contact new prospects on the list, your content, followup, and honesty.
Statistics show the response rate to a “warm” call are about ten times higher in the first five minutes of a lead initiating contact(say by filling out an online contact form) versus thirty minutes later. It is still profitable for a new guy to call “old” lists, however.
There is a lot going on geopolitically with impending trade wars. Many retail prospects don’t know what to make of it all and should you become knowlegeable in this subject, some prospects may see you as “their guy”.
When you make a contact, as in finding someone who will actually talk to you and is qualified, you must follow up. On average, it takes seven contacts for a prospect to become a client.
Financial relationships are built on trust. Always be honest.
Cold calling is still hot. By hot, I mean, depending on the area of the country you are in, at least 22% of people are not on do not call lists. A fair number of those people are older and still have landlines. Landline cold calling rules are less restrictive than cellphones.
One can cover a lot of ground cold calling and you would be suprised who you can reach by phone. You learn common objections, concerns, and hot buttons fairly quickly by contacting many people in a short period of time. In addition, you will have input on how to best refine your presentation. In time, you wil be able to develop specific presentations according to the personality type you meet on the phone and in person.
"Chris0854, post: 4667217, member: 495529"]None!
Im just starting out of a private little firm trying to build experience and see where I go from there.You will learn quickly learn how people respond to you over the phone. To help get over fear of rejection, team up with a mentor that you might find from one of the stockbrokers or other financial blogs out there. As you build a clientele, your need to cold call, whether on “prequalified” lists or not, will diminish.
As your presentations become more effective, look to network with other industry professionals such as accountants, real estate agents, loan originators, attorneys, and business owners.
Perhaps you could join Toastmaster’s, Intl to learn more about effective written and verbal communication. In addition, many of the members at your Toastmaster’s meetings are very well connected. Building a relationship with these people will likely open doors that you didn’t even know existed.
Taking the time to understand certain tax laws, such as 1031 tax deferred exchanges, will open many doors as very few know how to properly explain the benefits. Maybe you can become the “go to” guy that people in your network will recommend to their clients. Perhaps they will send their clients to you in order to get their 1031 exchange questions answered. If you are not a tax professional, be sure to disclose that to all parties and have a trusted tax professional available to help handle specific transactions or questions you don’t know the answer to. There are several high commission products that are considered securities that can benefit people interested in 1031 tax deferred exchanges. Your client list, 1031 exchange knowledge, and series 7 license can make you very valuable to many service providers.
To succeed or even dominate in this very competative field, you need to be driven, be able to handle objections, work hard, and be honest with your clients all the time.
You knowing how to independent research would be an extra bonus for your clients.
Best wishes to your new venture.
Last edited:
Reply to your posts are inline below:
"Chris0854, post: 4667193, member: 495529"]What are some services that offer leads to stockbrokers? There seem to be a lot of different companies but which is the most recommended out there?
Knowing how to do research is a key skill in life. There are blogs of stockbrokers out there that talk about marketing. You can get the perspectives from stockbrokers who work at a wide variety of firms. Some firms will have their news guys selling munis on the idea if the prospect shows interest in that kind of product, they are already well qualified. Also visit insurance sales, real estate sales, and loan originator blogs for well rounded information.
Within Elitetrader, I have commented before on ideas for a new financial salesperson to get started.
"Chris0854, post: 4667198, member: 495529"]Hi Robert, thanks for the response,
Basically instead of cold calling I would be calling people that have been already called and have expressed interest in investing and I could just call them.
Lead services are expensive and many of their leads have been previously called many times. Fortunately, most telephone solicitors do not know what they are doing so there should still be some prospects still in play. Four keys to maximizing these lists are how fast you contact new prospects on the list, your content, followup, and honesty.
Statistics show the response rate to a “warm” call are about ten times higher in the first five minutes of a lead initiating contact(say by filling out an online contact form) versus thirty minutes later. It is still profitable for a new guy to call “old” lists, however.
There is a lot going on geopolitically with impending trade wars. Many retail prospects don’t know what to make of it all and should you become knowlegeable in this subject, some prospects may see you as “their guy”.
When you make a contact, as in finding someone who will actually talk to you and is qualified, you must follow up. On average, it takes seven contacts for a prospect to become a client.
Financial relationships are built on trust. Always be honest.
Cold calling is still hot. By hot, I mean, depending on the area of the country you are in, at least 22% of people are not on do not call lists. A fair number of those people are older and still have landlines. Landline cold calling rules are less restrictive than cellphones.
One can cover a lot of ground cold calling and you would be suprised who you can reach by phone. You learn common objections, concerns, and hot buttons fairly quickly by contacting many people in a short period of time. In addition, you will have input on how to best refine your presentation. In time, you wil be able to develop specific presentations according to the personality type you meet on the phone and in person.
"Chris0854, post: 4667217, member: 495529"]None!
You will learn quickly learn how people respond to you over the phone. To help get over fear of rejection, team up with a mentor that you might find from one of the stockbrokers or other financial blogs out there. As you build a clientele, your need to cold call, whether on “prequalified” lists or not, will diminish.
As your presentations become more effective, look to network with other industry professionals such as accountants, real estate agents, loan originators, attorneys, and business owners.
Perhaps you could join Toastmaster’s, Intl to learn more about effective written and verbal communication. In addition, many of the members at your Toastmaster’s meetings are very well connected. Building a relationship with these people will likely open doors that you didn’t even know existed.
Taking the time to understand certain tax laws, such as 1031 tax deferred exchanges, will open many doors as very few know how to properly explain the benefits. Maybe you can become the “go to” guy that people in your network will recommend to their clients. Perhaps they will send their clients to you in order to get their 1031 exchange questions answered. If you are not a tax professional, be sure to disclose that to all parties and have a trusted tax professional available to help handle specific transactions or questions you don’t know the answer to. There are several high commission products that are considered securities that can benefit people interested in 1031 tax deferred exchanges. Your client list, 1031 exchange knowledge, and series 7 license can make you very valuable to many service providers.
To succeed or even dominate in this very competative field, you need to be driven, be able to handle objections, work hard, and be honest with your clients all the time.
You knowing how to independent research would be an extra bonus for your clients.
Best wishes to your new venture.
Really great reply thank you
Many, many, many moons ago my partner and I would engage in "smart marketing" by finding money in motion - working with attorneys who had clients with estate transaction needs, people retiring, Indian Tribes, exiting large real estate ventures, church endowments etc to name a few. We also worked at the then largest wirehouse and had attorneys to help with IRS private letter rulings, Family Office Group services, real estate experts (collateralized lending), business financing, succession planning etc. Much different than being a "stock jockey".
We positioned ourselves as experts in 8-9 figure+ transactions and found a lot of business in doing so. Alternatively we saw others go after small accounts. After a while they would move on to seek other endeavors.
Good luck!
We positioned ourselves as experts in 8-9 figure+ transactions and found a lot of business in doing so. Alternatively we saw others go after small accounts. After a while they would move on to seek other endeavors.
Good luck!
The arguments about "what about the discount brokers" etc. are garbage from people who haven't done it. If you're a good salesperson you will be able to cold call and raise tens of millions of dollars in client AUM. I did it three years ago, not in the 90's. Do not call list sucks, yes, but it is possible. I would advise calling people local to you and setting up in person meetings rather than trying to close them over the phone, although that is also feasible and I have also done so successfully. Identify wealthy neighborhoods local to your office and send mailers that are some form of introductory letter about yourself and your firm, the benefits of dealing with yourself and your firm, what areas you have expertise with etc. Then follow up the mailers with phone calls, introduce yourself on the phone and have a basic speil to the effect of "Hi my name is so and so I work at XYZ firm in (your town), I wanted to reach out to you to see if your received the letter I sent. Have you received it?" Then go into talking about who you are and what you do and who they are and what they do.
I have done this successfully in the current era of discount brokers (which by the way are NOT competition to you as a professional broker/RIA because they target different markets than you do) and the do not call list.
If you can sell, you can do it.
I have done this successfully in the current era of discount brokers (which by the way are NOT competition to you as a professional broker/RIA because they target different markets than you do) and the do not call list.
If you can sell, you can do it.
The leads you were calling were not in the least even a bit warm? I doubt it. The reaction you'd get these days esp. from HNW individuals to an ice cold call is pretty clear.
I qualified them myself, making an initial cold call for introduction and then following up to pitch for either a meeting or to open an account if they were interested in something. Not trying to be a d*ick but if you've ever cold called, you'll know that the reason that you only stand a chance if you make at the very least 300 dials per day is because the majority of the people you talk to will tell you to go F yourself.
It's called the 10% rule, you make 400 calls, of the people who answer you'll end up with about 40 who will talk to you beyond immediately hanging up on you, of those you'll get an average of 4 who are qualified and interested enough to hear back from you, of those the number falls off again and you'll end up with 1-2 accounts per 5-10 qualified leads that you call back later on. When I got good, the callbacks after having qualified people for being invested in the markets and accredited (we went for people who were way beyond the standards for accredited, $500k being considered a small account) I'd get an account opened for every 5-10 good pitches that people would talk to me for.
Also you'll know that sales is not about telling someone about XYZ thing that they should buy, it's about overcoming their objections about why they shouldn't buy it.
When someone gives you an objection but they'll keep talking to you, i.e. "I have a broker already" and slam the phone down on you vs. "I have a broker already" but they willingly stay on the phone (which I can attest is almost entirely a result of how they perceive you after the first few seconds of the phone call). What they are really saying (usually without realizing it) is "I would buy this, but I already have a broker". If you can't overcome basic objections like that you're dead in the water.
agree
Those numbers do sound realistic, but that brings up the issue whether there is more efficient marketing avenues to bring in capital.
I am curious how you ended the introductory call without asking for a meeting or soliciting an account opening. It would seem odd to call and announce, "Just so you know, we exist... bye".
How much did you end up raising and what was the avg. account size?
You obviously have experience, no doubt.