Kitces and Carl - Real Talk for Real Financial Advisors Ways To Say 'Yes' Sustainably To Prospects In Need Who Don't Fit Your Minimums: Kitces & Carl Ep 176
5 snips
Oct 30, 2025 Hosts Michael Kitces and Carl Richards dive into the challenge of assisting prospective clients who can't afford standard advisory fees. They discuss the fine balance between profitability and compassion, exploring a barbell model that allows firms to serve both high-value and low-cost clients. The duo suggests creating structured programs for pro bono work and emphasizes the value of workshops and group coaching to provide scalable support. Innovative ideas like scheduled low-cost office hours and limited-scope hourly services are shared as ways to give meaningful advice without burnout.
AI Snips
Chapters
Transcript
Episode notes
Small Clients Undermine Firm Sustainability
- Many advisory firms carry too many low-revenue clients that undermine profitability and productivity.
- Math shows sustainable per-client revenue is often around $2,000–$3,000 annually, excluding a large portion of the population.
Build Guardrails To Say Yes Sustainably
- Instead of reflexive no's, create guarded ways to say yes for prospects who can't meet minimums.
- Use fee or asset minimums as business levers and provide alternative paths rather than just referring away.
Give One Simple Next Step
- Offer simple, concrete actions when a prospect's situation is basic, like opening a Roth IRA or starting automatic saving.
- Deliver value with short follow-up notes or a one-page email listing next steps.