Scale-Up to Scale-Down

Scale-Up to Scale-Down

The term scale-up to scale-down simply refers to the process of growing your advice practice so that you have the people, resources and capital to reduce your own workload, and potentially retire completely,  at the time of your choosing.

Why scale is important to succession planning in Financial Advice?

  • Reduce 'Key Man' risk
  • Capacity to drive continued growth
  • Attract Capital to smooth the succession process
  • Significantly enhance profitability and the value of your business
Recruit 2 Advice - AFSL Consulting - Financial Planning

Scale-up to scale-down is a highly effective succession planning solution.

But what if your a solo Adviser or small practice?

You don’t have to go it alone.

One option we assist solo Financial Advisers and 2-3 Adviser practices with is what we refer to as in-boarding. This is the process of merging your business into another advice practice to leverage existing resources and advice efficiencies. The benefits can be multiple, but all provide more options for you and an in-built succession plan.

IN-BOARDING so you spend more time CLIENTS

  • Advice efficiencies – speed up the time to produce advice
  • Stop doing admin – remove all non-client related tasks
  • Liquidity event - (pay down debt, build a new kitchen)
  • Eliminate capacity headaches + increase growth with scale-ability
  • Continue servicing existing clients + in-built succession plan
  • Receive equity in the new entity for a secondary future liquidity event

Furthermore, research points to key personal reasons:

  • Reduce stress
  • Enjoy professional collaboration
  • Avoid complete burnout
  • Share responsibility

In-boarding is a great solution for you to get back to being a Financial Adviser whilst putting a succession plan in motion.

More benefits to the scale-up to scale-down model for solo Advisers


"The report states less than half, 48% of solo adviser practices were pursuing client growth strategies in 2023, while only 30% were reactively growing."

“Without the benefit of scale, almost one-in-20 solo practices is either reducing its client load or trying to find new ways to hold onto its current mix of clients”

"Key-Man" risk is obviously high, growth limited, no succession plan, and achieving a liquidity event on sale is an all-in strategy that hopes a buyer will pay in the future what the Adviser wants."

Refer Money Management Article May 2024

If your a solo Adviser or small practice -  You don’t have to go it alone.

For growing practices in-boarding is a great way to scale-up to-scale down by increasing capacity for growth, enhancing profitability and business value, all whilst developing your succession plan!

Contact us to discuss a variety of solutions and examples of how in-boarding can assist you.

Dugald Braithwaite - Recruit 2 Advice - Financial Planning Recruitment

Dugald Braithwaite

Principal | 25 Years Experience

Since 1998 Dugald has delivered Management Consulting Services to the Financial Planning Industry.

Experience extends to supporting local & international wealth management clients with executive search, strategy, board reporting and large scale project execution.

Leave a Reply

Your email address will not be published. Required fields are marked *