Over the course of the last 12-18 months we’ve all (hopefully) seen an increase in demand and business levels, resulting in far greater interest in business expansion, and requests for information on the best way to go about this.
When it comes to recruitment however, let me begin by saying that ‘taking a punt’ doesn’t work. An ad hoc approach to bringing in new blood to your business has a much higher chance of failing, and if you also think – like some firms do – that a ‘throwing enough mud against the wall until some sticks’ approach is a good way of going about this, then think again.
I’ve heard plenty of recruitment horror stories over the years, from the firm who would hire 30 ‘advisers’ one month, and fire 28 the next, to those who brought in a ‘star player’ adviser who ended up demanding all their leads and didn’t have the business relationships they purported to have.
It all means that recruitment needs a plan, and because every firm is different, their recruitment ambitions and what they want to achieve will also differ.
However, there are a few recruitment cliches that exist for a reason – namely ‘keep on the front foot’ with your plans, go for ‘quality over quantity’ and ensure all new starters are fully aware of what you are offering them, and what you are not. There is ‘no such thing as a free lunch’.
So, firstly, think about what you want and need within your business? Do you want a well-established adviser with a number of years’ experience who is going to ‘hit the ground running’?
They are unlikely to come cheap, they may also play their own game with little thought of others and your business; they will have to fit within your culture. When interviewing, consider closely whether they are going to work in your business?
What about trainees? Those who are either newly-qualified, or those you can take through their qualifications? Do you have the structure and process to be able to mould them? You’ll need to acknowledge they won’t be advising immediately and are likely to need a considerable amount of support and resource, however, if you can get this right, it can be a strong breeding ground for new advisers.
Think about those ‘advisers’ who may not have whole-of-market experience. I’m thinking specifically about those who have worked in banks, building societies and other lenders selling just their product range.
They tend to have a very strong work ethic and understand financial services, but they will need help and training on how to work in a whole-of market environment, advising and recommending on literally thousands of mortgage products, not just those of one lender.
If it’s not necessarily more advisers you need, then think about the recruitment of paraplanners. Even though this is much more prevalent in the IFA space, we’re seeing more recruitment along these lines, with paraplanners utilised to free up the time of advisers to concentrate on advice rather than admin.
Within your business also think about those members of staff who are currently not involved in advice but have the potential and skills to be able to do so.
You can help them secure their qualifications, and given they are already immersed in your business, you will know their qualities and that they already fit within your culture.
If you can show a full path to betterment for each and every employee then you are likely to be rewarded with greater levels of individual commitment and loyalty, and you really can’t buy that.
Finally, recognise this is a highly competitive employment market at present. There are currently one million job vacancies in the UK, and in our space, almost all property/housing/mortgage market stakeholders are seeking to add resource and recruit more staff.
To that end, think about what you are offering to prospective employees, particularly new advisers, not just in terms of financial package, but training, administration support, leads, commission splits, plus a clear view of advancement.
And also think about what you want from expansion – perhaps you want to step back from advising and focusing on managing – does this strategy allow you to do that? Think about your eventual exit strategy from the business – is your recruitment strategy going to help you achieve this?
Overall, planning and preparing is vital, and if you’re an AR firm of a network like Stonebridge, make sure you tap into our knowledge and experience.
Recruiting into a network shares many similarities with recruiting into a business, and we will be able to help you with strategies and approaches which can help you achieve your aims. Get your recruitment right first time and you’re likely to benefit for many years to come.
Lesley Sharkey is recruitment director at Stonebridge
