Raise Tough Questions
By raising the tough questions, I am better able to differentiate my practice, define myself and reveal issues of critical importance that I am passionate about. And in this way, I continue to attract the kind of thoughtful, loyal clientele I have built my business serving. -Michael B. Horwitz, PhD, CFP
What questions do prospective clients ask at their initial meeting to make sure you are the right financial planner for them? Today, more often than not, they are getting their questions directly from the websites of organizations such as the Financial Planning Association, the National Association of Personal Financial Planners or the Certified Financial Planner Board of Standards...The NAPFA questionnaire, "Tough Questions to Ask," is the most formidable. It's an extended questionnaire that some prospects have requested I complete in writing before I meet with them, or they struggle to keep up with my responses as they fill out the form in pen during the course of our first meeting.
Of course, prospects seldom raise these challenging questions. A discussion of these issues is much more likely to occur after the prospect has already become a client. Clients voice these concerns once they have gained a familiarity with our approach and methods and as they feel more comfortable (and perhaps more dependent) with us as helping professionals. But if our prospects don't raise these questions, should we? I believe we should, even at the risk of scaring away a few potential clients. By raising the tough questions, I am better able to differentiate my practice, define myself and reveal issues of critical importance that I am passionate about. And in this way, I continue to attract the kind of thoughtful, loyal clientele I have built my business serving.
--Michael B. Horwitz, PhD, CFP, owner of Life Strategies Financial Planning, a fee-only financial planning and asset management firm in Austin, Texas, in Tell Them More
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