It’s interesting how advisors think many of the processes around due diligence and transition are the same.
And, of course, there are certain steps that pretty much are what they are.
Yet there is one component that is truly unique in every case: The advisor.
Of course, each advisor interacts with their firm, team and clients in their own distinct way—and they have personal values that are a fundamental component of their goals and vision. So, it would make sense that the exploration process, and even the transition itself, will be exclusive to the advisor.
Yet, after 27 years in the recruiting world and literally hundreds of thousands of conversations with financial advisors at all levels, we’ve recognized that there are certain molds each advisor can identify with when it comes to conducting due diligence. And since each archetype comes with its own unique risks and benefits, it’s helpful for advisors to understand which category they fit into so they can avoid some common missteps and best position themselves for success throughout the diligence process.
Here are the five types of advisors we commonly encounter during a due diligence and transition process: