Listen and listen good. Hell, take notes if you have to.
One piece of advice to FA's with close friends and relatives. Never, ever let on that you're doing well.
Got a Beemer that you paid cash for? Tell your friends and kin that the payments are killing you. Got a house with 70%+ equity in it? Tell'em you're thinking of selling and buying something smaller. Heck, make up some sad tale about you just barely keeping your head above water. But, never, ever let on that you're doing well. Why?
A relative of mine has decided he wants into the business. Fortunately, I was able to convince him that I'm fully staffed. (Dodged that bullet!) So now, he's applying to a competitor, Smith Barney.
The guy has been moderately successful running his own small business for 10 years and might make a good broker, but I don't want relatives in the same business; especially in the same area as me!
My only saving grace may be the fact that he'll need at least $6,000/month training salary and I doubt SB would pay that, unless they were extremely well-qualified and well-connected.
So, SB'ers, tell me, a $6,000/mo training salary would be a real stretch, wouldn't it? C'mon, for my sanity, tell me he's reaching for the moon!
Kind of opposite of what the bank brokers say,right? Doing bad and bragging about all the money they’re making?
The training salary will vary depending on location, level of education and experience that one brings to the table. I've know several previous business owners with MBA's, mid 30's, driven, etc.. and they didn't get 6K/month. Average on "the coast" seems to be between 50K to 60K per year. I doubt you have anything to worry about.
Yes, 6K is at the top of the range. Especially for a career changer.
I’ve seen more than that, but only for experienced FAs moving between firms without books.
Tell him he’d better walk in with a decent business plan.
Dobe, you should have taken your relative into your firm and worked him like a rented mule so he would drop out of the business.
You would have been able to control him and at the same time take an override on his production instead of him becoming your competition. If he truly turns out to be a good producer, you would have benefited.
If he truly turns out to be a good producer, you would have benefited.
And if he didn't become successful, I'd have to fire him. Wouldn't that make family reunions fun!
Look, we all know the failure rate in this business. He may succeed, he may not. I'll just have to wait and see if he has the right stuff; if so, then we may talk. But way before all that, he has to get hired first.