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News You Can Use
This issue's article is by David Lawrence, a practice efficiency consultant and President of David Lawrence and Associates, a practice consulting firm based in Lutz, Florida.

So You Are Thinking About Making A Change... By David Lawrence   This is the time of year when reps start thinking about whether or not they need to make a change in their practice. Whether it is a decision to move into the independent world or to simply change broker/dealers (b/d), there are a number of issues to be faced, not only in making the decision but also in completing the change. First and foremost is the reason for the change. Often the promise of a better life (or, in the case of a b/d, a better payout) seems to belie the old adage, "the grass is always greener on the other side of the fence." The reality, however, may be quite different. Most practitioners should make this all important decision based on solid business principles.   The payout percentage on gross dealer concession (GDC) is not (or should not be) the only deciding factor. Of much greater importance is the net profit number.  In other words, take a hard look at your business expenses; all those various fees and charges for things that you get from your broker/dealer. Then, subtract your gross expenses from your gross compensation to arrive at a net compensation figure. This is the number to use when comparing various offerings. Why? Because a b/d could give you a large GDC payout, but hit you with scores of nickel and dime charges that, when added up, amount to a lower overall bottom line to you.   Another reason why payout should not be the only deciding factor is that a broker/dealer that offers a higher payout may turn out to be the wrong broker/dealer for you. They may not offer or support the programs, services or investment selections that you want and need. Choosing the right broker/dealer is a highly complex undertaking and should be carefully considered with all the facts in front of you. Working with an organization such as Turning Point, Inc., which specializes in this complex task, makes the search easier. But, there are still issues to be considered.   Client communications before and after a b/d switch is a critical success factor. Your clients need to be assured that their needs will continue to be met or that the quality of services is likely to improve as a result of this change. Assuming that your current b/d allows you to communicate with clients prior to a switch (and that is a big assumption), what you say is just as important as how and when you say it.   Yet another issue to be faced is cost. The cost of moving from one b/d to another or to move from a captured environment to the independent world should not be taken lightly. You should be planning for any costs associated with the switch. Not the least of this might be fees, transfer related expenses, and additional marketing and communication related expenses. Planning a transitional budget and working through all the possible expense scenarios is a key to minimizing or avoiding unanticipated costs. Advance planning can save you hours of frustration and additional work later.  The more you can plan for an efficient transition, the more likely you are to retain clients and enjoy all the benefits of your new b/d relationship.    David Lawrence is President of David Lawrence and Associates, your practice efficiency consultant. He also writes a monthly column on practice efficiency for Financial Advisor Magazine. For further information or to inquire about his services, please visit www.efficientpractice.com or email David at: dLawrence@efficienpracticecom. This Month's Registered Representative Opportunity: When a representative joins this BD they get access to the products and services needed to take their business to the next level. As former wirehouse producers themselves, the management of this firm have learned what representatives like and what frustrates them. This firm is not your typical independent broker/dealer that hopes 95% of your business is in mutual funds and variable annuities. They can handle that business just like anyone else, but where they shine is in the out of the box category. They clear through Bear Stearns, National Financial Services and Raymond James Financial and have separate equity and fixed income trading desks. The clearing firms they utilize combine for over 20% of the volume on the NYSE and their reps have access to their platforms and research. Areas such as handling restricted stock for key executives and monetizing positions to lock in profits, self-directed 401k plans for one and multi-employer companies, ability to set up foundations and manage the money yourself, and specialized reporting programs for 401K focused representatives are just some examples of what they offer. You can price fee based accounts on basis points or on ticket charges. It is all done without nickel and diming the rep and a simplistic 90% payout. No grids with them, just do what is right for your customer. For fifty plus years they have seen the industry evolve and change and they are there to help their representatives keep ahead of the curve. It is all backed by a commitment to old-fashioned personalized service to keep represenatatives focused on growing their business and minimizing operational headaches. When you partner with this BD, you partner with experience. For this and other Registered Representative opportunities, please visit www.goingindependent.com (go to our Opportunities section and click on Hotjobs) or contact Mitch Vigeveno directly at 727-725-8876.

Here's some additional information from Turning Point, Inc...

RECENT PLACEMENTS:
Congratulations to some of our recent placements.  John M has successfully transitioned to Brookstreet Securities and Andy D is now with Securities America.  We wish them both continued success with their new firms!

Quote of the day:
"Insist on yourself, never imitate...Every great man is unique."
Ralph Waldo Emerson (1803 - 1882)