895m Reasons to Succeed - IAM Overview & Future, page-86

MG, GT is closer to the mark in my experience. With 1 admin person and 1 para planner i can more than double my output. It is a seriously expensive business. After my 1 hour meeting with a new client i'll do 2-3 hours of advice and strategy work and admin will do 1-2 hours just gathering information and data entry and then a plan will be produced taking around 8 hours.

Why would I spend that time completing a plan when I can pay someone else to do that work, and then spend that time on 1 or 2 new clients?

My last plan for a SMSF with borrowing cost me around $1,200 to get done. In the 2 days it took to be completed I can see 1 new client per day and charge them more than $1,200 for the advice. Or I can spend that time completing the plan like your buddies.

If all my admin and para planning can be completed by IAM for $34,000 why wouldn't I consider it?

At $500 for a non SMSF plan that is 68 new clients plans per year, at roughly 68 working days. ($34,000 / $500) I still have my 150 review clients to produce advice documents for and I need to pay for them. FYI 68 new clients is not a realistic number in my business.

How much will an admin person and a para planner cost me to hire? $50,000 & $80,000? = $130,000.

How about this model, a part time admin person at $30,000 and IAM at $34,000 for all my advice docs = $64,000. I now have $66,000 additional taxable income.

What if i used that to add another pod? Now i've got a full time admin person and 2 IAM para planners and i can double my number of clients.

So in answer to your question, there need to be more than 1 back office support for each adviser and it is a seriously expensive business to run.

If only someone could provide us with additional resources and lower our costs/