Thanks Bodhi, and good to have you back sharing your thoughts. I mirror most of what you have written.
Couldn’t be happier (well binding agreement excluded) with the announcement yesterday. Companies like IAM simply don’t get the opportunity to firstly trial with CBA, and then progress to pilots if they don’t have something special to offer. I feel this now largely validates the Boom2 offering, now it’s about whether it can handle the scale of what CBA is likely to throw at it.
Firstly, I haven’t seen B2, so do not know it’s functionality, so speculation and theory only.
You mentioned CBA are in a world of pain for poor advice, compliance and practices. Whilst mandating software hasn’t been the done thing in the past, the past is clearly broken, as they largely lose control over what their advisers are doing, particularly at CBA, so why wouldn’t a licensee mandate that all their advisers MUST use a solution if it really improves their compliance and quality of advice being given. I think licensees would 100% mandate if the right solution was available. Let’s hope that B2 is that solution.
Most of the discussion has been on cost and efficiency, but compliance is probably the more important aspect of the three in the current climate.
ASIC are all over the CBA, why wouldn’t they want a great story to tell as far as the steps they are taking to improve compliance, by forcing all advisers under their control to use this new system (which we hope will be Boom2).
As for Rantall, this may well have been the plan for a long time, and is a huge factor in our favour. The other thing that points to this is that I now understand IAM’s Accounting and Taxation offering they developed. Count’s 300 accounting practices have a ready made solution with IAM to automate their work, as was probably built with them in mind.
All the talk of what happened with NAB, Sentry and cash receipts to date is largely irrelevant in my mind. We have only had access to Boom2 since late November, which promises to be the game changer for the industry, and with yesterday’s announcement, seemingly off to a great start.
As for the quarterly, I’ll assume there is no B2 related income in there, which is why I’m hanging out for some commentary. If B2 trials started Dec 1, an invoice probably wasn’t even sent in December for the work done, let alone paid and accounted for in the quarterly.
If you look at IAM as a tech company that’s launched in late November, you get a very different picture. In 2 months, they already have a pilot with the CBA, there would be so much FOMO and a SP many, many times higher than where IAM is currently.
Trying to join a lot of dots here, but looking forward to the journey and what the next few months bring. We
Anyway, GLTAH.
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