Category Winner: Excellence in Property & Financial Services – Application written by Leanna Haines
Overview
ABC* Financial Group are a boutique financial firm based in Shellharbour who offer tailored financial solutions and aim to build long-term personal relationships with their clients. As an authorized representative of the AMP Financial Planning Pty Limited; the financial advisors at ABC* Financial group pride themselves on providing continuous education and guidance to assist clients in making informed decisions and ultimately achieve their own personal and financial goals.
Being in the financial planning profession for over 20 years, ABC* Financial Group strive to deliver care, passion and integrity throughout all aspects of their operations including daily financial services, sustained training and education, and supporting the local community.
History
ABC* Financial Group was established in 1989, where owner Michael E* operated as a sole practitioner offering financial solutions to few clients within the Illawarra. In 1996, the business was moved to its current Shellharbour premises and a partnership business setting was adopted with fellow financial advisor; Debbie W*. Together with their office staff, the team at ABC* Financial Group has built their business from the ground up through successful networking, building trust with clients and industry peers, as well as delivering exceptional quality in tailored financial advice.
While adapting to the transformation of landscape throughout the Shellharbour region as well as continuous legislative changes, ABC* Financial Group have experienced continual growth in both staff numbers and annual turnover. While obtaining clients was found to be difficult during the commencement of the business, long-term relationships with existing clients has proved a major asset for the team. Positive word of mouth marketing has enabled new clients to discover the personalized service of ABC* Financial Group, allowing the number of clients to significantly grow each year.
Competitive Advantage
ABC* Financial Group’s competitive advantage strategy is based on maintaining customer loyalty and offering a uniquely passionate and professional service to its valuable clients. By offering a friendly atmosphere, ABC* Financial Group offers a personal experience for their client that is distinctive from others within the industry.
Having zero debt within the business gives ABC* Financial Group more financial freedom with no loan or interest payments and a higher net profit income to be gained. This low-cost strategy is rarely seen among today’s corporate market, giving ABC* Financial Group a distinctive point of difference from a successful business model approach.
With a compatible partnership setting, Michael and Debbie assist all of their clients together in order to deliver an effective, professional service that their clients appreciate.
Strategic alliances with other financial peers has also proved to be an advantageous point of difference for ABC* Financial Group by sharing market intelligence, as well as gaining additional client referrals who require a more specialized financial service.
Vision
One of the most important objectives for ABC* Financial Group is to maintain their long-term relationships with clients, which has earned them such a trusting and friendly reputation in the industry. ABC* Financial Group also intends is to remain recognized as one of the Illawarra’s leading advice firms, known for their care, passion and integrity in the profession by both customers and financial peers.
Michael and Debbie aim to keep building the business in a sustainable approach to ensure the team can continue its current growth in clients, staff and annual turnover. The business’s financial strategy for the future is to achieve growth in revenue and gain a more attractive return on capital and shareholder value.
Demonstrating leadership to promote the industry in a positive way is also one of the key objectives for the future. ABC* Financial Group have an annual target of expanding their client base of between 30-40 new customers per year, which earns the business an average of between $3,000-$4,000 in upfront and ongoing fees annually. The principal aim of this target is to find, help, and keep clients who seek personalized financial advice.
Technology
In order to remain updated with the most current technologies, systems and processes within the financial advisory industry, ABC* Financial Group engages in many different strategies.
Attending regular educational seminars, industry peer group meetings, and technology forums allow the team at ABC* Financial Group to be constantly involved with the latest high-end quality processes and systems relevant to the industry, as well as be aware of current and upcoming industrial changes.
ABC* Financial Group have introduced social media strategies including Facebook, Twitter, and LinkedIn to complement their business webpage in order to not only adapt to the current trends, but expand their brand exposure and brand awareness across the internet. ABC* Financial Group also engage in Skype videoconferencing meetings which can effectively act as a way to communicate and keep updated regularly.
When utilizing technological systems within the business, while more traditional methods are mainly used to encourage a personal approach, client emailing and social media updates are frequent means of communicating and updating clients, stakeholders and the public.
Sustainability
ABC* Financial Group recently had a green energy inspection where the office’s one large air conditioner was replaced with 2 smaller air conditioners which uses less energy and is more environmentally friendly towards reducing our carbon footprint. Earning the team a Green Energy Award at the recent NSW Green Globe Awards.
ABC* Financial Group have demonstrated their generous support within the community by always being willing to raise money, contribute and support many important causes, charities and organizations with the Illawarra. Just some of the major activities that ABC* Financial Group has been involved with include:
• Major sponsors of Bandaged Bear appeal for The Disability Trust, Kids Fund, Southern Children’s Services and the Westmead Children’s Hospital for the last 3 years, and have raised over $35,000 for the organization.
• Formerly a bronze partner with the National Breast Cancer Foundation, raising over $60,000 alongside the AMP association.
• Supporters of the University of Wollongong’s Stumping Serious Diseases for the last 2 years.
• Previously raised over $20,000 for Camp Quality
• Regular supporters of CancerCare –purchasing products as gifts for clients.
• Supporter of the Warilla-Barrack Point Surf Life Saving Club
• Supporter of the Care & Share Program for children with Autism
• Owner and financial advisor of ABC* Financial Group, Michael E* is a volunteer for the Kiama SES, and also a board member of the Denny Foundation which acts to provide solutions to aid in the relief of poverty.
Innovation
In order to remain engaged in the industry market, ABC* Financial Group is regularly involved with monthly peer group meetings with other financial services firms. Meeting with other businesses allows for effective sharing of information and networking within the community. During these peer group meetings, things such as market trends and legislative changes are discussed and what a potential change could mean for businesses within the Illawarra. ABC* Financial Group are also constantly researching the
market to become more innovative and offer the best advice for their clients. As the main marketing strategies of ABC* Financial Group are mainly effective and positive word of mouth between clients, stakeholders and industry peers; regular networking and communication is considered a vital marketing tool.
ABC* Financial Group are members of the Financial Planning Association and regularly attend the relevant information seminars and conferences recommended by the association. These include; AMP conference, AMP personal development days, AMP advisors board conference. ABC* Financial Group is a member of the Illawarra Business Chamber and Shellharbour Business Networks, and attends the Association of
Financial Advisers (AFA) educational seminars, and Million Dollar Round Table (MDRT) meetings.
Internal meetings within the business are also held twice weekly to share information between the team and evaluate performance, changes, systems, etc.
Industry Challenges
Being a Financial advisory firm, ABC* Financial Group is constantly experiencing changes to policies and legislation within their profession.
In July of this year, the Future of Financial Advisers (FOFA) introduced changes to stronger super reforms which introduced a new administration system of annual fee disclosure statements. This systematic change increased staff work load at ABC* Financial Group significantly, requiring the development and introduction of new working processes required for the disclosure statements, as well as the manual resetting of disclosure dates for some clients.
Changes to Superannuation were also introduced recently, which appeals to a majority of our clients, requiring additional work time and increased assistance and service to clients.
At ABC* Financial Group, staff effectively adopted the changes in the industry by communicating the FOFA changes to stakeholders, clients and staff in an early manner. Reading the new legislation and developing an understanding through self-involvement and education was the key strategy adopted by Michael E* in order to gain a full understanding of the changes and what this meant for the business.
In order to successfully manage the changes of the industry; the economy and environmental conditions were effectively articulated to clients in order to provide information about what the changes meant for them personally and to cut through the extreme conditions portrayed by the negative media coverage at the time.
*to maintain confidentiality the registered business name and partners have been altered
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