G2: Building the Next Generation

CHAPTER 3Recruiting G2

Building the next generation of advisors begins by recruiting them. This statement may appear obvious, but in reality, many firms wait too long to hire. Some search for unrealistic levels of experience and talent, holding out for that perfect hire. Others abstractly look to hire but never make that public or take concrete action. A firm's hiring practices should be a top priority for both founder and G2 professionals. So vital to long‐term success, recruitment strategy should become part of an organization's day‐to‐day activities and intrinsic culture. In order for a firm to build a deep cadre of professionals who can someday contribute to growth, client service, and management, it has to start by recruiting a class of talented—if perhaps inexperienced—individuals.

Not every firm must hire at entry level, nor must every employee join at the same level of experience. A successful firm combines experienced hires with entry‐level positions. More importantly, a successful firm is always hiring. According to Dale Yahnke, CEO and co‐founder of Dowling & Yahnke, a large and successful independent RIA in San Diego, “Adding talented people should be just as important and approached in much the same way as adding clients.”

Large accounting firms discovered this phenomenon long ago. They understand that for every 10 hires, more than two‐thirds will eventually leave the firm¹ for a number of reasons: change of careers, change of firms, desire for different work–life ...