We use cookies to improve site performance and enhance your user experience. If you'd like to disable cookies on this device, please see our cookie management page.
If you close this message or continue to use this site, you consent to our use of cookies on this devise in accordance with our cookie policy, unless you disable them.

In association with

Home > Opinion > Dennis Hall

First step is to clear the mental cobwebs

We recently moved offices, though this sounds more involved than it actually was, we only moved down one floor and now sit almost directly beneath the office we were occupying.

By Dennis Hall | Published Aug 01, 2012 | comments

Our office is largely ‘plug in and play’ because we keep most of our business in ‘the cloud’ so we moved within half a day. In the process we managed to rid ourselves of a pile of junk that was lingering around the office for no reason other than sentiment.

Although we’re in the middle of summer, having a spring clean proved quite cathartic. More space, more cupboards, and more light, along with new carpets, a fresh paint job, and a rigorously imposed clear desk policy. The improvements have helped us gain better clarity and focus. We’ve cleared away the physical office detritus and have blown away some mental cobwebs too.

We’ve cleared away the physical office detritus and have blown away some mental cobwebs too.

I’m not sure how closely these things are connected, but having just closed our first business quarter year end with a record level of income, we are now on target to surpass that in the second quarter. In fact, if we do achieve record first and second quarters we’ll have produced more revenue in six months than we did in either year one or year two of the business. This is a phenomenal achievement and a testament to the power of building a strong recurring revenue base.

Looking at the numbers it might appear that the business has an average growth rate of around 12 per cent a year – but in reality the business remained largely static for around four years. Not only did we get the pricing wrong in the first couple of years, we were hit with the credit crunch and the accompanying stock market collapse. In reality our growth didn’t really start to take off until a couple of years ago.

I have identified several areas that have contributed to the revenue increase, but the majority of the success is due to just one thing – getting the pricing right. Our fees have been a moveable feast since day one, and we have tried all kinds of formula, each ultimately flawed. But the breakthrough came when we looked very closely at the value we brought to the table, and level we needed to be rewarded in order to become a viable and growing business.

Getting the pricing right meant we had to undertake a bit of a spring clean. We needed to shift some deeply entrenched ideas and beliefs in order to accept what was right for the business and right for our clients. That wasn’t easy, especially when confronted with an array of ‘experts’ each giving their views on what and how you should be charging.

In my experience the problem isn’t in knowing what you should charge, the problem is in believing you can charge it. So it then becomes necessary to rearrange the way you think, to blow the mental cobwebs away. In my case, I engaged with a business psychologist charging £500 an hour. My brief was to change my beliefs so that I could charge £500 an hour too. It was expensive, but it worked.

Dennis Hall is managing director of Yellowtail Financial Planning

More from Dennis Hall


Our Columnists

Emma Ann Hughes

Emma is editor of FTAdviser and has previously worked for Investment Adviser, Financial Adviser and edited Mortgage Adviser.

Jeff Prestridge

Jeff has been personal finance editor of the Mail on Sunday for a number of years. He writes on a range of subjects and has been a columnist at Financial Adviser since 2004.

Dan Jones

Dan is editor of Investment Adviser and has been a financial journalist for the past nine years. Most recently news editor of a retail fund management publication, he is a previous recipient of the Investment Association's Trade Journalist of the Year award.

Jon Cudby

Jon is editor of Money Management and has 12 years' experience covering retail personal finance. In 2005, Jon was launch editor of FTAdviser and most recently he was head of online content for Incisive Media's financial services titles.

Tony Hazell

Tony is a freelance financial journalist, having been editor of Money Mail at the Daily Mail for a number of years. He has been writing a column in Financial Adviser since 2005.

John Lappin

John is a weekly contributor to Investment Adviser with 15 years’ experience in financial journalism and 10 years writing on the IFA sector. He was formerly editor of an IFA trade magazine.

Most Popular
More on FTAdviser