For the financial adviser aiming to increase client count, there’s no shortage of methods competing for time, attention and money. For many, buying leads is an enticing opportunity, yet online communities and LinkedIn groups are awash with horror stories of lost thousands. Is buying leads a viable route to success or a fast way to make a small fortune from a large one? Here are some essential tips…

1) Mix it up.

Attitude to risk? Don’t let buying leads be the only show in town. You can’t control it, the lead generator does. Tomorrow they might decide to sell your leads to someone more profitable or disappear altogether. How would that affect you? Make it part of the plan, not THE plan.

2) Budget for success.

Work out the cashflow. Seriously. Work out the cashflow. You commit to 10x pension leads a month for 3 months @ £200 a lead. Let’s say it takes on average 3 months from initial meeting to cash in your bank. You need £6000 in free cash, minimum.

3) Buy a wide enough view.

The law of averages is mean. Dipping your toe in the water with the lowest commitment sounds safe and sensible. It could lead to blazing saddles or a blazing row (with the lead generator). To understand the potential in a lead supply, you need to commit to enough that the average reveals itself. For web leads, it’s at least 50.

4) Work it to a plan.

There’s no easy way to say this. Making leads pay is a mixture of robust, consistent processes and skill. If you lack the resources or soft skills, it’s going to be tough. Before you commit to leads, map out how you’re going to work them.

5) Measure everything.

Resist the temptation to judge leads emotionally. Lead generation is money in versus money out. If it moves, measure it. If, after all the above, the figures don’t stack up, drop it. You’re a financial expert, trust the figures! Head over heart wins here.