Philanthropy a key element in advice
Advisers can improve the health and profitability of their business by getting involved in philanthropy, according to Shadforth Financial Group (SFG) national head of philanthropic services Kevin Bailey.
Speaking to Money Management at Shadforth's inaugural philanthropic advisory conference, Bailey said advisers could improve multiple aspects of their businesses through philanthropy, including staff retention, referrals, broader professional networks and stronger relationships with other advisers.
"The more you get involved in the community, surreptitiously, the benefits come back, it's extraordinary," he said.
There are also business opportunities in corporate management, Bailey said.
Philanthropic foundations don't have investment philosophies, and advisers who manage their finances can add hundreds of thousands of dollars to their available funds, Bailey told the conference.
A profitable business gets good referrals because it shares the right values with its clients, he added.
That connection with clients is at the "heart" and not just the "head" level, Bailey said.
Advisers more involved in the philanthropic area will also attract better staff who display more loyalty, he said.
However, Bailey warned that advisers should partner with lawyers who deal with charities and are expert in the laws surrounding philanthropy.
Partnering with specialist lawyers will provide advisers with a huge degree of confidence and ensure they network with the top professionals in the philanthropic field, he said.
SFG has a specialist team of advisers in the philanthropic sector.
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