I'm interested to hear about how other firms (both advisory firms and outsourced paraplanners) structure their charges to their respective clients (i.e the end client or the adviser).
Increasingly, when we take on new clients and review their existing pensions/investments, we are finding that the majority have a number of difference schemes and so most are what we what call 'multiple' cases. Aside from the obvious contingent/ non-contingent hot potato, this gives us somewhat of a dilemma.....
Currently the cost to our clients is generally the same if we were to recommend a pension transfer of 1 plan with a TV of £100,000 as it is for a transfer of 4 plans with a combined total of £100,000, which requires more info gathering/ research/ analysis time.
We want to continue with a percentage based, largely contingent structure, but wondered how other firms deal with this particular issue? We are considering charging an additional fixed fee 'per plan' if there is more than one but are very open minded. How do outsourced paraplanners build their fees in this sort of scenario ? Or if you work directly for an IFA, how does your firm deal with 'multiple' cases?
Thanks in advance
p.s. Obviously I appreciate that outsourced paraplanners work on a non-contingent basis, I'm more interested in how your make the charge commensurate to the time involved.