A webcast presentation by Bill Strazzullo, CMT, CFA originally held on December 7th, 2016 as part of the CMT Association’s Educational Web Series.

#1:  Working for a firm vs. being in business for yourself.

• Your skills are transferable & today the risk premium is minimal.
• Your clients are transferable (you can ask them).
• The internet allows you to have global reach.
• Your current work/output probably IS NOT transferable.

#2:  Step One: You need to have a suite of products.

• It is not like sitting on a desk, waiting for a client’s next inquiry.
• Be a mercenary.
• Everyone is interested in everything but you have to focus on what your clients will actually PAY for.
• You have to produce a consistent rotation of reports.

#3. Step Two:  Pricing and terms.

• Two schools of thought: the price of something is worth whatever someone is willing to pay (a few big clients) vs. pricing to an institutional or retail audience.
• Institutional model (fewer clients, higher price, lower turnover).
• Retail model (many clients, lower price, high turnover).
• Contracts (yes/no – pros/cons).
• Client Service – be careful what you commit to.

#4. Step Three:  Distribution.

• Defining & controlling your distribution is critical.
• Do you go to them or do they come to you ?
• There is a culture that “sharing” is okay.

#5. Step Four: Marketing and Growing your business.

• Your legacy clients are great but that is not enough.
• Start by trying to grow with the help of existing clients.
• Don’t be shy about asking for referrals.
• Think of your website as your store.
• Tweet everything (role of social media).
• Reach out to the CMT Association.

#6. Step Five:  Running the business.

• IT issues.
• Get a partner/s (don’t have to be co-located).

#7. Step Six:  Balancing the business with the rest of your life.

• Best business decision I have ever made.
• A lot of hours but also a lot of flexibility.
• Mentally can be very tough because of the volatility of the business and not many people to lean on.
• Explain to family, children and friends that your life will be a little different going forward.