At BrilliantRead Media, we always strive to bring some of the unique and powerful stories from India and around the world to empower and motivate our growing community of entrepreneurs, coaches, investors, management students and aspiring entrepreneurs. This week we invited Suresh Sadagopan for an interview with us to know more about his inspiring journey. He is a seasoned business leader and entrepreneur with over 25 years of experience both in a corporate setup and as an Entrepreneur. He is the Founder of Ladder7 Financial Advisories. Ladder7 Financial Advisories is a Mumbai based Professional Financial Planning & wealth advisory firm, offering fee-only planning & advisory services for families/ individuals all over India. Let’s learn more about his entrepreneurial journey, way forward and his advice for our growing community!
Excerpts from our exclusive interview with him:
Talk us through your background and your journey as an entrepreneur, please;
I did my schooling in Tamilnadu and my management degree at BITS, Pilani. After graduating, I had worked in the field of Sales & Marketing in Software & Training related fields. But that was to be a short stint of about three years.
After that, I started off my own enterprise to resell software, utilities and training resources. We met with a reasonable level of success. But the software field was very competitive, and margins were thin. Due to that, we could not continue promoting this after a point.
We experimented along the way; over time, we started focusing sharply on Training Resources. We had Training modules on Management & Computer subjects, Computer Delivered Automated self-learning tools, Videos etc. But with the advent of the Internet, many of the training material started being available online and hence we needed to rethink about how to pivot to the next idea.”
I have always had a keen interest in the Economy, Business & Finance and had always been avidly following & reading up on these areas. It was at that time that financial services were opening up. It looked like an attractive field to enter. I made my entry through Insurance.
I came to know about Financial Planning immediately after and that appealed to me a lot. I enrolled in the Certified Financial Planner (CFP) certification program and started my Financial Planning practice in 2004 when I founded Ladder7 Financial Advisories.
Those were early days of financial planning/ advisory. We had to educate people on what is financial planning and how it can benefit them.
Things have changed dramatically from there. Over a period, we have moved from being a Financial Advisor who also distributes products to a pure-play fee-only advisor who does not sell any products at all. This makes us conflict-free, client-centric & independent.
Over time, Ladder7 Financial Advisories has become one of the most recognised & well-regarded names in Financial Planning & Advisory space.
Fee-only Financial Planning is difficult; Why did you choose that? What is Fiduciary?
It is true that operating on a fee-only basis, with no commissions or other sources to fall back upon, is difficult. But that is the right & best possible way when it comes to our clients.
We have registered ourselves with SEBI under IA Regulations 2013. This regulation expects us to operate on a fee-only basis and act as fiduciaries to our clients. This regulation also proscribes receiving commissions or other payouts from any other party. So, the fee from clients is the only source of revenue for us.
Fiduciaries are those who put their client’s interest ahead of everything else, including their own self-interests. This is extremely attractive to a client, as otherwise they will be forced to receive their “advice” from product sellers. We act in the client’s best interests only.
When clients come to Fiduciaries like us, they can be sure that they have come to someone who will act only in their best interests. This is very important as every one of us spend 30-40 years of our lives, to create wealth. This wealth needs to be managed well, in a manner that ensures the best outcomes for them. We become their advisors and custodians of their wealth. We are the Clients’ Personal CFOs.
Such a model allows us to conduct our business with the utmost ethics & integrity and at the same time help people and make a difference in their lives. This gives tremendous satisfaction. Our work becomes worship – it is very meaningful & satisfying.”
Have you decided that you would be an entrepreneur right from the beginning?
No, I was an accidental entrepreneur. What happened was that a couple of my friends were toying with the idea and I got involved in the discussions. Before long, I was contributing to various ideas and was helping them with strategy. That is when they looked at me and said – You are as much passionate and involved as us. Why don’t you join in? I was surprised! I was doing well in my job. I was slated for promotion. I was moving on a fast track where I was working. I thought about it and consulted my parents as well. They were fine with the idea of my starting up on my own. All these discussions concluded at 1.30 am that day!
The next day, I put in the papers. My boss was stunned. All of them tried talking me out of it. But the decision was made. I stuck with it.
Why one needs a Financial Adviser and Why you like being a Financial Adviser?
Financial advisory is a noble profession. We are helping people achieve financial freedom and achieve the goals people have in life.
Being a SEBI Registered fee-only Adviser, we just represent our clients only. We do not sell products and do not represent any principal, and hence we are truly independent & conflict-free Certified Financial Planner.
We work in a Fiduciary capacity for our clients. We put their best interests ahead of everything else. This ensures that at a model level itself, it is a verifiably trustworthy model. Clients who come to us need not have to wonder whether we are recommending something because we get a benefit from it. In our model, we do not get commissions/ brokerage and allows us to work without conflicts of interest.
Such a Financial Adviser (CFP) is a trusted confidante who offers a tailor-made financial architecture based on which one’s wealth edifice is built. This allows the client to concentrate on their personal & professional life and pursue and enjoy that fully in the secure knowledge that their adviser is there to anchor their finances.
This gives the clients tremendous relief and peace of mind.
Did you ever consider quitting on the way?
Were there tough times? Yes, there were. After I got married, there was a need for steady cashflows; there was a worry about what the future holds. I did look for openings in-between. Even my wife suggested that I should move to the Gulf with the idea of making some money.”
But, this was a passing phase. Things improved for me, but slowly. The transition to financial services and into advisory was fortuitous for me. I just have to thank God for showing me the way. I had no way of knowing that this is indeed the right field for me. Things improved after I came into Financial Advisory field. Now, I’m happy that I stayed the course and not quit prematurely.
Please share with our audience, what is your Success Mantra?
Take care of clients and they will take care of you. Offer them a value proposition that they will appreciate & a service bouquet that will take care of their needs.
The other important thing is that we price our services appropriately so that it is a good value for the clients and is remunerative for us too. We seldom offer discounts on our services. We price the services appropriately & stick to that price.
Listening to clients and bringing in new offerings that are meaningful to the clients at a price point that appeals to them is important as we go along in the business.
I’m not a fan of making losses for eternity with the aim of building a client base – which is how most start-ups operate today.
We would love to know your advice for all those starting out as an aspiring entrepreneur?
Have a clear business plan. Even more important is a clear monetisation plan, with clear profitability targets right from the beginning.
Customer focus should always be at the heart of one’s product/ service offerings. Listening to client feedback and improving on the offering is an invaluable tool to improve along the way.
Change is a constant these days. In fact, it is accelerating. We need to adapt to the changing environment, client’s needs, competitive landscape etc. to grow and thrive.
Focusing on value and not on giving discounts to acquire clients will keep a business healthy & profitable. We all need to understand that the client is looking for good value & is willing to pay for it.
BrilliantRead is committed to bringing stories from the startup ecosystem, stories that reshape our perspective, add value to our community and be a constant source of motivation not just for our community but also for the whole ecosystem of entrepreneurs and aspiring individuals.
Note: If you have a similar story to share with our audience and would like to be featured on our online magazine, then please write to us at [email protected], we will review your story and extend an invitation to feature if it is worth publishing.
