Granite Peak: 40% Faster Client Onboarding With Automated Workflows

Granite Peak: 40% Faster Client Onboarding With Automated Workflows

Executive Summary

Granite Peak Advisors, a growing RIA managing over $350 million in assets, struggled with a manual, time-intensive client onboarding process that hampered their ability to efficiently acquire new clients. Golden Door Asset streamlined Granite Peak’s onboarding workflow by automating data entry and integrating their CRM, custodian, and financial planning software using Zapier. As a result, Granite Peak reduced onboarding time by 40%, increased new client acquisition by 15%, and freed up valuable staff time to focus on client relationships and strategic initiatives.

The Challenge

Granite Peak Advisors had built a strong reputation for personalized financial planning and exceptional client service. However, their manual onboarding process presented a significant bottleneck, hindering their growth potential. The process involved manually entering client data into multiple systems – Redtail CRM, eMoney Advisor (financial planning software), and their custodian platform (Schwab).

Each new client required an average of 8 hours of staff time dedicated solely to data entry and paperwork. This included gathering client information through initial meetings and questionnaires, manually inputting that information into Redtail CRM, recreating the same data in eMoney Advisor for financial plan development, and then again into Schwab’s platform for account setup and funding.

The manual data entry process was not only time-consuming but also prone to errors. A single typo could lead to delays in account setup, compliance issues, and a less-than-ideal client experience. These errors added to the overall onboarding time, requiring additional staff hours to correct and resolve discrepancies.

Specifically, Granite Peak estimated that roughly 5% of their new client onboardings experienced data entry errors requiring an average of 2 additional hours to rectify. This meant an additional 10 hours of work per month spent fixing errors stemming from their inefficient manual processes.

Furthermore, the lengthy onboarding process directly impacted their ability to acquire new clients. With each advisor spending a significant portion of their time on administrative tasks, they had less time available for business development, networking, and cultivating new leads. This limited their ability to capitalize on market opportunities and meet their growth targets. Granite Peak believed they were losing out on potentially adding $10-$15 million of new AUM annually due to onboarding inefficiencies.

The manual process also presented compliance challenges. Maintaining accurate and consistent client data across multiple systems was crucial for regulatory compliance. The risk of errors and inconsistencies in client records increased the potential for regulatory scrutiny and fines. They were spending approximately $5,000 annually on compliance audits specifically related to onboarding procedures.

The Approach

Golden Door Asset partnered with Granite Peak Advisors to analyze their existing onboarding workflow and identify key areas for automation and integration. Our approach focused on streamlining data flow, minimizing manual data entry, and ensuring data consistency across all systems.

First, we conducted a comprehensive audit of their current onboarding process, mapping out each step, identifying bottlenecks, and assessing the time spent on each task. This involved shadowing staff members, reviewing existing documentation, and interviewing key stakeholders to gain a thorough understanding of the challenges they faced.

Based on the audit findings, we developed a strategic roadmap for automating the onboarding workflow. This roadmap outlined the specific integrations required, the tools and technologies to be used, and the timeline for implementation.

A key element of our approach was to leverage Zapier, a powerful automation platform that enables seamless integration between disparate systems. We chose Zapier because of its versatility, ease of use, and ability to connect with Redtail CRM, eMoney Advisor, and Schwab's API (where available, and leveraging secure file transfer protocols where direct API integration was not possible).

Our team worked closely with Granite Peak’s IT staff and key stakeholders to configure Zapier workflows (Zaps) that automated the transfer of client data between systems. For example, when a new client record was created in Redtail CRM, a Zap would automatically create a corresponding client record in eMoney Advisor, pre-populating key fields such as name, address, date of birth, and risk tolerance.

We implemented a phased approach to the automation process, starting with the most time-consuming and error-prone tasks. This allowed Granite Peak to gradually adopt the new workflows and minimize disruption to their existing operations.

Our strategic thinking also incorporated compliance considerations. We implemented data validation rules and automated checks to ensure data accuracy and consistency across all systems. We also worked with Granite Peak’s compliance officer to ensure that the automated workflows met all regulatory requirements. This included documenting the automation processes and establishing audit trails to demonstrate compliance.

We also addressed the challenge of paper-based forms and documents. Where possible, we integrated digital signature solutions, such as DocuSign, to streamline the document signing process and eliminate the need for physical paperwork. Clients could now complete and sign required forms electronically, saving time and reducing the risk of lost or misplaced documents.

Technical Implementation

The technical implementation involved connecting Redtail CRM, eMoney Advisor, and Schwab (via API for some processes and secure file transfer for others) using Zapier. The goal was to automate the flow of client data from the initial point of entry (Redtail CRM) to the financial planning software (eMoney) and finally to the custodial platform (Schwab).

Specific integrations and workflows implemented:

• Redtail CRM to eMoney Advisor: When a new client record is created in Redtail CRM with a status of "Prospect" changed to "Client," a Zap is triggered. This Zap creates a corresponding client record in eMoney Advisor, pre-populating the following fields:

  • Client Name
  • Address
  • Date of Birth
  • Social Security Number (encrypted transfer)
  • Email Address
  • Phone Number
  • Risk Tolerance (based on Redtail CRM questionnaire responses)

  Calculations were built into the Zap to translate Redtail's risk tolerance scores (1-5) into eMoney's risk profile classifications (Conservative, Moderate, Aggressive).

• Redtail CRM to Schwab (via Secure File Transfer): After the eMoney plan is finalized and approved, certain data elements (account type, ownership, beneficiary designations) are extracted from Redtail CRM and packaged into a secure file. This file is then automatically transferred to Schwab's onboarding portal (or designated secure email address) using a secure file transfer protocol (SFTP). This eliminates the need for manual data entry into Schwab's system.

  Specifically, the Zap creates a CSV file containing the necessary account opening information, encrypts the file using AES-256 encryption, and transmits it to Schwab's secure FTP server. Schwab then processes the file and automatically creates the new client accounts.

• Automated Task Creation: The Zap also creates automated tasks within Redtail CRM to remind advisors and support staff to complete specific onboarding tasks, such as sending welcome letters, scheduling initial review meetings, and verifying account funding.

• Data Validation Rules: We implemented data validation rules within the Zaps to ensure data accuracy and consistency. For example, we added checks to verify that all required fields are populated and that data formats are correct (e.g., date formats, phone number formats).

Technical Considerations:

• API Limitations: While Schwab offers an API for certain functions, not all onboarding processes could be fully automated using the API. In these cases, we leveraged secure file transfer protocols to exchange data between systems.

• Data Security: Data security was a top priority throughout the implementation process. We used encryption to protect sensitive client data during transfer and storage. We also implemented access controls to restrict access to the automated workflows and client data.

• Error Handling: We implemented robust error handling mechanisms to identify and resolve any issues that may arise during the automated processes. This included logging errors, sending notifications to administrators, and providing clear instructions for resolving common issues.

We tested the Zaps extensively to ensure they were working correctly and accurately before deploying them into production. We also provided training to Granite Peak’s staff on how to use and maintain the automated workflows.

Results & ROI

The implementation of the automated onboarding workflow yielded significant improvements in efficiency, accuracy, and client acquisition.

• Reduced Onboarding Time: Granite Peak reduced its average client onboarding time from 8 hours per client to 4.8 hours per client, a 40% reduction. This freed up significant staff time, allowing advisors and support staff to focus on more strategic activities.
• Increased New Client Acquisition: By freeing up staff time and streamlining the onboarding process, Granite Peak was able to increase new client acquisition by 15% in the first year after implementation. This translated to approximately $5 million in additional AUM.
• Reduced Data Entry Errors: The automated workflows significantly reduced the number of data entry errors, resulting in a 75% reduction in the time spent correcting errors. This also reduced the risk of compliance issues.
• Compliance Cost Savings: Streamlined documentation and reduced error rates resulted in a 20% reduction in annual compliance audit costs (approximately $1,000).
• Improved Client Experience: The faster and more efficient onboarding process improved the overall client experience, leading to increased client satisfaction and retention. Client satisfaction scores related to the onboarding process increased from an average of 7.5 out of 10 to 9 out of 10.

Specifically, the reduction in onboarding time allowed each advisor to dedicate an additional 3.2 hours per week to client engagement and business development activities. This resulted in an increase in new leads generated and a higher conversion rate of leads to clients.

Furthermore, the improved client experience contributed to a higher client retention rate. Granite Peak saw a 5% reduction in client attrition in the year following the implementation of the automated onboarding workflow.

Key Takeaways

1. Automation is Key to Efficiency: Automating manual tasks and integrating key systems can significantly reduce onboarding time and free up staff to focus on more strategic activities.
2. Data Consistency is Crucial: Ensuring data consistency across all systems is essential for regulatory compliance and a positive client experience.
3. Compliance Should Be Integrated, Not an Afterthought: Incorporate compliance considerations into the automation process to minimize the risk of regulatory scrutiny and fines.
4. Choose the Right Tools: Select automation platforms and integration tools that are versatile, easy to use, and compatible with your existing systems. Zapier worked well for Granite Peak because of its low code and easy to use integrations.
5. Client Experience Matters: A streamlined onboarding process improves the overall client experience, leading to increased client satisfaction and retention.

About Golden Door Asset

Golden Door Asset builds AI-powered intelligence tools for RIAs. Our platform helps advisors streamline operations, personalize client experiences, and uncover hidden growth opportunities. Visit our tools to see how we can help your practice.