Successfully Migrating 900 Clients to RightCapital

Michael Johnson: We came across RightCapital through one of our partners and just started following along online and on LinkedIn, and I'm constantly doing research. I think one of the biggest perks of Alchemi for all of us is the fact that we're not locked into any piece of technology. We're not forced to use anything. So being open-minded and able to shift and be nimble as we go — if something presents itself that's better than what we're using, we're open to it.

And quite frankly, RightCapital was an easy decision. The ease of that data migration from Schwab and from our other pieces of technology that we use just made it a no-brainer. It's very nice when things work out that easily, especially when you're setting up new software. So it really was pretty great.

Michael Johnson: The data flows, in our scenario, from Charles Schwab and also Wealthbox directly into RightCapital, so there really isn't too much of an overhaul. I'd say there's a bulk export and bulk import from the tech admin standpoint on the backend. But in terms of the advisors, it's really pretty seamless, and it's been one of our most used pieces of our technology stack, without a doubt.

The integration was so simple. The data feeds in different ways from different pieces of technology, but that direct feed from Schwab meant the information was exactly the same. There are no miscalculations, no numbers are off. If your advisors see any discrepancies, they usually lose faith in the technology. So the direct integration from Schwab meant the data was seamless. It was there, it was the same as we're used to seeing it, and how the clients are used to seeing it. And I think it took about 30 seconds to feed all 969 accounts into RightCapital with the click of a button. Again, props to Sarah. It's pretty cool to see how easy it was.

In my eight years in this business, I've used four different financial planning softwares, and I haven't found anything that compares to RightCapital. I think it's important to use the best out there, and with the integrations that RightCapital offers, it was hands down the easiest to use and the best for us. I believe you guys have integrations to pretty much anybody out there, which is a huge attraction point. And that direct feed makes it a lot less intimidating to move the amount of data that you have to when you're making a switch in any piece of your technology stack. It can be overwhelming if you don't know what you're doing, but RightCapital really makes it very seamless.

Michael Johnson: RightCapital is really great. It's very digestible for our clients. It's something that they seem to really like. Being able to provide a plan that is nimble — we can change it live with clients as we're talking to them and really give them information and a plan that they can digest.

Back at our old firm, even the advisors had a hard time digesting some of the information that came out of the plans. It's a lot. It's hard to hand a client a 150-page packet and expect them to understand every line. RightCapital digests the information in a very nice way for clients. That was actually a huge selling point for us.

It's very important when you're going out and trying to build your own RIA to not only have intuitive software, but also software that is extremely easy to use. If it's too chunky, if it's too complicated, it probably won't be used or adopted in the way that it should. So realizing how easy it is to use the software — again, credit to Sarah, she's been fantastic — I can give her information that morning and she'll have a plan back to me in 15 minutes. We go back and forth with edits, but it really is a very easy software to use.

Michael Johnson: Every time that we're running a plan for a client, it seems as though we're finding new assets — and really not even by us digging for it, just letting the software identify those opportunities, whether they're investment assets, or a lack of insurance, or potentially needing help with their student loans or budgeting.

Back to RightCapital, rather than having to address and push clients, the plan allows you to identify opportunities and things that the clients may need to focus on. It really presents the opportunities for us, which has been incredible. It was maybe the first two days that Sarah and I started using RightCapital. It's amazing how many people don't have a financial plan on record.

So the confidence that our clients get knowing that we're looking at everything across the board, and really keeping an eye on not just the investments but all the other aspects of the plan, gives them confidence. And us including assets that we don't even manage at the time — which we love, because we love to consolidate, obviously, but we're never forcing anybody to move their assets in. It's generally a voluntary move by the client, just because they see that we're taking care of them. We're making sure that they're protected. We're making sure that their heirs and beneficiaries understand what happens. The estate tax side of things is a big piece of it, but I really think it gives them a lot of confidence that we're taking care of them in all the ways we should.

Michael Johnson: They've reacted very positively. Sarah and I were actually working on one this morning before we hopped on this call. Like we said, I think it gives people a lot of relief knowing that they're going to be okay. And if the probability score is lower than they like, it also gives them relief knowing that we could put a plan in place to try to improve that number and reach our goals. So it gives everybody a clear path to where they want to go.

I'd say the only thing we ever get hesitation back on sometimes is actually gathering the information and having the clients be completely open and honest about it. I tell everybody all the time, the plan is only going to work if you're open and honest about the information. It can be a humbling conversation, but it helps us identify what we need to see, and quite frankly, what they're lacking, if there is anything.

Something that is really great, like we talked about before, is the student loan module, which can be a very complicated process for some of my younger clients. The budgeting software has been a nice addition to what we do. But overall, just the sense of relief that they have, knowing that we're looking at their financial plan from all angles. We're financial planners and fiduciaries. It's our job to make sure that they are covered across the board. We're not just managing their investments — it's a small piece of what we do. The estate planning side of it, the tax planning side of it, they're all extremely important pieces of a financial plan. Having everything meshed together in such a seamless way, clients have absolutely loved it.

We try to have a plan on record for every single client that we possibly can. I stand by it. I think it's important. Quite frankly, it should almost be mandatory, as it is in some scenarios. Having a financial plan on record is great for the advisor, gives you the clarity that you need, and it's also a huge sense of relief for the client.