What’s your USP? It’s a vital question for all businesses to consider, but particularly advice firms. So, what exactly draws a potential client to you over a rival?
For established advisers, reputation may be enough. A long history of delivering for clients ensures strong word-of-mouth business. But for newer businesses, the answer increasingly lies in pursuing a specific niche. This means focusing efforts on an underserved area where existing clients lack sufficient support from advisers who haven’t built an in-depth understanding of their unique challenges.
For these firms, the key is not just identifying their target niche, but partnering with the right businesses to thrive.
STANDING OUT
Reaching the right audience is a priority when targeting a particular niche. Targeting young, first-time homeowners, for instance, requires a markedly different approach than focusing on a profession like GPs or dentists.
It’s not just about branding, but also lead generation. How will you reach that audience? Referral partnerships can be highly effective here. Pinpointing and aligning with complementary firms that have a steady stream of customers from your chosen niche can help you build a robust pipeline.
Building those relationships can take time, and involve rejection along the way. But the firmer those partnerships are, the better they will deliver for you over the long term. They can even open up new revenue streams. for advisers.
THE RIGHT BACKING IS ESSENTIAL
Just as important as referral partnerships is the support structure in place for the adviser. The right backing allows you to build the advice business you actually envisaged, rather than acting as a barrier on your ambitions.
While some advisers prefer to operate independently as directly authorised (DA) businesses, and can make a success of building a niche-focused business in the process, increasing numbers are joining networks and becoming authorised representatives (AR).
Data from Network Consulting, obtained via a Freedom of Information request, bears this out. In 2025, the top 30 networks with mortgage permissions saw a net increase of 275 AR firms, contrasting sharply with the DA market, which contracted by 247 firms and 516 advisers over the same period.
That paints a clear picture of advisers looking at what is expected of them, what they hope to achieve, and concluding that their prospects are strongest if they have the backing of a quality network behind them.
WHICH NETWORK IS RIGHT FOR YOU?
Crucially, all networks differ. Some prefer a ‘cookie-cutter’ approach, where most firms operate in a centralised, homogenous way, while others celebrate the diversity of advice businesses under their umbrella, with each delivering for specific subsets in their own way.
We see this at Rosemount. One of our ARs, Contractor Financial, specialises in working with contractors, clients who are often misunderstood, underserved, and unfairly restricted.
The team has worked closely with mortgage lenders to improve understanding of contractor income structure and sustainability, opening up more fair lending options.
This model could not be much more distinct from Paladin Advice, another business within the network, which is dedicated to supporting individuals and families who have received compensation following life-changing injuries.
These clients often face long-term medical, care, and lifestyle challenges, with financial decisions surrounding their settlements having lifelong consequences.
We also have firms focused on younger clients, female clients, or those prioritising environmental concerns. For any adviser considering a network move, it’s vital to establish not just their support for regular firms, but specifically how they can deliver for a niche-focused business.
WHAT IS YOUR GOAL?
Identifying an underserved niche and delivering focused, detailed advice can transform an advisory business. Instead of trying to be everything to everyone, you can develop a specialism that makes your firm the go-to choice for specific clients.
For advisers, the key is not only to pinpoint the desired niche, but to ensure they have the right relationships in place to flourish while delivering for that particular subset of clients.
Ahmed Bawa is CEO of Rosemount Financial Solutions (IFA)
