The Leverage in Business


Amar Pandit
A respected entrepreneur with 25+ years of Experience, Amar Pandit is the Founder of several companies that are making a Happy difference in the lives of people. He is currently the Founder of Happyness Factory, a world-class online investment & goal-based financial planning platform through which he aims to help every Indian family save and invest wisely. He is very passionate about spreading financial literacy and is the author of 4 bestselling books (+ 2 more to release in 2020), 8 Sketch Books, Board Game and 700 + columns.

May 7, 2021 | 3 Minute Read
This is a key topic that again has an impact on your overall business model.
You are a service provider who is delivering a service to a prospective client who has Rs.10 Crore of Assets.
Who do you think has the Leverage here?
Think about it before you respond. This is not a trick question or a question that you have to get right.
Most would say the Client would as he has Rs.10 Crore to invest. A Few would say “the Service Provider” because they want to get the question right. Another Few would genuinely say “the Service Provider”.
The right answer is “It Depends”. Yes, that is the right answer.
It Depends on who really has the Leverage.
If the Service Provider is a Commoditized One, He has Zero Leverage or Power in the Process. Thus, the Prospect with Rs.10 Crore has the leverage. Some people take a lot of advantage of this and I am sure every firm has come across not one but multiple such people. It is not necessary for someone to have Rs.10 Crore to do this. This can be done even with Rs.1-2 Crore depending on who the service provider is.
If the Service Provider is a Real Professional with Real Expertise & Differentiation, then the Service Provider has the Leverage.
Imagine a world class Doctor, Lawyer or any other Professional. People look forward to working with such Professionals. They do not mind getting on waitlists to meet the right professional sometimes waiting months. I have even seen people waiting for certain hair stylists or designers for weeks and months.
These world class professionals have the power to choose their clients well. You can too.
Having this edge and becoming world class in your craft is a strategy in itself. Thus, Chase Excellence and Be the Best in what you do.
Similar Post
Nano Learning
The Similarity between Horses and Excel
Henry Ford once said that if I had asked consumers what they need, they would say Faster Horses. However, the reality was that they needed cars. Fast forward today in our industry ....Read More
29 May, 2020 | 1 Minute Read
Nano Learning
The Demonstration of our Value
I was addressing a group of US RIAs last week on the HappyRich concept. One of the questions that came up was around the value of a financial professional. I thought my response wi ....Read More
28 May, 2021 | 3 Minute Read
Nano Learning
It’s Priority
In his book “Essentialism – The Disciplined Pursuit of Less”, Greg McKeown wrote, “The word priority came into the English language in the 1400s. It was singular. Priorit ....Read More
27 January, 2023 | 2 Minute Read
Nano Learning
Which Business are you in?
We are in the "Investor Management" Business not in the Investment Management Business. We are in the "Personal" Business not in the Finance Business. We are in the "Trust" Busines ....Read More
6 March, 2020 | 1 Minute Read
Nano Learning
Are you Limitless or Limited?
Jim Kwik in his book “Limitless” writes “one of the only infinite resources in this world is Human Potential. Almost everything else is finite, but the human mind is the ulti ....Read More
11 December, 2020 | Minute Read
Nano Learning
Technical Side of Money versus Life Side of Money
Most distributors and advisors obsess over the technical side of money – the products to choose, the benchmarks to beat, costs, returns, designations, better excel sheets and so ....Read More
19 June, 2020 | 1 Minute Read
- 0
- 0
0 Comments