Gen X or Boomers? Identify the Small Business Owner Niche That Fits Your Financial Practice

Wednesday, March 14, 2012 12:44 pm CDT


ST. PAUL, Minn.
"Small business owners are a large, diverse group"

ST. PAUL, Minn.--(BUSINESS WIRE)--Many financial advisors would like to grow their small business owner (SBO) clientele because business owners have many financial needs. In doing so, advisors should consider the demographics of their existing practices and focus on the segment of the business owner market they are best positioned to serve.

Research conducted for Securian Financial Group provides the insight advisors need to identify the business owner clientele that is the best fit. “Small but mighty: Growing opportunities for financial advisors and small business owners,” summarizes Securian’s research, which shows only about half of respondents use financial advisors.

“The good news is that our study shows small business owners do want many of the services financial advisors provide,” said Kerry Geurkink, director, Individual Annuity Marketing, Securian Financial Group. “But there are about 28 million small businesses in the US1 and many of their needs cannot be met by one lone advisor. Advisors may have more success with business owners if they partner with other financial professionals and target the niche that fits their existing practice.”

The Securian research identifies small business owners by number of employees, gender, age, type of industry, whether they currently work with an advisor and many other variables. It shows that generational differences can make a big difference in the way an advisor should approach the business owner. “Generational insights: A comparison of Gen-X and Baby Boomer small business owners” highlights the financial concerns and differences between Generation X business owners and baby boomers. For example, boomers’ top financial concerns are the state of the economy, health care costs, personal retirement plans and exit strategies.

“Gen-X SBOs, in contrast, are much more concerned with day-to-day business needs and financials and taking care of family, including college expenses,” says the report. “[An advisor] would provide more value by offering services to help with these immediate needs.” The report also says Gen-Xers are “more aggressive, risk-tolerant investors.”

“Small business owners are a large, diverse group,” said Geurkink. “Our research shows that the proven strategy for building a successful practice – target a market, work it, and become an expert – applies to the small business owner market as well.”

Download graphics, reports and other information about the Securian small business owner study at

Since 1880, Securian Financial Group and its affiliates have provided financial security for individuals and businesses in the form of insurance, investments and retirement plans. Now one of the nation’s largest financial services providers, it is the holding company parent of a group of companies that include Minnesota Life Insurance Company and Securian Life Insurance Company, a New York-admitted insurer.

1 US Census Bureau --

DOFU – 0312



Maggie Jensen, 651-665-7558

Media Relations Consultant