Is There A Future For Fractional Leadership?

by Nancy Fox, The Fractional Fox

Recently, I posted about two active searches for fractional CFOs within three different fractional communities.

I received over 50 responses for these two searches, and more continue to come in daily!

I also spoke with a fractional CMO firm owner who told me that they are not in need of any more fractional CMO service providers at the moment. (I took this to mean their engagement requests are satisfied for the foreseeable future and requests for fractional talent have slowed).

Another fractional firm leader admitted that things truly have shifted in the fractional world. He said three years ago, the supply side (fractional talent) was low and demand (from business owners) was much higher. Then, the market became flooded with new fractional leaders every month, changing the balance dramatically.

What does this signify, if anything, about the future of the fractional profession?

To me, this says that the future of employment will continue to embrace fractional talent but that frequency of opportunities may continue in a flat or downward direction.

From the research, we see that approximately 10-15% of self-designated fractional leaders are thriving - generating as much as or more income they did than when they were employees.

What about the remaining 85%?

Fractional matching and recruiting firms are doing their best to source engagement opportunities but this still currently leaves the profession with a significant imbalance.

This means that you, fractional executive, must be more strategic and intentional than before if you truly want to stay independent and thrive.

In this article, I give you 11 straightforward strategies for optimizing your chances for not just surviving in your fractional endeavors, but truly prospering.

1. Treat your fractional efforts as a true business. Do you know how many fractionals I speak with that help their clients craft business plans and implementation tactics yet do not do this for themselves? That must change for you to thrive and build a sustainable pipeline. Do not look at your to do list as a "get 3 or 4 clients" activity. Map out client attraction, client service, pipeline building, marketing, sales, and tracking - a real business roadmap.

2. Select a high-promise niche and dominate it. (Need a bit of help? I created a custom GPT called Niche Mastery to help you with this .)

3. Develop a targeted networking strategy where you can access the decision makers of your niche first, then other service providers to this niche as referral sources. Don't waste your time with general, less focused networking - even if it is cheaper.

4. Develop both an inbound and outbound lead generation strategy. Do not rely 100% on referrals because they can dry up at any time.

5. Do have a top level referral circle that matches your niche market. Nurture it continually, and generously service it with your own reciprocal referrals. This means you have to educate your referral circle about the event triggers/inflection points your target market prospects experience that compels them to search for services you provide.

6. Email and content marketing. I know this is a tough one for many. It's challenging and time consuming. You can outsource the set up and even some or all of the content to save time.

7. Craft your content around your target market's 10 Migraine Headaches. Give your target market solid input and share your wisdom. Demonstrate your acumen. Don't be afraid of giving away too much for free. Why? 99% of people love to learn how but do nothing with it. They don't implement. That's where you save their day.

8. Create your calendar that is 75% client service time, 25% marketing and sales time. Treat this like religion and you will start to have a real pipeline flow.

9. Have more than one revenue stream. You core revenue stream may be your fractional services but start systematizing and thinking about productizing your services to create a monthly recurring revenue stream separate from your bespoke client services.

10. Make the commitment to your business. This is both a mindset issue (don't let disappointment and fear stop you) and a strategic/tactical issue. Persistence and consistency is where the rubber will meet the road.

11. Specialize. In today's fractional and consultant-saturated world, if you generalize, you will fade right into the woodwork. Find your superpower within your niche market that has you stand head and shoulders above the competition, compels your ideal decision maker to seek you out over the throngs of others.

I know this is a lot and these recommendations are easier said than done, but just get started with a smarter system and results will kick in much faster than you expect.

It's hard you say?

Who ever said building a business would be easier than having a job?

Being an independent business owner has the potential to make you happier, give you greater freedom, and make you master of your own destiny - if you follow these 11 strategies.

The sooner you start, the sooner you become part of the winning 15%.

That's my prediction.??

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Speed network with us every month, the 2nd Thursday of the month. Register here: https://fractionals.ai/fc-speednetworking . For more tips and business building strategies, go to https://fractionals.ai and sign up for my every-Saturday-morning newsletter, The Boost.