Our financial advisors helped thousands of American small businesses

The wise words of Marie Curie, the first female Nobel Prize winning physicist and chemist, have never been more relevant:

“Nothing in life is to be feared, it is only to be understood. Now is the time to understand more, so that we may fear less.”

The cure for fear is understanding and action. On the other hand, the breeding ground for anxiety is uncertainty and paralysis – and that’s certainly what many Americans feel, emotionally and financially, amidst today’s COVID-19 pandemic. This is especially true for American small business owners who face many other added worries. These entrepreneurs need to understand their options so they can get back to dreaming their American dreams as soon as possible.

When the pandemic began, thousands of Northwestern Mutual financial advisors jumped in to do what they do best – and their impact is inspiring. Equipped with financial intelligence compiled by our experts, advisors like Cincinnati-based financial advisor Jacki Purcell rallied their teams from new makeshift virtual home offices, got on the phones and proactively contacted their clients one-at-a-time, beginning with those most at-risk financially. For 15 minutes at a time from sunrise to sunset over recent weeks, these advisor teams provided context and support – and literally called on clients to act with both understanding and urgency. On the line, Jacki heard the concerns of small business owners – including a husband-and-wife team who had recently opened up a wedding and event space – and connected them with community resources to find relief.

Wealth management advisor David Higgins also called through his entire client database of mostly dentists, doctors and mom & pop shop owners near Houston - a metropolis enduring the impacts of record-low oil prices alongside COVID-19. He says he’s “never been so tired in his whole life” after those days and nights of calls, but his advice to “drop whatever they were doing and apply for the federal government’s Paycheck Protection Program” made a big difference – every client that David encouraged to apply received funding in the first round of the program, enabling them to avoid staff layoffs and furloughs.

David Higgins has been connecting with clients however and wherever he can, including his home kitchen, alongside his two children.

Frankly, the impact our advisors made in this effort helped to stabilize thousands of small businesses – and that work continues day-after-day helping our clients. And it often reaches beyond basic financial questions to actually listen to what clients want to achieve and then connecting them to other resources in the community as often as possible. For example, as the crisis began, David helped one of his clients move proactively to rapidly open up a small business selling hand sanitizer by the gallon to hospitals, stores and local businesses within a 200-mile radius. They’ve shipped thousands of gallons and are working to ship thousands more in the days to come. 

Wealth Management Advisor Mark Van Wagenen contacted all of his clients as well, including Kris Bergly, owner of the Xalon Salon in St. Cloud, Minnesota. When hair stylist operations were closed alongside other industries designated as “non-essential,” Kris wasn’t sure how he would be able to support his 22 employees. That’s when Mark reminded him about the cash value that had built up in the permanent life insurance policy he had purchased years ago. Kris could take a loan from the cash value and use it for any reason. Describing it as “a godsend,” Kris is using those funds today to cover payroll and health insurance for his staff. 

Wealth Management Advisor Mark Van Wagenen has been helping the Xalon Salon endure this business closure and prepare to re-open its doors – following new government guidelines – in the coming weeks.

Wealth Management Advisor Ashley Russo has been trailblazer in online financial advice, working virtually from home with clients for the past three years – and she has been leading the way during this time too. With no time wasted battling Los Angeles traffic while traveling from meeting to meeting, she says she’s been able to meet about twice as many clients via video conference in a typical day than others can in-person. Today, she says her conversations with clients have focused on a blend of both reacting to the current situation and being proactive to find opportunities in the midst of this time. For example, some of her clients have increased their investments more in the past five weeks than they did in the prior five months. In addition to providing financial guidance, Ashley is sharing her business model with other advisors across the country and showing them how it can be done, now and in the future. 

Ashley Russo’s home has been her virtual workspace for over three years.

These stories all share one common component: a total focus on helping our clients take needed steps during a highly volatile time. These advisors put in the long hours because it’s the right thing to do. They did it because we have a mission to help clients achieve a lifetime of financial security. They recognize that the cure to fear is understanding and action.

April was Financial Literacy Awareness Month. In my 30+ years in the financial planning industry, I don’t think there’s been a more powerful and expansive example of why having a financial advisor and a comprehensive plan is so critical to navigating challenging times. As the calendar turns to May and the response to COVID-19 continues, these examples bring me hope for our economy and for our nation’s 30 million small businesses, which employ more than nearly half of America’s workforce. Our advisors will continue to deliver connections and counsel to business-owning clients – and together, we will face the fear, promote understanding and protect people’s American dreams.

To every advisor, I wish you my heartfelt gratitude. To every small business owner and client, I wish you health, stability and success.