Update and Direction

Haven’t posted in a while but Legacy is still going strong.  I’m not a huge fan of going direct to consumer(B2C) because of the difficulties associated with getting traction for an app in an overwhelmed and oversaturated market.  Social media is training us to be very leery of most ads even if what those ads are peddling can provide positive social change.  Pile the exploitation of our data on top of that and you’re faced with a skeptical market that requires something viral or a lot of marketing dollars to truly take off.

With that in mind, we shopped our original solution from 10.10.10 to a bunch of different industries.  We spoke with hospitals, insurance companies, insurance brokers, benefits management companies and HR executives.  After a while we were starting to despair that there might not be a B2B market for this type of solution.

Then I went camping with a friend who works for TIAA.  She explained that the financial industry has some clear parallels to the original wicked problem we set out to solve – our unwillingness to have the conversation around death and dying and the costs that has on families both emotionally and financially as well as the cost to the healthcare system in general.  The parallel problem in finance has to do with the retention of assets from one generation to the next.  The numbers here are stark.  When the primary asset holder passes away, the surviving spouse moves the assets to another firm greater than 70% of the time.  When the surviving spouse dies, the kids move their assets to different firms greater than 90% of the time.  For some firms, it’s even worse than that, I had one conversation where a VP of wealth management told me that the kids moved their assets greater than 98% of the time!

We are on the precipice of the greatest wealth transfer in the history of mankind.  With almost $60 trillion of assets being transferred in the next 15-25 years, this seems like an important problem to solve.

Let’s analyze the problem.  The financial industry is low trust.  The ‘too big to fail’ debacle didn’t help anybody from that industry but even before then, wealth managers were listed slightly above used car salesmen on the trust scale.  For those advisors that do have good relationships with their clients, they still struggle from the transactional nature of the relationship.  Bluntly, the primary asset holder doesn’t have a lot of good reasons to introduce his financial advisor to the rest of the family.

That’s where Legacy Foundry comes back in.  Through a set of financial goals, coupled with quality of life targets and building a personal legacy we give firms the reason to have deeper, more authentic conversations with the rest of the family.  That’s what Legacy Foundry is about, having the conversation.

We have raised some funding and built our inception team.  Time to start making an impact.

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