Monthly Archives: June 2016

Successful in the Field of Financial Consultants

Financial Consultants are one of the fastest growing industries today. More and more people are requiring the services of a finance consultant to get out of debt, and/or prepare for educational and retirement expenses. The knowledge these consultants have creates an income potential for everyone involved.

Becoming a financial consultant takes time and money. It is not a get-rich-quick business, but it does lead to an unlimited income potential. Before you do anything else, you need to decide if you are committed to making the time to become a finance consultant. If you decide you are, then delve deeper and learn more.

Financial consultants are also called investment consultants, because they help you plan financially through investments. The best thing to do when you decide to become an investment consultant is to contact one of the many financial planning organizations such as the Financial Planning Association.

You will need to become a member of many of these financial consultant associations. You are also required to take class and an exam, before you can provide financial consultant services. Each association has its own credentialing system. While it is not necessary to have all the certifications, it is best to have several for professionalism and credibility.

Until you receive certification, you should get the requirements from the Securities and Exchange Commission as well as your State regulatory Authority for financial consultants. It is also required that you register with these agencies as well as the NASD and obtain licenses from them.

Once you are certified and licensed you are ready to open your investment consultant company. However, a few things need to be done before seeking clients. You will need to decide how you will be compensated for your services, and if you will specialize in a type of planning, such as estate planning, or generalize. You will also want to begin networking with other local people in the industry, such as accountants and lawyers.

Financial consultants have four compensation methods to choose from. When deciding on the compensation method for you, decide if you want to obtain more licenses and certifications. In almost any event, you will need to partner with insurance companies and at least on e securities broker/dealer.

You can offer your investment consultant services on a commission-only basis, fee-only basis, fee plus commission basis, or fee-offset basis. Of these three methods, only the fee-only method does not require partnering with insurance companies and securities broker/dealers, or obtaining extra licenses. A fee-only consultant creates a financial plan for the client, but the client is responsible for implementation of the plan. A fee-only consultant usually has a per hour fee or project fee.

Each of these methods of compensation has a good and bad side. You must consider the type of financial consultant business you want, and then choose the method that is appropriate for you. You can always change methods, but that can be tricky.

If you decide to go with on of the methods, other than fee-only, you will need to find your partners. It is best to partner with as many insurance companies and broker/dealers as possible. This will give your better tools and more options to work with for your clients.

While you are talking to companies, you should also talk with lawyers, and accountants in the field. They cannot only refer clients to you, but may be willing to work on projects with you for your clients. This is part of the networking you will need to do to succeed.

You need to invest for insurance for your investment consultant company as well. It protects you and your clients. This is a necessary part of the business. Should the unimaginable happen, you will be protected.

Clients will probably not fall in front of you when you first start. To gain experience and clients, offer your finance consultant services for a small fee, or even free, to friends and family. Ask them if you can use them as references. This will not just help your business, but it may help them too.

Once you have become a financial consultant, you will need to retain your certifications with continuing education in financial planning. Loot at web sites and books, they will keep you informed of industry trends, as will industry magazines. Stay affiliated with organizations at the national, State and local level. Your business is reliant on personal ability and honesty. Stay focused on this and you are bound to succeed.

When to Use a Financial Consultant

The time may come when you find your finances are getting beyond your control… maybe your bills are piling up, or perhaps you just find that you aren’t sure which financial decisions to make. In either case, you might find some benefit from visiting a financial consultant and getting them to assist you in taking control of your financial life once again. While a financial consultant won’t be able to take care of all of your financial problems or advise you on all matters, those that they can offer assistance or advice for are well worth it.

If you think that you might consider utilizing a financial consultant, then the information provided below should shed a little more light on this profession and help you to decide whether this is what you need.

Advice

As the title implies, a financial consultant is an individual who offers you advice on a variety of financial matters. This can mean that they assist you with budgeting your money more successfully so that you have more available for what you need, or they might offer suggestions as to wise investments and retirement plans. In general a financial consultant can assist you with several different aspects of finance, and are a good source of information and advice when you seem indecisive about financial issues. Some financial consultants may also offer accounting or brokerage services, depending upon where they are located and if they are appropriately licensed to do so.

Do You Need One?

In order to determine whether or not you need a financial consultant, you should look at the current state of your finances and see how well you are handling them. Do you find yourself constantly worrying about making the right financial decisions? Have you been putting off making certain investments because you’re not entirely sure if it’s the right one for you? Are you worried that you’re going to make critical errors when dealing with some of your financial matters? If these questions sound remotely like you, then you might want to consider looking into local financial consulting services. Should you later find that a financial consultant is not for you, you can always stop utilizing their services.

Finding One Locally

In order to find local financial consultants, you should use your telephone directory or your preferred internet search engine and see what options are available in your area in regards to financial consulting firms. It’s generally best to hire a financial consultant who lives and works in the same area that you do because they are much more likely to be familiar with the local community and economy than one who does business with you from a distance or online. Just because a financial consultant is in your area doesn’t mean that they are the right one for your needs, however… just like with all things relating to finance you should shop around and make sure that you’re getting the most for your money and the best financial advice that you can.

Choosing the Right One

Don’t be afraid to ask for references or credentials from a prospective financial consultant… they should be glad to give you the information that you want. Compare the experience and references that you receive from several different consultants, and once you decide upon a particular one begin with a trial of their services. If they work well for you, then you can continue working with them; if they aren’t right for you and your needs, then you might want to find someone else.

Roles and Responsibilities of a Financial Consultant

Being good with money is not enough to become an effective financial consultant.

A financial consultant, often called as financial advisor, is an individual who offers professional advice on money management. They serve individuals or organizations who are having issues with debt management, setting up their long term financial goals, developing a savings plan, and who are looking for sound investment advice.

They are also being sought for by couples who are leaning towards expanding their family. They will be asked about a good mortgage rate, when to save for retirement, and how to start a college fund. An effective financial consultant can offer sound advice on all these areas.

A great number of financial consultants work for companies and large organizations that are dealing with financial challenges. Consultants help these entities with their budgeting and debt management issues. Sometimes, they may also be called in to develop retirement and benefits plan for employees.

Individuals who would like to start a career in financial consulting must meet certain requirements. They must have a degree in finance and at least 10-15 years relevant experience. In addition, they must have attended relevant trainings and seminars. It would also be a big plus if they obtain certification from the Society of Financial Advisors.

Aspiring financial consultants can work for mortgage lenders, banks, or tax companies to get valuable experience in handling loans and special financial services. Through this, they’ll get a better understanding of various finance-related issues that they will most likely to deal with when they finally start a career in financial consulting.

Most financial consultants start by working for consulting and financial firms. The good thing about going this route is that these consultants don’t need to think about finding their clients and that they are guaranteed with paychecks every 15th and 30th of the month. In addition, they acquire valuable experience in their profession. They can use this when they decide to work for themselves.

Working as a freelance financial consultant can be extremely overwhelming, frustrating, but rewarding. Although individuals who choose to go this route will do virtually everything to bring in clients to make money, they can have themselves as their own boss and they will have direct control over their working hours. They can also possibly make more money as long as they are dedicated, determined, and motivated. These people can work from the comforts of their own home or can set up their own office.

Everything You Need to Know About Financial Consulting

What is financial consulting? Well, let me start by saying that financial consulting isn’t for everybody. This is a type of service offered by certified financial consultants who have ten to fifteen years of practical experience and who have accounting and financial planning background to individuals, corporations, and government agencies.

Companies or organizations that require expertise in finance, insurance, accounting, and other aspects related to finance usually hire financial consultants. These consultants must be recognized by the Institute of Financial Consultants before they can practice in this field. Before they will be certified, they will need to successfully complete an education program and an examination to make sure that they have up-to-date and in-depth knowledge on latest business practices and theories.

Basically, there are two types of financial consulting: personal and business. Although they deal mostly with finances and investments, the skills required for these two different roles are slightly varied.

Companies hire financial consultants who have in-depth knowledge about insurance, finance, and accounting. Clients usually have specific plan and they just need an opinion from an objective third party. The consultant will be tasked to review and analyze the proposed plan. He will identify its strengths and weaknesses. Later on, the consultant is expected to offer advice on pending government regulations, risk managements, long-term viability, and industry trends.

On the other hand, individuals who have significant financial resources or those who have a complex investment portfolio also hire financial consultants. Some of the services they require are the following; taxation planning, long-term planning, risk assessment, income management, investment advice, etc. The goal here is for the consultant to actively help their individual clients so they can obtain maximum benefits from their financial resources with the lowest amount of risk possible.

Financial consulting is undeniably one of the most lucrative fields in the business world today. If you want to sink your teeth into this endeavor, you better start getting relevant degree and relevant experiences. You will need a minimum of ten years experience in financial planning and personal finance management before you can get started. If you already have enough experience and education, I recommend that you watch financial consultants in action so you can get techniques and strategies as to how you can get started on the right foot. Keep in mind that your goal here is to give your clients with the best and most appropriate suggestions/advices so they’ll be able to grow their financial resources in no time.