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.