Reasons to consider a financial planner

Reasons to consider a financial planner - women talking over a notebook computerFor business owners who want financial security now and freedom in retirement, having a financial planner on the team is a must. A financial planner will create a customized, strategic action plan to help you achieve your personal financial goals.

Getting to know you and your business inside out is the first step a financial planner will take. They learn where you are now and where you want to go, then determine the route you need to get there.

Still not sure you and your business need a financial planner? Consider these key benefits.

Grow your retirement wealth

It’s not unusual for an entrepreneur to launch a business, hit the ground running, and never get around to planning for the future.

If you’re young and healthy, it may feel like retirement is too far off to think about. After all, your business is a going concern that needs your attention right now.

But even if you won’t retire for another thirty years, you’ll have a much better chance of achieving those far off goals if you lay the groundwork now. The earlier you start saving, the more time your money will have to compound, and your wealth to grow.

Protect what matters most

Hand in hand with retirement planning is protecting the financial wellbeing of your family and your business with the right insurances. A financial planner can help get your estate planning in place, should the unforeseeable happen.

If you don’t have the answer for the following questions, it’s time to get in touch with a financial planner:

  • Do you have sufficient insurance coverage in case you can’t work due to illness or injury?
  • Are you satisfied you’re investing your money strategically for the projected number of years you plan to work before retirement?
  • Do you have an exit strategy for when the time comes to leave the business – whether you hope to sell, or to pass the company on to a successor?

Save money

In the first few years of a business, it’s not uncommon for entrepreneurs to try to save money by doing everything themselves. When it comes to financial planning, however, hiring a professional can save you both time and cash.

Financial planning for business owners involves multi-faceted tax, estate and succession planning. Because of the complexity, it’s best to leave it to a trained, experienced professional.

Moreover, if you’re DIY financial planning, you’re spending valuable time (and therefore, money) on tasks outside your area of expertise rather than working with your strengths to grow your business.

A financial planner can offer expertise and an objective eye. These all help you make the right decisions and avoid making costly mistakes.

Final thoughts

Recent stats show that far too few small business owners have met with a financial planner, and most aren’t adequately prepared for the future.

If protecting your business, the people you care about, and your lifestyle aren’t reason enough to meet with a planner, consider this: working with a financial planner will help improve your company’s profitability.

Your planner can advise you on opportunities to cut costs, invest wisely, implement tax strategies, and when to scale. Why not talk start taking steps to grow and protect your wealth by talking to a financial planner today?

In Australia, any person that offers or advises you about financial products must hold an Australian Financial Services (AFS) licence. You can check whether a financial planner is an AFS licence holder with ASIC.