3 Tips For Pioneers Who’ve Been Neglecting Their Personal Finances

Many entrepreneurs start their businesses in their 20s, 30s, or teens with little or no business management experience.

A business owner can always hire an expert to handle your company’s finances. But what about your finances?

Many Millennials and Gen Z are in this situation: they lack the financial advice and support needed to make a sustainable and financially healthy life. Even though they make major financial decisions for businesses, it is too familiar that they ignore their finances.

Simon Brady, CFP financial advisor and founder of Anglia Advisors, created his financial advising business specifically to serve this population.

Like any good entrepreneur, he recognized a need and fulfilled it. He saw a need for objective, expert advice and financial planning geared towards the younger generation. Brady says, “Many traditional advisors are focused on older clients with established wealth or asset portfolios. They work on transactional compensation models that include commissions and sales of products or insurance. “Guidance on any other issue that does not earn a significant amount of commission is of no interest. This leaves many Generation Z and Millennials lacking financial literacy and knowledge. This can lead you to make poor or even catastrophic financial decisions.

Brady gives his top advice to Millennials and Gen Z looking to achieve and sustain financial stability throughout their lives.

Trust but verify. Find out how advisors are compensated before you sign up.

This is important because there are virtually no rules regarding what a wealth coach, financial advisor, or financial planner can do. Even if they lack verifiable qualifications, anyone can call themselves a financial advisor, financial planner, or money coach. There are many ways that they can be paid.

Transaction-based salespeople can call themselves advisors and put their client’s interests first. Unfortunately, this is not illegal. This is like someone pretending to be a doctor but taking kickbacks from drug companies. It would be a mistake to accept services from someone who does not have your best interest in mind.

Anglia Advisors offers an alternative: fee-only, fiduciary advisers paid on fixed retainers or per-hour project fees. Brady states that 100 percent of their compensation comes directly from the client. Therefore, 100% of their obligation to the client is unaffected.

Get in touch with experts.

Although the Internet is an good resource for financial advice and investment strategies, it’s still better to speak with an expert than just reading. A financial expert can help you achieve financial success by getting to know you better. Millennials, Gen Z entrepreneurs, and others in need of expert guidance should seek financial consultations. They want to find someone who can help them long-term.

As we mentioned, it is essential to choose a fiduciary who receives a flat fee. A strong foundation of trust, where the expert is dedicated to serving their customers, makes it easier to develop a long-term partnership with your financial adviser. This is vital because a stable relationship with a financial advisor who has a deep understanding of your finances, short and long-term goals, and who is interested in helping you reach them is much more beneficial than a one-off planning session.

Start Savings Now

Even though it’s best to start saving now, it’s never too late.

Brady states, “You are the youngest person in the world and have the most powerful financial tool: time.” Although compounding seems difficult to the human mind, there are numerous real-life examples. The sooner you begin, the easier to make things work for you.

Entrepreneurs do their best to ensure their businesses are financially sound. But, sometimes, personal finances can be overlooked. Do not make this mistake. If you treat your financial affairs as a business, you will be able to create a sustainable future for your company and yourself.

- Advertisement -
Avatar photo
Samatha Vale
Samatha a senior writer for HC's entertainment team. She is an entreprenuer, mother and an excellent writer. She's also an avid reader, music enthusiast and all around inquisitive person - which is just a nice way of saying she's nosy.

Latest articles

Related articles