Unlocking Financial Consulting
A Primer for Aspiring and Newcomer Members
Financial consulting, facilitated by Certified Financial Consultants, caters to a diverse clientele, ranging from sizable corporations and government bodies to individual clients. The primary mission of a financial consultant is to offer an unbiased and well-informed evaluation of proposed business strategies or decisions. This service broadly bifurcates into two segments: business and personal financial consulting.
Businesses in need of expertise in accounting, finance, insurance, and related financial domains seek the guidance of business financial consultants. Conversely, individual clients seek financial consultants to manage their investments, property holdings, and long-term financial plans. The skill sets required for these roles differ subtly, catering to the distinct expectations of each client segment.
A Certified Financial Consultant(CFC) is a professional designation obtained from The Institute of Financial Consultants, upon successful completion of an education program and examination. This designation is internationally recognized and is an important professional credential to obtain a position in this field. CFC's are required to complete professional development courses each year to ensure they are up-to-date on the latest theories and business practices.
In a business financial consulting arrangement, the client has a specific plan or concept they want an independent opinion about. The role of the consultant is to review the proposed plan and identify strengths and weaknesses. They are also expected to provide advice on risk management, pending government regulations, industry trends and long-term viability.
This type of work requires a background in accounting, finance, insurance and business management. Consultants usually have ten to fifteen years of practical experience in a wide range of related positions, prior to becoming a consultant. These experiences add value and perspective.
Personal financial consulting is usually a service required by people with significant financial resources and a complex investment portfolio. These services include investment advice, taxation planning, income management, risk assessment and long-term planning. These issues must be actively managed by a professional to obtain maximum benefit with the lowest amount of risk possible.
Consultants who specialize in this area usually have a background in accounting and financial planning. A minimum of five years experience in personal finance management is important, as is an open communication and review process. Although some firms offer estate planning, always consult with a lawyer on these issues to avoid any problems for your beneficiaries. Financial consulting offers a wealth of opportunities for employment, career advancement and professional growth. If you have an interest in a financial career, explore consulting as a career path.