Whether you’re a new business owner, or you’ve been in the game for years, having a skilled Wealth Management Advisor in your corner is essential for success. We often think advisors as they relate to our personal finances, but an advisor can have a huge impact on your business as well. Not only can an advisor help you be more successful, you’ll start on the right foot with a proper plan. This ensures your business continues in the right direction for growth and stability.
Let’s Talk About The Big Picture
There are a lot of reasons why you may choose to start your own business. One of them may be the potential to gain personal financial freedom; having access to expert advice can get you there. With the right planning, you can leverage your business finances to achieve those personal goals.
Seeing business and personal finances overlap can be a shock for some business owners, and key details can be overlooked. A Financial Advisor could help you avoid costly mistakes. For example, both your business and personal finances need to be coordinated for cash flow, investment, and tax purposes.
The good news is that your business accountant and personal wealth management advisor can – and should – work together. Through solid planning and financial strategy, your business can seize otherwise hidden opportunities.
Your Business Finances Shouldn’t Be Taken Lightly
Commonly, business owners think that as long as they have an accountant, they’re fine. However, many financial problems could be avoided by working with a wealth management advisor. If financial problems compound over time, they may cause a business to go under. The following are examples of issues that can be avoided with proper financial planning:
- Cash flow problems caused by bad debt, disorganized books, or profit problems
- Delayed or overpaid vendor accounts
- Over-investment in capacity or too much overhead
All business owners would agree that they want to avoid financial challenges. And most would like to eventually reach a point where their business runs itself. Your advisor can be a key player in increasing efficiency and profitability for your business, so that you can achieve that goal.
Begin With The End In Mind
What happens when it’s time to think about getting out of your business? The first thing you’ll need is a business valuation.
There are many reasons to have an up-to-date business valuation, including:
- Retirement planning
- Obtaining equity financing for an expansion
- Adding shareholders
- Setting a baseline value for the business to identify whether it’s growing, stagnant, or declining in value to restructure the business
These reasons may not be relevant to your business right now. However, it’s invaluable having a finance professional who can talk through your options in advance.
If you make financial decisions for a business, we can help you be more effective in ways that save you time and money. The right advisor at the Du Charme Wealth Management will help navigate the unknown with you, as well as allow you to focus on the core of your business.