How to start a Financial Planning Firm?


Are you interested in starting your own Financial Planning Firm Business?

If you're reading this, chances are you're interested in starting your own financial planning firm business. Congratulations! This can be a very rewarding and lucrative business, but it's important to understand the basics before getting started. In this section, we'll cover the basics of starting a financial planning firm business, including the initial steps you'll need to take, the paperwork you'll need to file, and the licenses and permits you'll need to obtain. We'll also touch on some of the key considerations you'll need to keep in mind as you get your business off the ground. So let's get started!
Business Plan
If you're thinking about starting a financial planning firm, the first step is to create a business plan. This will help you map out the steps you need to take to get your business off the ground. Here are a few things to keep in mind as you create your business plan:
1. Define your business. What services will you offer? Who is your target market? What is your unique selling proposition?
2. Develop a marketing plan. How will you reach your target market? What marketing channels will you use?
3. Create a financial plan. How much money do you need to start your business? How will you generate revenue? What are your expenses?
4. Put together a team. Who will be on your management team? What skills and experience do they bring to the table?
5. Plan for growth. How will you scale your business as it grows? What are your long-term goals? Creating a comprehensive business plan is the best way to ensure that your financial planning firm has a solid foundation.
By taking the time to thoughtfully plan for your business, you'll increase your chances of success in the competitive financial services industry.
Target Market
When starting a financial planning firm, it is important to first identify your target market. This can be done by considering factors such as age, location, income, and investment goals. Once you have a good understanding of who your target market is, you can then begin developing marketing strategies to reach them. Additionally, it can be helpful to partner with other businesses that serve similar markets. This can help you expand your reach and better serve your target market.
Business Model
If you're looking to start a financial planning firm, there are a few things you need to know about the business model. First, you need to have a clear understanding of the services you'll be offering and how you'll be compensated for those services. You'll also need to have a solid business plan in place, outlining your goals and how you'll achieve them. Finally, you'll need to make sure you're properly licensed and insured. Here's a closer look at each of these elements:
1. What services will you offer? Financial planning firms offer a variety of services, from investment advice to retirement planning. You'll need to decide what services you want to offer and how you'll be compensated for those services. For example, you can charge by the hour, by the project, or by the month. You can also earn commissions on the products you sell, such as investment products or insurance policies.
2. What's your business plan? Before you start your financial planning firm, you need to have a solid business plan in place. This plan should outline your goals and how you'll achieve them. It should also include a marketing plan and a financial plan. The marketing plan will detail.
Competitive Landscape
When starting any business, it is important to understand the competitive landscape. The financial planning industry is no different. There are a few key things to keep in mind when considering the competition. First, the financial planning industry is highly fragmented. There are a large number of small firms, as well as a few large firms. This fragmentation provides opportunities for small firms to differentiate themselves in the market. Second, the industry is changing rapidly. Technology is playing an increasingly important role in financial planning and new companies are constantly entering the market with new offerings. Third, there is a lot of regulation in the financial planning industry. This can make it difficult for new firms to enter the market, but it also provides opportunities for established firms to differentiate themselves by providing compliance and regulatory expertise. Fourth, the industry is global in nature. Many financial planning firms have clients all over the world and need to be able to provide services in multiple languages and currencies. Finally, the industry is highly competitive. In order to be successful, financial planning firms need to provide high-quality services at a competitive price.
Costs & Pricing Strategy
As with any business, there are start-up costs associated with starting a financial planning firm. These costs can range from the cost of office space and furniture to marketing and advertising expenses. One of the most important aspects of starting a financial planning firm is pricing your services correctly. Many new businesses fail because they do not charge enough for their services. It is important to do some research on your competition and make sure that you are charging a fair price for your services. Another important aspect of pricing is to make sure that your fees are structured in a way that will attract clients. For example, many financial planning firms charge an hourly rate for their services. However, some clients may be more interested in a flat fee structure. It is important to consider what will work best for your business and your clients. Finally, it is also important to keep in mind that your pricing strategy may change over time as your business grows and changes. It is important to be flexible and be willing to change your prices as your business evolves.
Forming a Legal Entity
If you want to start a Financial Planning Firm business, you will need to form a legal entity. This will protect you from personal liability and help you raise money for your business. You can choose to form a sole proprietorship, partnership, limited liability company (LLC), or corporation. Each type of entity has its own pros and cons, so you will need to choose the one that is right for your business. If you are the only owner of your business, a sole proprietorship may be the best option. This type of business is easy to set up and you will not have to deal with much paperwork. However, sole proprietorships offer no personal liability protection, which means that you could be held responsible for debts incurred by your business. Partnerships are similar to sole proprietorships in that they are easy to set up and offer no personal liability protection. If you decide to form a partnership, you will need to choose a business partner who you can trust and who has complementary skills. It is important to have a written partnership agreement that outlines each partner's roles and responsibilities. A limited liability company (LLC) offers personal liability protection and is a good option for a small group of founders.
Opening a Business Bank Account
When you’re ready to start your Financial Planning Firm business, one of the first steps is to open a business bank account. This will help you keep your personal and business finances separate and will make it easier to track your expenses and income. To open a business bank account, you’ll need to have the following information and documents:
-Your business name and address
-Your Social Security number or Employer Identification Number (EIN)
-A list of the owners, officers, and directors of the company
-Articles of incorporation or a business license
-A voided check or deposit slip from the account you’ll be using for your business
Once you have all of the required information and documents, you can visit your local bank or credit union to open a business checking account.
Setting up Business Accounting
If you're starting a Financial Planning Firm business, one of the first things you need to do is set up your business accounting. This will ensure that you're keeping track of your finances and that you're complying with any financial regulations that apply to your business. Here's a quick guide to setting up your business accounting:
1. Choose an accounting software. There are many different accounting software packages available, so do some research to find one that will suit your needs.
2. Set up your chart of accounts. This is a list of all the categories of income and expenditure that you will track in your accounting system.
3. Set up your bank account. You will need a business bank account to manage your finances effectively.
4. Keep track of your income and expenditure. Make sure you keep accurate records of all money coming in and going out of your business.
5. Prepare and file your tax return. Once a year, you will need to file a tax return for your business. Make sure you keep on top of this so that you don't miss the deadline
Setting up Business Insurance
As a business owner, it is important to protect your company with the proper insurance. When setting up a Financial Planning Firm business, you will need to consider the following types of insurance:
-Product liability insurance: This will protect you in the event that a product you designed and printed causes injury or damage.
-Professional liability insurance: This will protect you in the event that a client suffers damages as a result of your work.
-Business property insurance: This will protect your equipment and premises in the event of damage or theft.
-Business interruption insurance: This will protect you in the event that your business has to stop operations due to a covered event.
-Employee dishonesty insurance: This will protect you in the event that an employee steals from your business.
Speak with an insurance agent to determine which policies are right for your business
Setting up a Business Website
If you want to start a Financial Planning Firm business, one of the first things you need to do is set up a website. This will be your online home base, where potential customers can learn more about your business and what you have to offer. There are a few key things you need to include on your website:
-An About page: This is where you can tell your story and give potential customers a sense of who you are and what you stand for.
-A portfolio: Showcase your best version on your website so that potential clients can see your work.
-A contact page: Make it easy for people to get in touch with you by including your email address and/or social media links.
-Pricing information: Let visitors know how much you charge for your services.
By having a well-designed website, you’ll be able to attract more customers and grow your Financial Planning Firm business
Obtaining the Necessary Permits
Before you can hang your shingle as a financial planning firm, you will need to obtain the proper permits from your city, county, and state. Depending on the type of services you plan to offer, you may need to obtain a special license from the state. Your city or county may require a business license, and you will need to register your business with the state. You can do this online through the Secretary of State’s website. The registration process is fairly simple and straightforward, and you will just need to provide some basic information about your business. You should also check with your city or county to see if there are any zoning requirements for financial planning businesses. You may need to obtain a special permit or license in order to operate your business from a particular location. Once you have obtained all the necessary permits and licenses, you will be ready to start your financial planning firm!
Setting up a Business Number or Appointment Setter
When you’re ready to start your Financial Planning Firm business, one of the first things you need to do is set up a business phone number or an appointment setter. You can use a service like Google Voice to set up a business phone number for your Financial Planning Firm business. Google Voice will give you a free business phone number that you can use to make and receive calls. Once you have a business phone number, you can start taking calls from potential customers. When you get a call, be sure to take down the customer’s name, contact information, and what they need. Once you have this information, you can give the customer a call back to discuss the project in more detail and give them a quote.
After reading this guide, you should have a good understanding of what it takes to start a financial planning firm business. While there is a lot of work involved, it can be a very rewarding and profitable venture. With careful planning and execution, you can build a successful business that provides valuable services to clients.

Why write a business plan?

A business plan is a critical tool for businesses and startups for a number of reasons:
  • Business Plans can help to articulate and flesh out the business’s goals and objectives. This can be beneficial not only for the business owner, but also for potential investors or partners
  • Business Plans can serve as a roadmap for the business, helping to keep it on track and on target. This is especially important for businesses that are growing and evolving, as it can be easy to get sidetracked without a clear plan in place.
  • Business plans can be a valuable tool for communicating the business’s vision to employees, customers, and other key stakeholders.
  • Business plans are one of the most affordable and straightforward ways of ensuring your business is successful.
  • Business plans allow you to understand your competition better to critically analyze your unique business proposition and differentiate yourself from the market.
  • Business Plans allow you to better understand your customer. Conducting a customer analysis is essential to create better products and services and market more effectively.
  • Business Plans allow you to determine the financial needs of the business leading to a better understanding of how much capital is needed to start the business and how much fundraising is needed.
  • Business Plans allow you to put your business model in words and analyze it further to improve revenues or fill the holes in your strategy.
  • Business plans allow you to attract investors and partners into the business as they can read an explanation about the business.
  • Business plans allow you to position your brand by understanding your company’s role in the marketplace.
  • Business Plans allow you to uncover new opportunities by undergoing the process of brainstorming while drafting your business plan which allows you to see your business in a new light. This allows you to come up with new ideas for products/services, business and marketing strategies.
  • Business Plans allow you to access the growth and success of your business by comparing actual operational results versus the forecasts and assumptions in your business plan. This allows you to update your business plan to a business growth plan and ensure the long-term success and survival of your business.

Business Plan Content


Many people struggle with drafting a business plan and it is necessary to ensure all important sections are present in a business plan:
  1. Executive Summary
  2. Company Overview
  3. Industry Analysis
  4. Consumer Analysis
  5. Competitor Analysis & Advantages
  6. Marketing Strategies & Plan
  7. Plan of Action
  8. Management Team

The financial forecast template is an extensive Microsoft Excel sheet with Sheets on Required Start-up Capital, Salary & Wage Plans, 5-year Income Statement, 5-year Cash-Flow Statement, 5-Year Balance Sheet, 5-Year Financial Highlights and other accounting statements that would cost in excess of £1000 if obtained by an accountant.

The financial forecast has been excluded from the business plan template. If you’d like to receive the financial forecast template for your start-up, please contact us at . Our consultants will be happy to discuss your business plan and provide you with the financial forecast template to accompany your business plan.

Instructions for the Business Plan Template

To complete your perfect Financial Planning Firm business plan, fill out the form below and download our Financial Planning Firm business plan template. The template is a word document that can be edited to include information about your Financial Planning Firm business. The document contains instructions to complete the business plan and will go over all sections of the plan. Instructions are given in the document in red font and some tips are also included in blue font. The free template includes all sections excluding the financial forecast. If you need any additional help with drafting your business plan from our business plan template, please set up a complimentary 30-minute consultation with one of our consultants.

Ongoing Business Planning


With the growth of your business, your initial goals and plan is bound to change. To ensure the continued growth and success of your business, it is necessary to periodically update your business plan. Your business plan will convert to a business growth plan with versions that are updated every quarter/year. Avvale Consulting recommends that you update your business plan every few months and practice this as a process. Your business is also more likely to grow if you access your performance regularly against your business plans and reassess targets for business growth plans.


Want a Bespoke Business Plan for your Financial Planning Firm Business?

Our Expertise


Avvale Consulting has extensive experience working with companies in many sectors including the Financial Planning Firm industry. You can avail a free 30-minute business consultation to ask any questions you have about starting your Financial Planning Firm business. We would also be happy to create a bespoke Financial Planning Firm business plan for your Financial Planning Firm business including a 5-year financial forecast to ensure the success of your Financial Planning Firm business and raise capital from investors to start your Financial Planning Firm business. This will include high-value consulting hours with our consultants and multiple value-added products such as investor lists and Angel Investor introductions.


About Us


Avvale Consulting is a leading startup business consulting firm based in London, United Kingdom. Our consultants have years of experience working with startups and have worked with over 300 startups from all around the world. Our team has thousands of business plans, pitch decks and other investment documents for startups leading to over $100 Million raised from various sources. Our business plan templates are the combination of years of startup fundraising and operational experience and can be easily completed by a business owner regardless of their business stage or expertise. So, whether you are a budding entrepreneur or a veteran businessman, download our business plan template and get started on your business growth journey today.