Employed Advisers, Are You Earning as Much as Your Peers?

When considering the prospect of being an employed Adviser vs a self-employed Adviser there is obviously a lot to weigh up and both come with their pros and cons.

I would ask you to think about why you got into the industry. If you want to be commanding a six-figure salary and have complete freedom and flexibility over your diary then you need to consider a self-employed option. What if there was a self-employed option with financial security as well….?

When considering becoming a self-employed Adviser, there are two obvious routes for you to consider.

1. Join a network that gives you easy access to a range of investment portfolios and compliance support
2. Join an established independent IFA firm that has a proven track record in taking on self-employed IFA’s and making them successful. A firm that can provide you with 121 advice on how to build your business, access to numerous Advisers who have made a success of it, provide you with financial support while you transition from employed to self-employed plus purchase leads for you to help you get up and running.??

"If you want to be commanding a six-figure salary and have complete freedom and flexibility over your diary then you need to consider a self-employed option."

A lot of people stick with the employed route as they perceive they will have access to more complex cases and increased job security. This just isn’t the case.

?Whether you take the employed or self-employed Adviser route it is key to remember that if you want to earn the large sums on offer, you will need to be skilled in sourcing and securing your own clients.

Having good people skills is, therefore, an important part of this role. You need the confidence to network, talk to potential new clients, listen to their needs, and offer bespoke financial advice to meet these needs.

I caught up with Jamie Pearson (Partner) at Westminster Wealth Management to shed some light on the right time to make the change and what this transition looks like.

I asked Jamie the top 6 questions that we get from people toying with the idea of becoming a self-employed Financial Adviser:

1.?What cash reserves would you ensure you had in the bank, to assist you during lean spells?

?It is obviously sensible to have a degree of financial security as this will help provide you with the confidence to make this transition.

That being said, for the right candidate, Westminster Wealth Management offer a financial draw to aid the transition from employed to self-employed. This is a monthly draw that we pay new joiners and it acts as a draw against future income. It allows Advisers the confidence to transition without the worry of a monthly income.

It is not a loan and is not required to be paid back should things not work out and the Adviser leaves. Obviously, we are selective with whom we take on and we feel that our recruitment process means that we only take on candidates that we feel will make a success of becoming self-employed.

2.?At what point did you decide to go self-employed, and what led you to make that decision?

I was fortunate and when I made the transition, I had very few monthly commitments. This meant that I was always able to consider a self-employed role and not worry about finances.

For me, if you are a self-starter, financially driven and willing to work hard to achieve your goals, there is no real alternative. I was also aware that a good self-employed Adviser can earn multiples of what a good, employed Adviser might earn.

I have always been self-employed and would find it difficult to have it any other way now.

Having freedom and flexibility has always been a huge driver for me. I always felt that the dream would be to have a self-employed contract, work in an environment that allowed me to deliver a top-quality service, and get paid well for doing it. This is what Westminster Wealth Management offer and now that I have this, I couldn’t imagine working in an employed capacity. ?

"Many of our Advisers take 8-12 weeks off a year to holiday, travel and take time out with their families."

3.?Are there any books, resources, or people that you consulted before making the decision, and what did you learn?

I didn’t do a huge amount of research; I just went with my gut. That being said, at Westminster Wealth Management we invite any candidate that is interested in making this transition to speak with any member of our team. Whether it be a new Adviser, an older more established Adviser, or a member of the leadership team, we are happy to accommodate. I really think it will give you a real insight into what it is like at WWM.

4.?At what stage in an Advisers Employed career would you recommend that they look at a self-employed proposition?

The point at which they have a strong bond and relationship with their clients and feel that at least a handful of clients would join them over time. ?If you have developed personal relationships yourself and feel like you have the ability to generate your own clients and referrals, then you should start to consider a self-employed offering.

5.?What is the greatest thing about being Self Employed?

It is a meritocracy. The harder you work, the more money you will make.

Being a self-employed Adviser in the right environment allows you to have a lot of control over what you earn. It also allows you to have complete control over your diary and what you do on a day-to-day basis.

Many of our Advisers take 8-12 weeks off a year to holiday, travel and take time out with their families.

Aside from this, at Westminster Wealth Management, the Advisers own their own clients, and this is written into their contract. So not only are they getting paid well for their day job but they are building something with an inherent value that they could sell one day.

6.?What is the worst thing about being Self Employed?

The biggest concern for new joiners is getting them to a stage where they are earning more than they are being paid as a draw. Some Advisers do it very quickly whereas, for others, it takes longer.

You also need to ask yourself whether you can generate your own clients and whether you have the ability to grow your client book over time. We provide a lot of support here, but Westminster Wealth Management is only right for someone who is really willing to go out and put their all into making their self-employed career a success. ?

"If you’re thinking about becoming a Self-employed Adviser, the key is to find a business that will support you and help you with the transition. Westminster Wealth Management will be upfront and honest about what it takes to succeed."

Westminster is a Chartered, Independent firm that has the experience and knowledge of developing top talent. The opportunity at Westminster Wealth Management will include one-to-one mentoring and access to many Advisers that have made this transition. They have a proven track record of converting employed Advisers to self-employed Advisers and helping them grow their own self-employed businesses. ?

If you are entrepreneurial and feel you can build up your client base quickly or that your clients will follow you, then the Self-employed route will suit you.?

To discuss opportunities at Westminster Wealth, contact me today on 07483396914 or email [email protected]. Equally, follow my profile for future content and updates.