Category: Business

Should You Trust a Financial Adviser?

Financial advisers are sometimes referred to as financial consultants. They can also be retirement planners, financial planners or wealth advisers. These people are in demand for an understandable reason. As compared to other sellers out there, who deal with condoms, condos, cars, and clothes, it is understood that they only perform their job and customers accept what they offer. When it comes to financial advisers, they are uncomparable since they are unique by nature. Every person will tell you that he or she can make your money grow.

Working with a Financial Adviser
Maybe you are wondering – what can you get from financial advisers? What can they do for you? These are some of their work’s features:

  • To have a long-term and high-interest bank account is the usual result of working with a financial adviser. If there is no claim that they are capable of growing your money, then there is no point in working with them anymore. You must ensure that you are going to earn more. Higher returns must be ideal here.
  • Please understand that financial advisers are no expert when it comes to horticulturalists. Do not expect that tye can grow money right away or that they can transform your savings to become gold. They are not an alchemist. However, they can teach you how to manage your finances.
  • In order to obtain a reasonable living, hiring a financial adviser has a cost to pay. The person may be able to take a part of your money in commissions or fees. This is true most especially for those who have their own business. There are most advisers out there who say to have the knowledge when it comes managing your wealth. However, they only claim such to get clients, unless you can verify how dependable they can be really.

Who gets financially stable with this? The customers or the advisers? You must know how these advisers are being paid. There are six categories in which they are divided too. These are the following:

  • Pay-Per Trade – The adviser would take a percentage fee whenever he or she sells, invests or buys. This is the type of approach used by a ton of stockbrokers out there.
  • Fee – There are financial advisers out there who are going to charge an hourly fee when you are assisted and helped to manage your money.
  • Commission-based – Almost majority of advisers are paid from the commission because of companies out there that sell products.
  • Fee-based – This is when advisers push clients to save their money on a scheme which gives off a high commission. Such is considered the best returns for most savers out there.
  • Free – Once the bank discovered that you have money to put in the invested, you will be ushered directly into the office. This is when you can talk to an expert so that you may be able to manage your money without charge.
  • Performance-related – There are some advisers out there who normally accept work somewhere and get their pay from the annual profits their clients make through the investment.

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3 Ways To Save Your Business From Going Bankrupt

Businesses don’t always see light at the end of the tunnel. There can be downfalls. This can be due to poor management, incompetent workers, bad decisions, and other factors. When you find out that your company might go bankrupt, you should take certain steps to save it from sinking.

  1. Find out how much money you must pay to the creditors if you want to stop your company from going bankrupt. Then calculate how much you need monthly to survive. Try to think of ways to pay the creditors and run your family. It can be by selling your fixed asset like holiday home or through some passive income.
  2. Try to reduce the cost of business. You should consider the cost of labor, income tax, office rent, utilities, interest expense, etc. If necessary, you can layoff a number of employees who are taking high salaries, provided that they are not vital to your company. You can shift to a smaller office and reduce office hours to save utility bills, as long as it doesn’t affect the operation of the business too much.
  3. Re-negotiate contracts with people involved in the business like your suppliers, banks, and other parties. For example, you can request your bank to lower the interest rate for your credit or you can ask the leasing company to extend your leasing period.

You have to go through a very hard time to pull your company from this dreadful situation. But you should stay calm and do what is necessary to save your company from going bankrupt.…

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