A few days ago I got asked a great question regarding my career as a financial coach.
To my surprise, there are others that may want to be a financial coach! And totally should! The world needs more people with an opinion on money that can help guide other’s to being wise with their money.
Here’s an excerpt from the email:
I am contacting you because I am trying to figure out what career I would like to pursue.I like the idea of being a financial planner/coach but I am curious as to what it is actually like to be one. I am not great with numbers but I have been doing a lot of personal research for reducing my own academic debt and how I can move forward. Finance and helping others reduce their debt and learning how to budget and invest etc. is all interesting to me.I’m not sure if it’s interesting because I am just learning it all for myself or if it would be a great option for when I get out of the military.Would it be alright if I asked what your career is like and what it took to get you where you are?
Of course, I couldn’t pass on the opportunity to chat about my job. I may be biased, but it is one of the coolest businesses out there.
What the heck is a financial coach? And how does that differ from a financial advisor?
I am a financial coach, not a financial planner, or advisor. Being a coach allows you to play by an entirely different set of rules. I don’t have to check with my headquarters to see if I can post a YouTube video, or start a blog, or even be interviewed in the newspaper. (*Note: this is more of an issue for planners/advisors employed by large corporations.) Another HUGE difference between being a financial coach and being an advisor is the legal protection. As a coach/blogger, I am protected by freedom of speech; whereas a financial advisor has SEC regulations they are beholden to. In general, financial advisors/planners have to be a lot more careful about what they say in publications.
Another important difference is a financial coach doesn’t earn a commission on selling life insurance, investments, or any other product. If a financial advisor recommends you purchase life insurance, they are most likely earning a commission on that product. It’s not necessarily a bad thing! They’ve got to pay the bills as well and if they are good at their job they are recommending products they really believe in. But you may run into situations where a financial advisor/planner recommends products because it pays the highest commission.
Education level is another distinguishing factor. There are a series of tests required to be a planner or advisor and a coach can be anyone. But that doesn’t mean it’s right or wrong. Financial guru Dave Ramsey is not a financial planner or advisor and that hasn’t hurt his career in the least bit. I’m not interested in the results people can deliver, than the series 7 license they have.
How I spend my time:
As mentioned in the video above, my business started as a way to help people manage their money. While my vision hasn’t changed, the way I spend my time has. In fact, around 70% of my time is spent on marketing. As a business owner, you have to find ways to get your name out there + promote your product.
Most of my time in the beginning was spent testing and creating my online course, talking to people like you to really understand your struggles, and networking. Now that my course is completed, my time is spent hosting free trainings, networking, attending conferences, writing articles, creating YouTube videos, hosting the 30-day challenge, and learning new skills.
You’ve got to get your name out there!
One of the saddest tragedies is to have a course, product, or service that can really help change people’s lives, but no one knows about it. It’s a saturated market, but being consistent, and finding unique ways to promote yourself will help you stand out. It doesn’t hurt to have a bit of fun either!
If you want to be a self-employed financial coach, ask yourself the following questions:
- Do you have a unique perspective on personal finance?
- Are you confident your insights can help change the world?
- Are you willing to spend a majority of your time marketing instead of coaching directly?
If you said yes to these question, start working with friends and family close to you to gain some testimonials and see if your coaching delivers results.
Also, if you ever want to chat about this in more detail, send me an email (whitney (at) whitneyhansen.com) — I’m happy to help you develop your unique selling proposition so you can start working with your dream client! It really is a ton of fun + a ton of work.
Forever livin’ debt free,
Whitney
Hi Whitney,
I love what you’re doing! I’m currently a coach working for a company to improve people’s sales performance. My background is financial services. I have helped people achieve financial freedom and love coaching, I want to now look at combing those strengths. I know I will be successful and I have the necessary knowledge and experience, but I am worried about how to market my services. Would you have any advice?
Many thanks,
Kelly
Kelly, marketing your services is one of the hardest parts. But I’ve found that building out funnels has been tremendously helpful in my journey. Also, find your social platform and own it. Keep talking to your audience and listen when they are showing you they like certain types of articles, videos, or ways of connecting with you- that’s the online way of saying “I want to see more of this!”