Taking that first step along the journey with a new advisor is not an easy decision.
Some you connect with.
Some you want to run away from.
The key to success is to trust your gut and ask yourself if there is a connection. As with any relationship, this starts with a common understanding, trust in each other and the ability to communicate effectively.
Setting out on this journey is similar to dating. There’s the eyeing from a distance, followed by the courage to make contact, then the first date, and then at some point comes the deep discussions. If or when a breakup happens, it can be hard after so much time has been invested.
So how do you know if your new advisor is ‘The One’?
Firstly, what are you looking for?
Ask yourself why you’re on the hunt. Are you looking for someone to push your boundaries or just do the required minimum to keep you compliant?
Some advisors are conservative, whilst others ‘push-the-boat-out’, so to speak. Matching your advisor with your risk appetite goes a long way to avoiding grief down the line.
How do you want to communicate?
Communication preference is also massive. The majority of clients come to us with the same message – “I never heard from my last tax agent”.
My personal preference revolves around phone calls and online meetings. There is nothing like hearing the voice and eye balling each other. Other advisors say everything has to be written and emailed. My view is this tends to be more impersonal and results in lots of communication challenges. Recognising how you like to communicate and share issues/challenges means overcoming them is much easier and efficient.
What are they all about?
Appreciating what experience and background your advisor has is also key. For instance, my favourite types of tax agents have a financial advising background. This means they understand the big picture, are aware of how cashflow affects your personal life and can see problems in a creative way all while still understanding relevant compliance obligations along the journey. In addition to this, as someone who is interested in property, I would be inclined to engage a financial advisor who invests heavily in property and understands the many markets internationally, not just in Queensland. So, think about what piques your interest and if possible, try to align yourself with an advisor who can match some of that – it’s an ideal place to begin and provides conversation ice-breakers.
Remember, you’re commencing what is likely to be a long-term relationship and it’s important to establishing the foundations on the strong foot.
Happy dating! May the honeymoon be long!
