Start A Financial Consulting Business - Business Ideas

Updated: September 15th, 2022
Start A Financial Consulting Business

Please note that the data provided in this article are estimates and may vary depending on various factors, and should not be considered as perfect or definitive.

Financial consulting is a business that helps individuals and businesses manage their financial affairs. Managing financial affairs include creating financial plans, analyzing financial data, and advising investment and financial decision-making.

To start a financial consulting business, you will need a strong understanding of financial principles and practices and excellent communication and problem-solving skills. You may also need to obtain necessary licenses or certifications, such as a Certified Financial Planner (CFP) designation.

To start the business, you must create a business plan, establish a business structure (such as a sole proprietorship or LLC), and identify your target market. You may also need to secure financing and create a marketing plan to attract clients. It is also important to network with other professionals in the financial industry and stay up-to-date on the latest trends and developments in the field.

Starting a financial consulting business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell financial consulting services, or selling financial consulting services online, you can use this page as a guide for everything you'll need to know.

Key Stats

market size
$22.5T
revenue (monthly)
$12K
starting costs
$11.7K
gross margin
90%
time to build
210 days
growth
SEO
business model
Consulting
time investment
Full time

Startup Costs

Min Startup Costs Max Startup Costs

Office Space Expenses

$0

$7,000

Employee & Freelancer Expenses

$150

$250

Website Costs

$223

$7,015

Business Formation Fees

$600

$4,700

Software Expenses

$162

$2,894

Advertising & Marketing Costs

$0

$1,400

Total Startup Costs

$1,135

$23,259

Successful Businesses

Business URL Rank

Affirm

affirm.com

8,641

ProfitWell

profitwell.com

13,711

I Will Teach You to Be Rich

iwillteachyoutoberich.com

23,230

The College Investor

thecollegeinvestor.com

23,302

Millennial Money

millennialmoney.com

29,585

LendingPoint

lendingpoint.com

72,070

Financer

financer.com

95,657

The Financial Diet

thefinancialdiet.com

108,123

Family Office Club

familyoffices.com

311,307

Beyond

beyond.life

352,970

BOA®

boa.com

398,803

Pros & Cons

Pros Description

Flexibility

You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.

Ability to start your business from home

It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!

Little startup costs required

The cost to start a financial consulting business costs significantly less money than most businesses, ranging anywhere from 62 to 23,259.

Rewarding work

Starting a financial consulting business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.

Scalable

With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.

No overhead costs

To get your financial consulting business started, there are no costs associated with overhead, storage, packaging, etc. This will save you a lot of time and money!

Cons Description

Crowded Space

Competition is high when it comes to your financial consulting business, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.

Longer Sales Process

A financial consulting business can be a big time and money investment for your customer, so it's important you plan and predict a longer conversion funnel and stay in communication with potential customers.

Work can be inconsistent

As a financial consulting business, the amount of work assigned to you and schedule tends to be more inconsistent, which may make your income less stable. It's important to set boundaries and budget accordingly based on the amount of work you plan to have.

Lack of benefits

With a financial consulting business, you are typically self-employed and responsible for finding your own insurance, which can be quite costly and time-consuming.

Isolation

Often times, as a financial consulting business, you typically work alone and do not have much face-to-face interaction with other team members.

Taxes

As a financial consulting business, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.