How to Start as a Financial Advisor in Kenya

a financial advisor busy with a client

Kenyans are broke and in debt.

We need the expert advice of a financial advisor to get us out of our debts.

 Are you financially literate?

Do you have financial skills you’d like to share?

Are you interested in financial advisory?

A lot of people are looking for financial experts to help plan their retirement, investments or just a simple budget.

With the limited number of people who are financially literate and well versed in financial terms, financial advisors are in high demand.

If you are planning on starting as a financial advisor – you have to ask yourself, what financial problem do I need to solve for people?

The more services you provide in your financial advisory business, the more money you make.

For instance, if you know a lot about investing in Bitcoin or Stocks, you can help your customers get high returns on their investments.

This means you charge a bit more for clients.

Start simple by for example talking about debt, saving, retirement, insurance because these are topics ignored by Kenyans then expand your content as you grow to include investing for others.

You need to be a trustworthy honest person to succeed as a financial advisor.

People are wary of others when it comes to money, be patient with your clients.

It takes a lot to give a stranger money.

In this article, I will tell you everything you need to know about how to start as a financial advisor.

I will also give you some tips and advice on how you can become a successful financial advisor.

Is Starting as a Financial Advisor Worth it?

Becoming a financial advisor is a secret goldmine for anyone who wants to make a lot of money giving financial advice.

You can start working as a financial advisor from the comfort of your home.

There is high demand for financial advisors because many people are looking to manage their finances better and have a good relationship with money.

You can start as a financial advisor full time or part-time.

You just have to be committed to your work and get the right financial literacy skills that are needed for this kind of work.

You should be ready to motivate yourself and be dedicated to expanding and growing yourself as a financial advisor if you want to realise more profit.

You can earn up to hundreds of thousands of dollars in a month as a financial advisor.

Who is a Financial Advisor and How Do They Do?

According to Wikipedia, a financial advisor is a professional who provides financial services to clients based on their financial situation.

If you are starting as a financial advisor, then you will be listening to your client’s financial situation, understanding them and coming up with strategies for eliminating financial risks and building wealth in the long term.

A financial advisor basically works to help their clients achieve their financial goals.

You will then be paid for your services as per the terms of the agreement.

How Do I Start as a Financial Advisor?

You ask: how do I become a financial advisor?

Can I be a financial advisor without a degree?

Do I need any certifications?

Must I have prior experience in financial advisory?

This is what you must do to become a financial advisor. 

Get an education

This is the first step you should make when you want to become a financial advisor.

Get a degree in finance, economics or any other related field.

If you are not able to accomplish this at the university, you can take a course online and learn the necessary financial skills that you will use in your practice.

Financial literacy is very important for financial advisory. 

Evaluate your skills

The next thing you want to do is to look at yourself and recognise the kind of financial skills that you enjoy talking about or experiencing.

The world of finance is expansive so you can pick a “niche” and focus on it.

You could have skills in financial planning, retirement planning, real estate etc.

Look for an internship

Becoming a financial advisor means that you have to have work experience to build credibility.

You have to learn under professional finance experts who are going to give you the chance to fully utilise what you have acquired.

You will also get to learn more from them as you go along. 

Get a job

This is the most common route that financial advisors go for.

Most financial advisors tend to want to get employed in financial firms and sell their services there.

Remember, you do not always have to get a job.

You can position yourself as a business and sell your services directly to your clients.

Just remember to weigh the pros and cons of leaving one option for the other before you make your decision.

Market yourself

As a financial advisor, you have to promote yourself if you want to find clients.

There are different marketing strategies you can use both online and offline that will help you attract your first clients and reach a wider audience.

Find out what method you want to use to get your clients.

I’ll talk about these marketing strategies later in the article.

Know your target audience and understand their pain points

When you are looking for clients or working with them, you should know who they are in terms of age group or social class.

What area are you helping them within finance?

You have to also know your client’s pain points so that you can serve them better.

Find a niche

Getting a niche is very important for any financial advisor.

There has to be a given area in personal finance that you are highly skilled in so that you can place it as one of your areas of expertise when marketing yourself.

Use technology

There are many accounting and finance software that you can use in your business, for example, to make financial plans, create a financial routine and track progress.

This is good for efficiency. 

Build your offer

You can offer more than financial advisory to your clients if you want to expand your client base and make more money.

Anything that you feel is useful, you can sell to your clients.

What Will I Do as a Financial Advisor?

There are certain things that you will be doing as a financial advisor.

  • Listening to client’s financial goals and taking them down 
  • Keeping tabs on financial markets 
  • Holding seminars and giving talks and lectures to your clients about financial matters
  • Meeting with clients
  • Sending out direct mails to clients 
  • Prospecting and marketing

What Do I Need to Start as a Financial Advisor?

This is what you need to start as a financial advisor today.

  • A suitable computer/ desktop 
  • An Internet connection 
  • A good camera and microphone
  • A licence
  • A website
  • A physical space, if you are opening an agency 

What are the Expenses For Starting as a Financial Advisor?

As a financial advisor, you have to know the initial startup costs and the ongoing expenses that you will incur.

  1. Cost of a computer or a desktop 
  1. Software subscription fees
  1. WiFi expenses 
  1. Certification costs
  1. Licensing fees, if you are operating an agency
  1. Marketing costs 

How Much Does it Cost to Start as a Financial Advisor?

The amount of money it will cost you to start as a financial advisor will depend on how you want to start your business.

You can either start as an independent financial advisor or open a firm.

You need to have a budget for your expenses.

An independent financial advisor will incur low startup costs.

The startup costs will be much higher if you are starting a firm.

How Do I Make Money as a Financial Advisor?

You make money as a financial advisor by charging clients for financial advice.

Additional services like managing their assets and investments get charged more.

The amount of money you charge your clients should depend on the following factors.

  1. Your experience. If you are an experienced financial advisor with a good work ethic to show for it, your expertise should be highly valued and you need to charge your clients more.
  1. Your client’s financial needs. As a financial advisor, you will be handling different situations. You should charge more for any other type of intensive work that you will be doing for your clients.

You can offer full-service plans to your clients or charge by the hour or as per the type of financial guidance you are going to give.

How Much Money Can I Make as a Financial Advisor?

As a beginner financial advisor, advertise/market and promote your advice on platforms like YouTube, Instagram or TikTok.

As your customer base increases, so does your income.

Plus, you get revenue from platforms like YouTube, TikTok and running your financial blog.

The amount of money you make depends on the number of clients you are working for and the type of financial situation they need assistance in.

What Skills Do I Need to Become a Financial Advisor?

There are some skills and qualities that you need to have to become a financial advisor and they include:

  1. Analysing skills. Having analytical skills are important to observe trends in your client’s financial behaviour and identify any problems they make as it pertains to their finances.
  1. Interpersonal skills. You need to know how to connect and interact with your clients. Always listen to them and let them share their opinions if you want to retain or attract more clients.
  1. Planning skills. As a financial advisor, you need to know how to plan for meetings and your client’s finances. Some clients will want you to do some planning for them in different areas of finance, for example, tax planning.
  1. Problem-solving skills. Problem-solving is one of the key things that you need to have as a financial advisor. Since you will be giving financial advice, you need to know that you can solve your client’s financial problems with very reliable solutions.
  1. Marketing skills. You have to know how to market yourself and your skills if you want to find clients who need your financial advice. If you do not promote yourself, you will not make a difference with your practice.

How Do I Promote My Financial Advisor Services?

Your target clients are looking to improve their financial situation and achieve their financial goals.

It can be anybody.

As you expand your financial advisory services, you can categorise your customers and content.

Or you can always start out with and from a niche – depends on what you want to share with clients/customers.

The following are ways to promote your financial advisor services and they include:

  1. Network with other financial advisors. Take some time and connect with financial advisors online or at events. You will be learning a thing or two from them and they may even point you to your first client.
  1. Ask for referrals. Have a referral program, whereby if a client is satisfied with your financial advisory services, they can recommend someone else to seek you out. 
  1. Use social media. Leverage the connections you have built online on your personal social media account and use that to get your first client.
  1. Create a website. Your website should have good content on your skills, expertise and knowledge about how to become a financial advisor. The content on your website should talk about topics like investing, saving, personal development and money and spirituality (law of attraction, manifestation).
  1. List your financial advisor services on Google My Business. My Google allows you to locate the financial firms available in your local area.

Advantages of Becoming a Financial Advisor

These are some of the benefits of becoming a financial advisor. 

  1. High-profit margins. Becoming a financial advisor is a lucrative and profitable business because you need financial knowledge, an internet connection and marketing skills. All the money you make as a financial advisor is profit.
  1. Low startup costs. You can become a financial advisor without any money. This is especially true for any beginner who is just starting out in financial advisory and wants to gain experience first before positioning themselves as a business.
  1. Work from home. If you love working from home, becoming a financial advisor is for you. You will only need a computer and an office desk to operate on your client’s needs in the comfort of your home.
  1. Unlimited income potential. Since you have the chance to work with so many clients, sometimes all at once, your income potential is unlimited.
  1. You make meaningful changes in people’s lives. When you are able to improve people’s financial situation or help them better manage their money and have a positive relationship with it, you will be making a meaningful change in their lives. 
  1. You get your own finances in order. Your own finances will be taken care of using the financial skills that you have gained from your learning experience. 

Disadvantages of Starting as a Financial Advisor 

These are the problems and challenges that you will face when you start as a financial advisor. 

  1. Stressful work. The financial advisory can be a lot of work, especially if you are working with clients who are deep in the trenches with their finances. You have to come up with solutions for them and this can be stressful.
  1. Continuous prospecting. As a financial advisor, you have to keep prospecting for new clients and marketing yourself so that you may find more clients.
  1. You have to keep learning. You always have to keep learning new financial skills and rules that can be used in “new” money. This will take a lot of your time, effort or even money.
  1. Lots of hard work. With financial literacy, you have to work hard if you want to beat the competition and undercut your competitors in a heartbeat. If you don’t do this, you are setting yourself up for failure. 

Tips for Starting as a Financial Advisor

There are some mistakes that most financial advisors have made that may have hindered their success.

If you want to be a financial advisor, you have to know what these mistakes are so that you can avoid them and be a successful financial advisor.

I will give you tips and tricks on what these common mistakes are and what you can do to avoid them as a financial advisor. 

Mistakes to Avoid as a Financial Advisor 

Here are some of these common mistakes you will probably be making as a financial advisor. 

Not defining your target clients

Failure to determine your target clients means spending you will be promoting yourself to people you can offer your services to.

You have to make sure that you can find the right clients if you want to run a smooth practice.

Failure to understand client’s needs

When you do not understand your client’s needs, you may end up giving them financial advice that does not align with their goals.

You need to know that you have listened to your clients and what they want before you give them any financial advice. 

Unfair pricing

Make sure that you keep your charges fair to your clients.

It is not going time be easy for them to pay lots of money for financial advice when they are already strapped in debt.

Find a way to make sure that your pricing is fair and profitable. 

Not paying attention to technology

Technology is here to make things easier for us.

You have to be aware of this new software and technologies that can allow you to connect with clients and run your practice efficiently. 

Not spending enough time and money on marketing

If you do not put yourself out there and sell your skills and expertise, you will not find clients to give financial advice.

If your goal is to make money with financial advisory, you won’t be making any. 

Financial Advisor Niche Ideas

There are some profitable niches that you can tap into as a financial advisor.

As you become a financial advisor, you need to know what these ideas are so that you may distinguish yourself from other financial experts.

You do not want to do what everyone is doing out there.

I will give you ideas that you can try as you start as a financial advisor. 

Here are some unique niche ideas you can try as a financial advisor.

  • Estate planning
  • Financial planning
  • Health and long term care planning
  • Asset management 
  • Investment management 
  • Retirement planning
  • Tax planning

There are lots of people with money problems today.

People are looking for ways to pay off debt, buy a new house or car, save, invest, plan their taxes etc.

With limited financial literacy skills available, financial experts are needed to help these people achieve their financial goals. This is where financial advisors come in.

As a financial advisor, your services are in high demand and you can make a lot of money by giving financial advice to people.

Individuals and companies want to build wealth.

If you have financial skills and you are willing to start as a financial advisor, then go for it.

Remember, you have to be ready to be committed to your work if you want to be a successful financial advisor.

The financial industry grows every day and with the high profits involved in this industry, you can make lots of profit.

Do you know a lot more about money than the rest of us?

Can you start a blog or YouTube channel working as a financial advisor?

If you have worked in the banking sector, have you thought about becoming a financial advisor?

Or are you a financial advisor?

How do you get clients for your financial advisor business or how did you get started as a financial advisor in Kenya?

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