Six Phases of Starting a Financial Coaching Business

Getting the appropriate education is the extremely important first phase, as Tony Samuels discovered when he decided to start his financial coaching business. Tony was the supervisor at a credit card call center who wanted to branch out into his own endeavor.

To achieve competency as a financial coach, Tony needed more than just learning about managing personal finances. He needed a solid background in behavioral psychology, effective coaching methodologies, and regulatory requirements. Tony understood that these topics all were covered comprehensively by financial coach certification programs.

Tony’s completion of the financial coaching coursework and subsequent certification would allow him to show others that he was a qualified financial coaching service provider. This designation also showed that he met industry standards, increasing client trust and confidence in his ability.

Education was the first step, but Tony also needed hands-on experience as a coach. When considering how to start a business for financial coaching he needed to practice with clients – under expert supervision – to help translate the book knowledge he was gaining into practical action.

Tony learned that each client would be distinctive. Everyone has a different emotional reaction to finances and has developed unique habits and financial realities. This variation makes financial coaching difficult, but Tony rose to the challenge by working with people from various backgrounds and improving his skills.

Under the supervision of a certified financial coach from his educational program, Tony undertook several clients to gain experience. His supervisor would monitor his client interactions and suggestions until he had finished his schooling and demonstrated his competence.

Tony already knew he wanted to start his own financial coaching business. He also might have chosen to work for a company, with the option to transition into an entrepreneurial endeavor later on.

Since Tony knew the path he wanted to follow, he was able to prepare for the next phase. But whether beginning his own venture now, or working for someone else first, it was essential for Tony to document client results and begin writing case studies (being sure to meet confidentiality and privacy requirements). Tony’s definition of financial coaching was centered around making a real impact on the lives of his clients. To achieve that goal, he understood measurements were critical.

Tony’s case studies served to validate his skills and competency as a distinguished financial coach. He could show this portfolio to individual clients or potential employers, increasing their trust in his credibility.

The final step toward setting up Tony’s financial coaching business plan was to develop clear objectives. While for some coaches business planning is just an afterthought, Tony wanted a business model in place right away – the key to leveraging proven business models to grow his client base. To become a trusted personal finance coach, one of the first things Tony needed was to establish a professional online presence.

Tony’s online presence became his storefront. He set up a high-quality website and started a blog, which earned him media coverage. His website included an acquisition funnel to attract and handle new business. Tony followed simple steps to set up automated systems for communicating with potential clients through email, phone, and social media contact.

In his financial coaching business plan Tony included marketing strategies that varied based on the target audience. Tony’s initial target audience was employees at the call center, so he tailored methods to connect with them through the online employee information platform and at employee gatherings. Other possibilities for free or low-cost client connections include event booths, speaking opportunities, and referrals from other clients.