How to create a business plan as a financial adviser

What is a business plan, and why is it important for financial advisers?

A business plan is essentially a roadmap for your business. It outlines your goals, the strategies to achieve them, and the steps needed to make them a reality. For financial advisers, a business plan is particularly crucial because it allows you to define your services, identify your target market, and ensure compliance with industry regulations.

What is the purpose of a business plan for financial advisers? It provides clarity and direction, helping you set goals, outline strategies, and focus on achieving measurable results. It also allows you to articulate your value proposition—why clients should choose you—and detail your approach to managing their financial goals. 

Whether you’re planning for growth, securing funding, or maintaining compliance, a business plan keeps your business on track.

For instance, if you’re planning to expand your client base, having a clear business plan can help you attract investors or lenders by showcasing your vision and strategy. Similarly, when dealing with unexpected changes in market conditions, a business plan can serve as a guide to pivot effectively.

What should a financial adviser include in their business plan?

When considering what to include in a business plan, financial advisers should cover all the essentials to ensure clarity and direction. Here’s a list of key components to include, along with details to ensure each section adds value:

• Executive summary: A concise overview of your business and objectives. This is the first thing a reader sees, so make it impactful. Summarise your key goals, core services, and how you plan to achieve them in a compelling way. Think of it as your elevator pitch on paper.
• Business description: Define your mission, vision, and values. Your mission explains why you exist, your vision highlights where you’re headed, and your values articulate what matters most to you. For financial advisers, this can include transparency, client-first service, and ethical advice.
• Market analysis: Understand your target audience and competitors. Who are your ideal clients—high-net-worth individuals, young professionals, or retirees? How is the market currently performing, and where are the opportunities? Competitor analysis ensures you identify gaps in the market and ways to stand out.
• Services and products offered: Detail the financial services you provide, such as investment advice, pension planning, or wealth management. Be specific about how these services solve client pain points or help them achieve their goals.
• Marketing and sales strategy: Outline how you’ll attract and retain clients. Will you focus on networking, digital marketing, or partnerships with other professionals? Define your sales funnel, including lead generation, onboarding, and client retention strategies.
• Operational plan: Include the day-to-day processes and organisational structure. Outline who will handle client meetings, financial reports, and back-office tasks. Having a clear structure ensures efficiency as your business grows.
• Financial plan: Budget, cash flow, and financial projections. Include realistic forecasts for revenue, expenses, and profit margins over the next 1-3 years. Break down start-up costs, software expenses, and any external funding needs.
• Compliance and regulatory requirements: Highlight how you’ll meet industry standards, including FCA regulations. Include processes for regular audits, client data protection, and professional development to remain compliant.

By expanding on each component, financial advisers can create a comprehensive plan that serves as both a roadmap and a powerful tool for growth.

Step-by-step guide: how to create a business plan for financial advisers

If you’ve ever asked yourself, how can I write a business plan, the process can seem overwhelming at first. However, breaking it into clear, manageable steps ensures you create a practical and effective plan that works for your financial advisory business.

Here’s a straightforward guide tailored for financial advisers:

1. Define your mission and vision: What drives your business, and where do you see it heading?
2. Research your target market and competitors: Understand who your clients are and what sets you apart.
3. Detail your services and pricing: Be clear about what you offer and at what cost.
4. Develop a marketing and client acquisition strategy: Plan how to attract and retain clients effectively.
5. Outline your operational and organisational structure: Specify how your business will function day-to-day.
6. Create a financial plan: Include start-up costs, revenue projections, and cash flow analysis.
7. Review compliance and legal requirements: Ensure you meet all industry standards and legal obligations.
8. Write and refine the executive summary: Craft a compelling overview that captures the essence of your business.

Each step ensures your business plan is comprehensive and aligned with your goals.

How to write an executive summary for a business plan

The executive summary is often the first thing people read, so it needs to be impactful. If you’re asking yourself how to write an executive summary for a business plan, here’s what you need to know.

An executive summary is a snapshot of your business plan. It should include:

• A brief overview of the business: Clearly explain what your business does and why it exists. For financial advisers, highlight your focus areas, such as investment advice, retirement planning, or wealth management.
• Key goals and objectives: Outline your short- and long-term goals. For example, you might aim to grow your client base by 20% within a year or expand your services to include financial coaching.
• Summary of services offered: Highlight the core services you provide and how they benefit your clients. Whether it’s helping clients grow their wealth or plan for retirement, explain your unique value.
• High-level financial overview: Provide a snapshot of your financial plan, including projected revenue and anticipated growth. Investors and lenders often focus on this section, so be transparent and realistic.

To keep your executive summary engaging, avoid unnecessary detail. Use clear, active language and focus on what makes your business unique. Remember, the goal is to entice readers to explore the rest of your plan.

How to measure the success of your business plan?

Once your plan is in action, measuring its success is critical. Start by setting clear KPIs (Key Performance Indicators) that align with your goals. For example, track client acquisition rates, revenue growth, or customer satisfaction levels.

Monitoring these metrics regularly helps you identify what’s working and what needs adjustment. Regular reviews ensure that your business stays on track and adapts to any challenges or opportunities.

What are common mistakes to avoid when writing a business plan?

Writing a business plan can be daunting, and mistakes are easy to make. Here are some common pitfalls and how to avoid them:

• Being too vague or overly complex: Keep your plan straightforward and focused.
• Ignoring competitor analysis: Understanding your competition is essential for differentiation.
• Failing to include realistic financial projections: Overly optimistic numbers can hurt your credibility.
• Neglecting compliance and regulations: Ensure all legal requirements are addressed.

By avoiding these mistakes, you’ll create a plan that is both practical and effective.

How to keep your business plan relevant over time

A business plan should evolve with your business. So, why is a business plan important over the long term? It keeps your goals aligned with current market conditions and business performance.

Review your plan annually to reassess goals and strategies. Adjust your approach based on industry trends and economic changes. Keep an eye on financial performance to ensure projections remain accurate. By doing this, your business plan remains a valuable tool for guiding growth and decision-making.

Work with Unbiased to grow your business

Knowing how to make a business plan gives financial advisers the structure they need to grow, attract clients, and stay compliant. A strong plan, built on clear goals and practical strategies, helps you stay focused and ready to seize new opportunities as your business evolves.

Unbiased Pro will support your business plan by delivering quality leads straight to your inbox and helping you drive sustainable growth.