When Should A Business Owner See A Financial Adviser?
Written by: Helen Yau | Advisory Team
Running a business isn’t a full-time job – it’s a lifestyle, a risk, and often your greatest financial asset!
But for many business owners, personal wealth-building is often sidelined in the pursuit of growing the business. That’s where financial advice becomes essential. Knowing when to engage a financial adviser and what kind of advice you need can make the difference between hard work in your business and building lasting wealth from it.
In this article, I’ll explore the key reasons why business owners should consider financial advice, when the timing is right, and how it complements, not competes with, accounting advice.
When In Life Should You Consider Financial Advice?
Many people think financial advice is only for those approaching retirement or managing large sums of money.
In reality, quality advice adds value at every life stage, especially during key transitions:
- Starting a business or changing business structure;
- Buying or selling a major asset (business, property, etc.);
- Getting married, starting a family, or receiving an inheritance.;
- Approaching retirement or preparing a business exit; and/or
- Planning for succession or estate distribution.
These are moments in life when the financial decisions you make (or don’t make) can have long-lasting consequences. For business owners, who typically experience greater financial complexity and risk, these turning points can be even more significant.
Want more of an insight into when the right time to engage a financial adviser is? Check out this previous blog we put together: When Should You Get A Financial Adviser?
Unique Considerations For Business Owners’ Financial Advice
Business owners face a financial reality unlike that of employees:
- Irregular or volatile income;
- Responsibility for their own superannuation and retirement planning;
- Might invest profits back into the business at the expense of building your personal wealth;
- Exposure to risk from personal guarantees or business liabilities; and
- Potential over-investment in one asset: The business itself.
These factors increase both risk and opportunity.
A good financial adviser helps business owners untangle their personal and business finances, plan for the future, protect their wealth, and capitalise on growth opportunities, inside and outside the business!
Accounting Advice -vs- Financial Advice: What’s The Difference?
Many business owners already work with an accountant, which is great! But financial advice is a different service entirely; that’s not to say they can’t work together well, however.
Here’s how they complement one another:
| Accounting | Financial Advice |
| Has a historical focus | Focus on future goals and planning |
| Ensures compliance: lodge tax returns, payroll and BAS | Creates long-term financial strategies |
| Business-oriented | Balances both personal and business financial outcomes |
| Short-term tax minimisation | Plans for wealth creation and risk management, retirement |
A great accountant is essential for keeping the business financially healthy and compliant. But a financial adviser takes a more holistic approach – helping you turn the business into personal wealth, plan for retirement, and protect your future!
Risks Business Owners Face When Investing Or Purchasing Assets
While investing is often encouraged, business owners must tread carefully. Here’s why:
- Overexposure to one asset class: your business may already be your biggest investment. Pouring all excess cash into it or property can leave you poorly diversified;
- Liquidity issues: many business owners are ‘asset-rich, cash poor’. Without proper planning, it can be difficult to access funds when needed;
- Inadequate protection: if your name is tied to business debts or guarantees, your personal assets could be at risk. Similarly, if illness or injury strikes, your income and the business could suffer without the right insurance strategy; and
- Poor structuring: buying property or assets in the wrong structure can result in tax inefficiencies or exposure to unnecessary risk.
Financial advisers help business owners assess these risks and make smarter investment choices that align with their overall financial strategy, including the right mix of growth, protection, and flexibility.
Can A Self-Managed Super Fund (SMSF) Benefit Business Owners?
Absolutely, but it’s not for everyone.
A Self-Managed Super Fund (SMSF) can offer significant advantages to business owners when used strategically:
- Business premises ownership: through an SMSF, you can purchase your commercial property and lease it back to your business at market rates, allowing you to pay rent to your future self while potentially enjoying tax concessions;
- Greater investment control: SMSFs allow you to choose where your retirement savings are invested, from shares to direct property, and even alternative assets like precious metals;
- Tax planning opportunities: SMSFs offer flexibility with contributions and pension planning, which can support tax-effective wealth accumulation and retirement income strategies; and
- Asset protection: superannuation assets are generally protected from creditors, which may offer peace of mind for business owners exposed to financial or legal risk.
However, an SMSF comes with responsibilities. You’re the trustee, which means you’re legally responsible for running the fund in accordance with Superannuation laws. It’s essential to get advice from an SMSF specialist to ensure it’s the right fit and set up correctly.
Interested in knowing how to start your very own Self-Managed Super Fund? Check out this previous blog we put together: Setting Up A Self-Managed Super Fund
Why Seek Financial Advice Now, Not Later?
Many business owners wait until they’re ready to exit the business before seeking advice, but that’s often too late to maximise options. The earlier you plan, the more strategies you have available to grow, protect, and transfer wealth efficiently.
Financial advice is not about replacing your accountant or legal adviser, it’s about complementing their work with strategic, forward-thinking guidance focused on you, the business owner.
Turn Business Success Into Personal Wealth Through Financial Advice
You work hard to build your business.
A financial adviser helps ensure that effort translates into the kind of financial future you actually want – whether that’s early retirement, family security, or the freedom to start something new.
Don’t leave your future to chance or assume it will “work out”. Get the right advice, at the right time, and give yourself every opportunity to turn your business success into personal financial freedom.
Want to know more about the transition to retirement if you’re already in business? Check out this previous blog we put together: Transition To Retirement For Business + Commercial Property Owners
Canny Group For Your Business + Financial Advice
At Canny Group, our team of experienced Accountants and Financial Advisers work hand-in-hand to support business owners at every stage of their journey.
Whether you’re just starting out, growing your enterprise, or planning for succession, we offer coordinated, holistic advice that aligns your business performance with your personal financial goals.
From strategic structuring and SMSF advice to risk protection, wealth building, and retirement planning, we’re here to make sure your business success translates into long-term financial freedom.
Get in touch to see how we can help you build a smarter, stronger financial future!
