Partnering with
Financial Planners

“A timely and insightful read that will help accountants focus on a broader range of client needs. The views on Collaborating with Financial Planners to service those needs was particularly useful.”
 
Raul Valois, Partner with Rosenfeld Kant & Co, Chartered Accountants
 
Scott, wanted to let you know that I’ve just got your book and am loving it. Some really good ideas in there – and I intend to start implementing with the Accounting firm (I am leasing space from) soon. Congratulations - really insightful stuff.

Reuben Zelwer Director and Adviser, Adapt Wealth Management

“I would recommend that anyone seriously interested in forging a referral arrangement with an accountant takes a read... In explaining to the accountant the benefit of such an arrangement and explaining to them the ways in which they can overcome their concerns, we as Financial Planners are given some extremely useful insights in to what is important to the accountant and why, when considering a referral arrangement/agreement.”

Phill Hines, Director and Adviser with Fintuition Pty Ltd.

"Accountants are often attracted to the proposition of including financial planning in their practices but have no idea or the wrong ideas of how to go about it. ‘Partnering with Financial Planners' and in particular the accompanying toolkit provides accountants with many of the answers."

Mark Ambrose, Director and Adviser with Planning Forward

Hi Scott. I did the Chartered Accountants "Public Practice Certificate Course" a few weeks ago and loved  the case study based on "A stranger in the office next door", which I note featured in your book (which I purchased 6 months ago). 

It is to be expected that you will be inspired to take action after reading Partnering with Financial Planners. Regardless of how you look at it, financial services will influence your accounting firm. For some this will mean opportunity, particulalry those who choose to become fully or partially qualified to advise in this area. Sadly for those who take no action, there is a danger that increasingly the world will pass them by.

Exactly what that action will/should be is largely dependent upon your circumstances. However, notwithstanding the truth in that statement, it would be valuable to re-visit the vision of your firm and your client value proposition (Chapter 4). It is here that you will be establishing the parameters by which all decisions should be made.

It is likely you will have a range of specific issues that you also will want to work through. You will find the book's table of contents a ready reference for identifying these issues, be they related to interacting with financial planners; bringing financial planning in-house; launching financial services to clients or how to leverage these services to provide more opportunities with respect to your core accounting business.

As you will appreciate from reading it, the book is also be a great way of identifying the decisions that need to be made with respect to whether or not you formalise referral arrangements. 

Also, bringing your team up to speed with the latest FOFA changes (for which the finer details are not yet forthcoming) is highly recommended.

What's the reason for writing the book?

Throughout the past 10 years that I have been coaching professional service firms I have frequently encountered accountants and financial planners who have had bad experiences in collaborating. The patterns of what occurred began to become very familiar. I began to feel very frustrated because most of what was occurring in my view was entirely preventable. I used to think “If only I could have been there, this might have turned out much better.”

Then in 2011, I wrote an article entitled “A stranger in the office next door” which described a common set of circumstances, being an accounting firm employing a financial planner. In the article I dissected the causes of failure from three perspectives –planner, accountants and observer. This was a defining moment because not only did the article demonstrate how this situation arose but it clarified in my mind what I could do to assist. The feedback I received from that article was very encouraging.

Ultimately it was only through the leverage a book provides that I could be present at every collaboration. From the experience of writing an earlier book I was also aware that the process of writing helps one to confirm and expand upon previously held views plus explore other areas more deeply. Even as I got into mapping out the project I could see there were many topics which needed to be covered in order to capture the complete story. Having been an accountant in practice then worked with financial planners I knew that I was uniquely placed to write about the situation.

Through the book I hope that clients of both accountants and planners will benefit as a result of their financial advisers working closely together.

What response have you had to date from practitioners?

I have been very encouraged by the reaction received as I have been writing the book, which has built on the feedback from the article “A stranger in the office next door”. Many accountants and indeed, financial planners, have expressed interest in reading it.

 

How long did it take you to write it?

It was all done from start to finish in just over four months and this whilst holding down my “day job” at Fortnum Financial Advisers. This was less than a quarter of the time it took me to write my previous book. It’s been very intense but worth the effort. With the current legislative environment changing just as I was completing the book it was clearly a good time to be releasing a guide for accountants. Hopefully this will give accountants a road map to follow.
 

What plans do you have for the book?

I’d like to put it in the hands of as many accounting firms as possible. In this regard I am pleased with the arrangements that I have struck with both Thomson Reuters and the Institute of Chartered Accountants in Australia which will provide a substantial pool of firms. I would also like to enlist other organisations which service the accounting profession here in Australia and in other countries.

The book has been purposely written to be relevant to accountants outside Australia so I hope that it will gain traction worldwide.

I am also hard at work on a companion book entitled Partnering with Accountants. It is being written for financial planners (and other professionals seeking to work more closely with accountants). Essentially, it presents a “mirror image” of the current book, telling other professionals about how best to collaborate with accountants. I expect that there will be many planners who read their book and subsequently gift this book to the accountants they want to work with.

Why are financial planners buying the book?
 

There are some important reasons for why financial planners should read this book. Firstly, planners absolutely recognise the importance of working with accountants to the benefit of their end clients. It's so much easier and more productive if the planner is on "the same page" as a client's accountant. This book gives powerful insights into accountants' concerns and issues that will considerably increase a planner's knowledge of how best to collaborate.

Secondly, the book will be a wonderful conversation starter for a planner in getting to know an accountant. My expectation is that numerous planners will buy the book as a gift for accountants they would like to work with. So much the better if the book is helpfully tagged with yellow-sticky paper and/or flagged with blue highlighter on the relevant sections!

How do I buy the book?

The book is being distributed through Thomson Reuters. Follow the link from this website to Thomson Reuters.

Is there an electronic version of the book?

 

Alas, not at this stage. I am largely in the hands of Thomson Reuters with respect to when/if this is to happen.
 

(As appears in the March 2013 edition of "Charter", the journal of the Institute of Chartered Accountants.)
Most accounting firms believe that they should offer financial planning services, but are uncertain about how to do so. Scott Charlton’s latest book critically and practically examines the options, from an informal referral arrangement with an arm’s length financial planner to an integrated division within the practice. The author, who is chartered accountant, does not shy away from outlining his views about what is likely to work (and not work). Importantly, Scott is open about the negative consequences of partnering with a financial planner whose professional culture and ethics are not aligned with the accounting firm. If you are reviewing your options, this book (which includes a CD toolkit with pro-forma documents) is highly recommended reading.   

Robert M.C. Brown, B.Ec., FCA

I can thoroughly recommend Scott Charlton's book 'Partnering with Financial Planners - A guide to growth for accounting firms'. It is not only a comprehensive guide on how to do this but it is easy to read with loads of practical tips and case studies.
 
I am an accountant and financial planner. I also have an accounting practice that, together with my business partners, I have been building into a multi disciplinary financial services business for 14 years. I could not only relate to Scott's recommendations but I wished I had the book earlier in my journey. I am sure I would have saved lots of time and frustration.  I certainly will be reviewing our business processes after reading this book.

I also appreciated Scott's understanding from his extensive experience the challenges for both accountants and financial planners when they undertake this business decision.
 
Scott also clearly reiterated the most important reason why accountants need to consider implementing this decision which is that client's need both accountants and financial planners to ensure they have their financial affairs adequately looked after.
 
Denise Gibbons – Founding Director Integrity Wealth Group