How to choose a financial advisor for your startups in Dubai?
Financial advisor is a professional who has the skill and expertise to provide financial guidance about money decisions to a business allowing the owner(s) to make the most out of their initial capital investment into the business. He or she can help the business assess its financial performance and constitute strategies to maximize its profits or return on capital. Financial advisory services primarily include investment management, recommendations on spending strategies or strategies to increase the profitability of a firm. However, in order to receive gratifying results, it is crucial to appoint the right person for the job. To be acknowledged as a proficient financial advisor, one must be adequately skilled in specific areas and possess certain qualities. When in a quest for a successful financial advisor, a business should inquire for the following attributes:
Academic and Experience:
- Bachelor’s Degree with major in finance, economics, statistics, accounting or similar areas.
- Additional credentials such as CFP or CFA
- Master’s Degree in Finance or Business Administration
- Minimum of 5-6 years of work experience
With the current economic growth in UAE, the public is exposed to numerous business opportunities and many individuals wish to implement their business ideas by beginning their own business operations. These start-ups initially would need to plan for their investment which includes the amount, source, purpose, and usage of their capital investment. Therefore, approaching or hiring a Financial Advisor would be the most efficient way to find accurate and detailed answers to these blanks. It is especially crucial for start-up businesses to consult a Financial Advisor due to several reasons such as being new to the market, inexperienced in operating a business and investment being more costly, risky and time-consuming. In other words, investments are long term decisions that are very complicated and sometimes impossible to reverse, therefore much caution and care should be taken in planning for their return. Nevertheless, a financial advisor can provide the following services to start-up business which will help reduce the risk of their investment:
- Allow the business to be more profitable by focusing on actions that will bring results
- Control of business costs, monitoring of expenses and cost savings by negotiating the best deals
- Address future changes that might affect the business performance
- Confidence in decision-making due to the facility to back up decisions in financial terms
- Ensure to have a healthy cashflow in order not to miss out on valuable opportunities or result in cash shortages
- Ensure personal finances are not depleted for running the business, and are maintained separately from business finances
- Allow the business to identify and grasp onto hidden opportunities and avoid unworthy risks
- Allocate the limited capital to the essential areas of business R&D
- Keep a close track on the costs so they do not get out of hand
- Search and locate further investors who would be interested in investing
- Determine appropriate compensation for the investments done such as the share of equity belonging to the angel investors
- Reassure that professional accounting records are maintained by the accounts team for future reference
How to select a financial advisor for your business?
When seeking for a reliable expert to fulfill the position, the business should take the following actions:
- Dutifully advertising the job in the appropriate centers such as a recruitment agency or their own website
- Ask for reference from partners and friends who have had a successful experience with an expert
- Conduct reasonable interviews which are very job-specific with multiple candidates to obtain the best person for the job.
Why hire a Financial Advisor/ CFO?
- Cost-effective as it will enable the business to avoid unnecessary costs and endorse efficient use of business finance which results in higher returns.
- More professional services as the financial advisor is a specialist in the financial field and is equipped with the most effective and sophisticated financial strategies.
- Experience in different industries ensures valuable knowledge about the suppliers’ and competitors’ prices in various industries hence it will allow the business to undertake the best deals as a result reduce expenses while increases revenues.
CDA Accounting and Bookkeeping Services LLC
To avoid all the recruitment costs associated with employing a Financial Advisor, businesses can take a shortcut by approaching CDA team of Professional Accountants for the most competent financial advice. CDA will provide you the best of services at cost-effective prices, as well as save your time and money implemented into searching for a reliable co-worker.
Our experts are experienced with the Big 4 and have a profound knowledge about the trends and elasticity in the market. Clients can also choose the degree of experience and expertise of the individual(s) they wish to select for their business. Regardless of the difficulty level of the tasks, our team ensures to deliver exemplary results to our clients which leaves them contented and satisfied. We guarantee the quality of our services and the reliability of the information provided by us.
CDA also delivers a wide range of business services that include CFO Services, Auditing Services, Accounting & Bookkeeping Services, Accounting Software services, Due Diligence Services, and Tax filing Services.
Feel free to contact us. Our experts will give you one-hour Free Consultation to drive away your reservations!