Why you should be using cashflow modelling live with clients

With scalable, user-friendly solutions breaking down old assumptions about cashflow planning, more and more advisers are choosing to make this technology a key part of their process. Here are some of the reasons why.

It changes the relationship between you and your client

Cashflow planning is interesting and engaging for clients. Once you get them into the right mindset, they start to enjoy talking about themselves and their plans. This evolves your relationship from just ‘looking after their financial plan’ to ‘working with them on their life plan.’

Throughout a client’s life there will be events that affect their assets. Cashflow planning can consider these – for example, showing a client how receiving an inheritance, downsizing their home, or losing their partner’s pension (should they die first), will impact on their wealth and lifestyle.

By adjusting the levels of interest or return, you can start to create a real picture of the different results of varying scenarios. This can be transformative and turns you from an ‘adviser’ into someone they need to stick with throughout their entire life.

It can help to attract younger clients

Younger clients tend to be more tech-savvy and they increasingly expect the same of their professional advisers.

When you adopt cashflow planning, you put the role of the financial planner at the centre of your client’s long-term planning goals. This has clear benefits for younger people, as they can see the effects that changing certain assumptions can have on their life.