How we are paid
Prospective clients are invited to our offices for a preliminary meeting. The purpose of the meeting is firstly to establish whether we are able to assist with the prospective clients' needs and objectives; and secondly to discuss how we would be paid for our services should you instruct us to proceed. There is no charge for this preliminary meeting (if during office hours) and no obligation on either side.
After the initial consultation, we will agree with you whether you pay us a fee, or whether we are to be paid out of the cost of any financial product(s) you buy (the commission route). We will always inform you of any commissions we earn, and they will be taken into account in working out our fee.
Commission
Commission is paid to an IFA firm by a product provider, usually an insurance company or an investment house for the successful placing of business. The commission is included within the providers normal product charges, so there is normally nothing you need to pay us in addition. The amount of commission is based on a percentage of the premiums payable or sums invested.
Fees
Fees are usually based on time spent and evaluated at a rate per hour calculated to recover our costs. We prefer to agree a fixed fee for the work to be carried out as this provides certainty for us both, and you do not end up paying when we are left hanging on the telephone!
If however you would prefer us to work on an hourly basis we are happy to do so.
Combination of Fees and Commissions
In some circumstances we may also need to charge a fee in addition to any commission we may receive.
Fees may attract an additional VAT charge, whereas under current legislation commissions do not.
Whether we receive our remuneration by way of commission or fees will be a matter of discussion and agreement, and no charges for fees will be made without prior notification.