By ELIZABETH HAYDEN I t should come as somewhat of a shock to Los Angeles County residents that two in five, or 42%, of LA-area pre-retirees expect they will need to work during retirement in order to afford their lifestyle or make ends meet. This discovery, along with others, comes from a recent retirement study conducted by Wells Fargo, which examines the retirement planning choices and concerns of Los Angeles County residents and compared adults ages 25-75 in Los Angeles County to adults ages 25-75 nationwide. If you agree with the almost half of pre-retirees in Los Angeles County who say their biggest fear about retirement savings is that they will do all the right things to save and still not have suffi- cient savings, then it might be time to assess a new financial game plan. Does gender difference play a role in the per- ception of retirement? The short answer is, yes. Wells Fargo discovered some important gender dif- ferences with reference to retirement planning. Nationally, retired men are more likely (77%) than retired women (58%) to be fully retired and not work. Of the respondents in Los Angeles County, men are twice as confident (26%) as women (13%) that they will have enough money for retirement. Approximately 49% of both men and women agree that they need to significantly cut back on spending in order to save for retirement. It’s not surprising that the recent economic downturn attributed to increased tension around retirement planning in Los Angeles County house- holds, but it did little to deter Los Angeles County pre-retirees from changing their preferred city of retirement. More than 60% of pre-retirees cited the consistent semi-tropical climate in Los Angeles County and first-class healthcare facilities as their top two reasons for planning to retire in Los Angeles County; this is a stark contrast from the 38% of pre-retirees in Washington D.C. who plan to remain in that region through retirement. Though the majority of survey respondents feel they have a better chance of retiring at the age of 65 than the Dodgers winning the World Series by the time they turn age 65, no more than one in five respondents in Los Angeles County has a detailed plan for their retirement finances. Retirement planning is as much about enjoying life today as securing your income for tomorrow. But if only 30% have increased the allocation to their retirement savings in the past year, it’s not surprising that at least one-third of all Los Angeles County pre-retirees plan to “enjoy life now and not worry about tomorrow.” Yet, despite the high cost of retirement in Southern California, a whop- ping 70% of Angelenos have not increased their retirement savings rate. Plan your retirement income to make sure you can pay for necessities—ongoing, non-discretionary expenses like food, shelter, transportation, health care, and other essentials while guarding against common risks in retirement. These expenses will likely increase with inflation, and since they’re essential, it will be challenging to reduce them. An often-cited estimate is that you will need about 80% of your pre-retirement annual income for a comfortable retirement. However, depending on your personal lifestyle, you may need more or less. Some retirees might be able to get by on 70% of their pre-retirement income, while others might spend well over 100%. Planning your retirement income requires bal- ancing the risk of drawing down your income too quickly and being left with little to live on in your 80s or 90s, and the opposite scenario of spending your income too slowly and needlessly crimping your retirement standard of living. It is important to determine an income strategy that is right for you. Meeting with a retirement banking professional is the first step to ensuring that you won’t have to worry about tomorrow while enjoying life today. Elizabeth Hayden is Vice President and Southern California Regional Director for Wells Fargo Institutional Retirement and Trust. For more informa- tion contact [email protected] or (213) 614-4456. August 6, 2012 • An Advertising Supplement to the San Fernando Valley Business Journal This special advertising supplement did not involve the reporting or editing staff of the San Fernando Valley Business Journal. Banking & Finance Angelenos Give Retirement Planning the Cold Shoulder If you agree with the almost half of pre-retirees in Los Angeles County who say their biggest fear about retirement savings is that they will do all the right things to save and still not have sufficient savings, then it might be time to assess a new financial game plan.
Transcript
By ELIZABETH HAYDEN
I t should come as somewhat of a shock toLos Angeles County residents that two infive, or 42%, of LA-area pre-retirees expectthey will need to work during retirementin order to afford their lifestyle or make
ends meet. This discovery, along with others,comes from a recent retirement study conductedby Wells Fargo, which examines the retirementplanning choices and concerns of Los AngelesCounty residents and compared adults ages 25-75in Los Angeles County to adults ages 25-75nationwide.
If you agree with the almost half of pre-retireesin Los Angeles County who say their biggest fearabout retirement savings is that they will do allthe right things to save and still not have suffi-cient savings, then it might be time to assess anew financial game plan.
Does gender difference play a role in the per-ception of retirement? The short answer is, yes.Wells Fargo discovered some important gender dif-ferences with reference to retirement planning.Nationally, retired men are more likely (77%) thanretired women (58%) to be fully retired and notwork. Of the respondents in Los Angeles County,men are twice as confident (26%) as women (13%)that they will have enough money for retirement.Approximately 49% of both men and womenagree that they need to significantly cut back onspending in order to save for retirement.
It’s not surprising that the recent economicdownturn attributed to increased tension aroundretirement planning in Los Angeles County house-holds, but it did little to deter Los Angeles Countypre-retirees from changing their preferred city ofretirement. More than 60% of pre-retirees citedthe consistent semi-tropical climate in Los AngelesCounty and first-class healthcare facilities as theirtop two reasons for planning to retire in LosAngeles County; this is a stark contrast from the38% of pre-retirees in Washington D.C. who planto remain in that region through retirement.
Though the majority of survey respondents feelthey have a better chance of retiring at the age of65 than the Dodgers winning the World Series bythe time they turn age 65, no more than one infive respondents in Los Angeles County has adetailed plan for their retirement finances.
Retirement planning is as much about enjoyinglife today as securing your income for tomorrow.But if only 30% have increased the allocation totheir retirement savings in the past year, it’s notsurprising that at least one-third of all Los AngelesCounty pre-retirees plan to “enjoy life now andnot worry about tomorrow.” Yet, despite the highcost of retirement in Southern California, a whop-ping 70% of Angelenos have not increased theirretirement savings rate.
Plan your retirement income to make sure youcan pay for necessities—ongoing, non-discretionaryexpenses like food, shelter, transportation, healthcare, and other essentials while guarding againstcommon risks in retirement. These expenses willlikely increase with inflation, and since they’reessential, it will be challenging to reduce them.
An often-cited estimate is that you will needabout 80% of your pre-retirement annual incomefor a comfortable retirement. However, dependingon your personal lifestyle, you may need more orless. Some retirees might be able to get by on 70%
of their pre-retirement income, while others mightspend well over 100%.
Planning your retirement income requires bal-ancing the risk of drawing down your income tooquickly and being left with little to live on in your80s or 90s, and the opposite scenario of spendingyour income too slowly and needlessly crimpingyour retirement standard of living.
It is important to determine an income strategythat is right for you. Meeting with a retirementbanking professional is the first step to ensuringthat you won’t have to worry about tomorrowwhile enjoying life today.
Elizabeth Hayden is Vice President and SouthernCalifornia Regional Director for Wells FargoInstitutional Retirement and Trust. For more informa-tion contact [email protected] or (213)614-4456.
August 6, 2012 • An Advertising Supplement to the San Fernando Valley Business Journal
This special advertising supplement did not involve the reporting or editing staff of the San Fernando Valley Business Journal.
Banking& FinanceAngelenos Give RetirementPlanning the Cold Shoulder
If you agree withthe almost half ofpre-retirees inLos Angeles Countywho say theirbiggest fear aboutretirement savingsis that they will doall the right thingsto save and stillnot have sufficientsavings, then itmight be time toassess a newfinancial game plan.
AUGUST 6, 2012 AN ADVERTISING SUPPLEMENT TO THE SAN FERNANDO VALLEY BUSINESS JOURNAL 21
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22 AN ADVERTISING SUPPLEMENT TO THE SAN FERNANDO VALLEY BUSINESS JOURNAL AUGUST 6, 2012
by JANET SHINKLE
On average, manufacturers in theU.S. get paid in around 50 days,but net income margins only aver-
age about 1.6 percent and can be heavilyinfluenced by fluctuations in material andsupply costs. Even when paid in less than50 days, it can still be difficult to managethe day-to-day cash flow due to the signifi-cant demands and timing of businessexpenditures such as payroll. After all, cashflow is not about how much cash youeventually receive; it’s about when you willactually receive the cash you need to run
and grow your business.Even in today’s tough economy, there
are some great options available to quali-fied companies that can make a hugeimpact on getting the flow back intoyour cash position.
As our economy has changed, so havefinancing options. Generally, AccountsReceivable (AR) Financing was thought tobe a form of financing reserved for busi-nesses that could not qualify for moretraditional types of credit. However, moreand more financially sound small to mid-sized businesses, particularly manufactur-ers, are finding that AR Financing is a
great tool to help them manage cash flowand grow their business. Today, manyqualified borrowers are choosing ARFinancing over more traditional forms ofcredit available to them because of theunique benefits this type of financingprovides.
As an example, a business generating$2 Million dollars in gross annual salescreates $166,000 per month. If receiv-ables are paying in 30 days, then thebusiness could improve its cash positionby over $5,000 for every day it improvesits AR turn. By obtaining cash for invoic-es within 24 hours, a business eliminates
a frozen asset on the books and replacesit with a predictable source of workingcapital to run the business, pay for fuel,and hire new employees.
What is AR Financing?
AR Financing is simply the selling ofoutstanding invoices or receivables at adiscount to a bank, finance or factoringcompany and provides quick cash to thebusiness. It bridges the gap betweenpayables due today and receivables thatwill not be remitted for 30 days or more.The value assigned to the accountdepends upon the age of a receivable.Simply put, the more current the invoice,the more value it is assigned. It should benoted that receivables older than 90 dayswill often not qualify for financing.When utilized, AR Financing bridges thecash gap between a company’s payablesand receivables immediately.
How it works
The lender purchases all of a compa-ny’s qualifying current & future receiv-ables at an agreed upon discount rate andpays the company for all current receiv-ables immediately. The lender continues
to pay the company for new receivablesas they are generated, generally within 48hours of origination. This greatlyenhances the reliability of the borrower’scash flow stream, effectively allowing theborrower to operate as an all cash busi-ness. The improved cash flow can enablethe borrower to re-invest in their businessin a number of ways, such as takingadvantage of prompt payment discountsfrom suppliers, increasing inventory tosupport growing sales, and growing thebusiness.
What to think about
Before making the decision whetherAR Financing is right for your business,do your homework and explore all youroptions, including traditional lines ofcredit and term loans, SBA Financing, orpersonal financing. While many financial-ly sound small to mid-sized businesses areselecting AR Financing as their preferredform of credit, determine if it is truly rightfor your business. Do the benefits justifythe involved costs? Is your business readyfor change and expansion?
The last word if you decide that ARFinancing is a good choice for your busi-ness, carefully select your lender. Theright relationship can make a huge differ-ence with regard to the success, and eventhe survival of your business.
Janet Shinkle is vice president and relation-ship manger with Mission Valley Bank, alocally-owned, full-service, independent, com-mercial bank with Preferred SBA Lender sta-tus serving the San Fernando and SantaClarita Valleys. She can be reached at (661)753-5696 or via MissionValleyBank.com
Scott M. Sachs, Regional Managing Partner Joe Torre
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BANKING & FINANCE
Today, many qualifiedborrowers are choosingAccounts ReceivableFinancing over moretraditional forms of creditavailable to them becauseof the unique benefits thistype of financing provides.
AUGUST 6, 2012 AN ADVERTISING SUPPLEMENT TO THE SAN FERNANDO VALLEY BUSINESS JOURNAL 23
By CHRISTOPHER WHITE
One of the more vexing issues fac-ing modern businesses is the factthat most companies, both large
and small, operate in multiple tax jurisdic-tions. With the internet in place, a smart-phone in every pocket, and access to thecloud from virtually anywhere, 21st centu-ry managers are in constant contact withcustomers, suppliers, and business partnersin any state throughout the United Statesand in any country around the world.
As a result, a company of any size canfind itself operating a multistate or multi-national business. Products fabricated orpurchased in one jurisdiction may bestored in another jurisdiction and sold tocustomers in a third jurisdiction. Anybusiness may enter into a partnership,joint venture, or cost-sharing arrange-ment with allies in other states or coun-tries. Support functions such as account-ing, marketing, or R&D may be located
in one place but provide servicesthroughout the organization.
The challenge becomes how to deter-mine the amount of profit earned in anygiven jurisdiction, and how to protect thecompany from aggressive taxing authori-ties who, after the fact, challenge the pricesset for the sale of goods or the providing ofservices between related business units.
A transfer pricing study is a thoroughreview, usually conducted by an outsideparty, of the company’s pricing policiesand the documentary support for thosecharges. Such a study can produce anumber of benefits to the enterprise:• Reduce taxes and penalties by assuringthat the company’s transfer pricing poli-cies comply with all requirements in thelocal jurisdiction, including meeting localdocumentation rules.• Identify opportunities to reduce thecompany’s global effective tax rate byrestructuring multinational operations. • Identify opportunities to increase globalsupply chain efficiency by relocatingoperations or reorganizing legal entities.• Provide support for transfer pricingrelated deferred tax assets and deferredtax liabilities recorded in the company’sfinancial statements.
Transfer pricing studies
save taxes and reduce risk
Many companies opt to conduct a reviewof their transfer pricing policies. Transferpricing studies are typically conducted byexperienced accountants and economistswith a strong background in multistate andmultinational tax matters. The objective ofthe study is to determine a pricing structurethat will withstand challenge from the rele-vant taxing authorities and best serve thecompany’s business needs.
A well-documented transfer pricing
study allows the company to minimizerisk, institute tax planning strategies, andmaximize world-wide income.Companies may be able to increase netincome by:• locating business operations and earn-ing profits in favorable tax jurisdictions;and/or• locating business operations in areas thatoffer a lower cost of labor or other resources.
What to take away from this discussion
All governments—Federal, state andlocal, and non-U.S.—are looking for waysto expand the tax base without raising
nominal tax rates. Businesses operatingin multiple jurisdictions should expect tobe pressured by taxing authorities to jus-tify the allocation of revenue and expens-es among jurisdictions. The result isuncertainty about transfer pricing posi-tions which creates significant financialreporting and tax disclosure issues.
Transfer pricing is an issue that no CEO,CFO, tax director, controller, board member,or business owner can ignore. There areimminent reporting and compliance obliga-tions. There is significant exposure to addi-tional taxes and penalties. There is a very realpossibility that the same profits could be
subjected to tax in two or more jurisdictions.A transfer pricing study is a tool that
can minimize these risks. Combined withsound multistate and international taxplanning, the company may be able tolower its overall tax obligation, reduce theeffective tax rate reported in its financialstatements, fully comply with its reportingobligations, and manage the profitabilityof its business operations at every locationthroughout the U.S. and around the world.
Christopher White, CPA, is a partner inJ.H. Cohn’s International Tax Practice. Hecan be reached at [email protected] or(818) 205-2614.
Navigating Transfer Pricing
BANKING & FINANCE
Understanding TransferPricing Issues and UsingStudies to Mitigate Risk
In today’s tough economic times, manycompanies do not have access to tradi-tional bank financing. With the trouble
the banks have been having, it has causedlending to small corporations to becomevery limited. Factoring can be an attractivealternative for companies that need financ-ing or to improve their cash flow.
Our firm specializes in the apparel, tex-tile and consumer goods industries whichtypically use factors as their choice offinancing. The general scenario where afactor arrangement works is when a com-pany ships its product, the related accountsreceivable is sold to the factor, and the fac-tor immediately advances funds againstthe account receivables to the company.Factoring solves several problems for small,newer and rapidly growing companieswith their working capital needs.
Problem One -- slow payment. Withfactoring, companies receive fundingupon shipment even though the compa-ny’s invoice clearly states net 30 days (itcan take 30-90 days for the factor toreceive the customer’s payment).
Problem Two -- the time and hassle ofaccounting for A/R, collections calls,receipt and posting of daily collections,deposits to the bank and analysis ofaccounts. Factoring resolves these issues.
Problem Three -- bad debts. Factorsoffer two types of factoring; non-recourse
and recourse. Non-recourse factoringoccurs when the factor purchases thereceivable and assumes all the risk of col-lecting the account. This is a form ofcredit insurance for your accounts receiv-able. With recourse factoring, the factordoes not guarantee the credit worthinessof the accounts receivable and the com-pany sustains the bad debts if the receiv-ables are uncollectable. Another advan-tage of factoring is the factor’s expertise
in evaluating the credit quality of yourcustomers. This can save money bydownsizing or eliminating credit and col-lection staff. It is also a good internalcontrol over cash management to out-source the collection of account receiv-ables, plus the checks are deposited dailyto reduce the factor loan.
The factor has two components itcharges a company. First, commissionrates that vary from 0.3 percent up to 2
percent of the dollar amount of receiv-able. Second, the interest rates it chargeson the advances which are competitivewith bank loans. The funds advanced bythe factor can range anywhere from 50 to90 percent of the receivable and will varyby how much the client needs. The factorcommission is a one time charge, occur-ring at the purchase of the accountsreceivable. Interest is charged against theadvances or factor loans just like a bankwould charge interest.
Factoring is a financing service used bycompanies of all sizes. These companieseither do not want to incur credit losses orwant to outsource their credit and collec-tion functions, thereby saving on over-head. Factoring enables companies toimprove cash flow through efficient col-lection efforts and immediate advancesagainst accounts receivable. Factoring ismore expensive than bank financing, butwhen your business needs additional cashflow and credit insurance, this is a greatsolution. The Partners of the firm havehelped many of our clients obtain tradi-tional bank or factor financing. If yourcompany is a start-up or fast growing com-pany, with a good business model, it isvery likely that you can receive financingto increase your working capital.
R. Douglas Smith is a partner with SmithMandel & Associates LLP in Burbank. Formore information please call (818) 556-4000 or visit www.SmithMandelCPA.com.
At e360 Insurance Services our goal is to keep your businessprotected from the various hazards that it may face on a dailybasis. Whether it’s the basics such as General Liability, Workers’Compensation, or the more complex situations and demands,our team of Insurance Consultants will have a solution for you.
24 AN ADVERTISING SUPPLEMENT TO THE SAN FERNANDO VALLEY BUSINESS JOURNAL AUGUST 6, 2012
AUGUST 6, 2012 AN ADVERTISING SUPPLEMENT TO THE SAN FERNANDO VALLEY BUSINESS JOURNAL 25
www.cbbank.com
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“We provide our customers with a dedicated account team that understands their business needs and objectives and delivers scalable, cost-effective solutions. Our Citizens Business Bank
financial service team has a similar philosophy on customer service and that is why we are such great business partners.”
Terry Dedeaux, CEO
By TERRY NAFFZIGER
I s your company growing faster thanyour capital? Improve your cash flowand strengthen your financial posi-
tion by borrowing on your accountsreceivable and inventory.
All businesses need capital or cash torun their business on a daily basis. Oneunique and increasingly popular way tomeet a company’s cash needs is throughasset-based lending.
Asset Based Lending is a specializedstructure of commercial lending that isdesigned to meet the working capitalneeds of companies using the tradingassets of the company as collateral. Thisis typically the accounts receivable andinventory of the company.
The borrower assigns the companyassets to the lender which will require aperfected first lien security interest posi-tion and satisfactory subordination ofany superior liens. Each lender will estab-lish a reporting plan, advance rates, andexamination cycle on the assigned collat-eral. The management of an asset basedcredit facility is based upon the degree ofcollateral reliance present in the individ-ual credit. Lenders may employ one ofthree types (Daily, Weekly or Monthly) ofcollateral monitoring plans. Additionalsupporting transaction documentationand control of account receivable pro-ceeds would be determined as necessary.Each plan requires the submission of theaccounts receivable aging, inventory list-ing and accounts payable aging on theagreed upon basis. An analysis is per-formed to determine which accounts andinventory items are eligible to be includ-ed in the borrowing base.
The reliance on this collateral requirescontinuous monitoring to ensure that thecollateral margins are both of sound qual-ity and sufficiency to satisfy the fundsborrowed. An onsite examination of thecompany’s books and records is per-formed on a periodic basis to further veri-fy the validity, quality and quantity ofthe collateral.
Loans made on receivables and invento-ries are truly revolving loans. Because theloans are tied to fluctuating collateral, theamount available for borrowing will increaseunder normal circumstances with increasingannual or seasonal sales. Conversely, loanswould be paid down in an off season whencollections from account debtors exceedadvances on new sales.
An Asset Based Financing candidate issimply any manufacturer, wholesaler(domestic or importer), service provideror distributor, selling primarily on anopen account basis and who has valuableand needed working capital tied in lessliquid assets. Specifically, accounts receiv-ables and inventory financing is an effec-tive and economical source of flexiblefinancing that can be especially usefulwhen one or more of the following situa-tions exist:• A company has created a new productthat suddenly catches on, sales quicklyoutstrip the finances necessary to carrythe accounts receivable created and theinventory need to meet the new demand.• Rapid growth due to product lineexpansion often stretches the capital baseas the working capital is not keeping pacethrough the accumulation of profits.
• A company either creates or acquires asales force with strong marketing andsales ability but has insufficient equitycapital to finance rapidly growing sales.• The credit terms offered to its customersare longer than those granted by the ven-dors creating a trade cycle imbalance. • A subsidiary is growing faster than itsown capital, and its parent cannot pro-vide financing without straining its ownresources.• A business is seasonal and borrowingrequirements in season exceed normal needs.
Asset based lending does offer manybenefits to the company as well:• A stronger relationship with its vendorswill naturally build if the business is ableto take advantage of the trade discountsoffered while improving and protectingcredit ratings. • Anticipate and act on special expansionrequirements (market share).• A source of continuous liquid workingcapital that is more predictable whichallows for better planning.• Profitability is improved through lower costof goods sold due the discounts exercised.• Provides a tool for better cash management.• Ability to vary loan volume and usageto control interest costs (flexible , elasticand no idle funds).• Avoid dilution of control and equity.• Reduce sales lost due to ‘out of stock’through better balance on hand mer-chandise.• Hedge against price increase, supplyshutdown (strikes, act of nature, fire, etc.).
If you decide to explore asset-basedlending, do your homework. Take the timeto understand asset-based lending and youcan use this financing option to provideshort-term funding for your business.
Terry Naffziger is Senior Vice President andManager of the Asset Based LendingDepartment for Citizens Business Bank,based in Ontario, California. Naffziger canbe reached at (909) 980-4030 or [email protected].
A Closer Look atAsset Based Lending
BANKING & FINANCE
An Asset Based
Financing candidate is
simply any manufacturer,
wholesaler, service
provider or distributor,
selling primarily on an
open account basis
and who has valuable
and needed working
capital tied in less
liquid assets.
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26 AN ADVERTISING SUPPLEMENT TO THE SAN FERNANDO VALLEY BUSINESS JOURNAL AUGUST 6, 2012
By LINDSEY CARNETT
Banks house a lot of money buthow do they bank on spreadingthe word about their services?
Trust is a necessary foundation for some-one to hand over their money to corpo-rate giants like banks and these financemanagement companies build trust bybeing credible.
Bank on Public Relations Tactics
Credibility is key for success in thefinancial world. Think of how you put yourcompany on the radar: How did you attractyour first client? Where did your client basecome from? What did your initial clientsknow about your company? To get startedand grow successfully, companies utilizepublicity to earn trust from consumers. Thebig question is what constitutes trust?
From a marketing point of view, trustis the idea of validation. Can a previousclient or customer vouch for your servic-es? Where can they find the informationwhich validates your services and aboveall, your company? Using a third-party,unbiased endorsement is a credible anddirect form of validation. Another wayto attract positive attention to yourname is by properly distributing newsabout your company. Whether you aredistributing company news via pressreleases or sharing media placementsthrough social media, be sure to shareand share often! Trump your competi-tors by becoming an expert in what youdo, do it well, and tell the world.
Cash In With Third-Parties
Although retaining customers isimportant, acquiring new customers isvital to perpetuating growth. In an unsta-ble market, the number of clients willingto risk their income on investments togrow their portfolio might be few and farbetween. To help increase sales, build onyour foundation of consumer trust toretain and grow your client base.
For example, your organization shouldhighlight third-party testimonials ratherthan being self-promotional. Evolve fromone-sided information and validate yourposition and sales messages in the indus-try with third-party statements from localand national media outlets. Support yourcompany and its services by sharing fea-ture articles that present your company ina positive light. Articles provide an out-sider view and when read in a respectedpublication by a prospective client base,your credibility gets an immediate boost.
Don’t be afraid to position yourself asan expert. How do you do that? Writing
or by-lining articles about financial trendswill not only open your client base butwill position you as an industry expert, allwhile increasing your credibility.
Direct Deposit on Your News
Another way to generate visibility isby disseminating Search EngineOptimized (SEO) press releases. Whenpress releases go live, the media picksthem up and immediately builds a posi-tive image of you that would typically beunattainable through traditional advertis-ing or promotion. Whereas self-promo-tional messages in advertisements tellpeople what to believe, press releases arepicked up by media who find your infor-mation newsworthy enough to tout itthemselves! Now that’s credibility con-sumers can trust.
When your news does get picked up,why leave it online for people to find?Improve its placement on a Googleresults page and your news and yourcompany have been crowned experts in
the field. Placing on page one of Googleis merely proper optimization.
For example, if you put out a press releaseabout your charitable endeavors and themedia picked it up, did a news segment, andcomposed an article on corporate charitableefforts, how would you best share it? To risein the ranks of Google results and place yourcompany name on page one of a keywordssearch, putting out press releases is a greatstart but be sure to share your news! Share iton all your social media outlets, both per-sonal and professional and focus as muchattention on this exciting news as possible.Repurposing finished products is a great wayto add to your inventory of credible material.Take the newspaper article and share it viacompany newsletters and don’t be ashamedto publically display them throughout youroffices or physically hand to a new customerin your lobby as they’re doing their back-ground research on you and your company.
Both online and offline, you are proac-tively and organically managing yoursearch results and placing yourself as anindustry expert while building trust. Takecharge of your reputation and be found!
Lindsey Carnett is CEO and President ofMarketing Maven Public Relations, Inc., abicoastal PR and marketing firm with officesin Los Angeles and New York. Specialtiesinclude financial, lifestyle, health, Hispanicmarketing and social media campaigns.Carnett can be reached via email [email protected] or viaphone at (310) 994-7380. For more informa-tion, visit www.MarketingMavenPR.com.
Compound Trust, Build Credibility
BANKING & FINANCE
How did you attract your first client? Where didyour client base come from? What did your initialclients know about your company? To get startedand grow successfully, companies utilize publicityto earn trust from consumers. The big questionis what constitutes trust?
In a society that grows more complexevery day, consumers are presentedwith the constant pressures of family,
career, and community responsibilitiesand personal enrichment. The financialmarketplace is ever-changing with newlaws, regulations, economic events, mar-ket changes, product offerings and con-flicting media messages. Making the rightfinancial moves at the right time is criti-cal to achieving security and accomplish-ing personal objectives.
A personal advisor guides the financialplanning process: goal identification,data organization, analysis, problemidentification, recommendations, and –most important – plan implementationand results monitoring. Your advisor willhelp you save, spend, invest, insure andplan wisely for the future.
A Registered Financial Consultant hasmet the qualifications required to servethe public effectively, and moreover, iscommitted to essential professional con-tinuing education. You can’t delegateyour job, career, civic or family responsi-bilities - but you can obtain qualified,professional financial advice and service.
What is the RFC Designation?
The Registered Financial Consultant(RFC) is a professional designation awardedby the International Association ofRegistered Financial Consultants to thosefinancial advisors who can meet the highstandards of education, experience and
integrity that are required of all its members.The IARFC is a non-profit professional
credentialing organization of proven finan-cial professionals formed to foster publicconfidence in the financial planning pro-fession, to help financial advisors exchangeplanning techniques, and to give deservedrecognition to those practitioners who aretruly committed to ethical standards andcontinuous professional education.
Because there are no consistent licens-ing requirements for the various personswho call themselves “financial planners”the public has a critical need for amethod of distinquishing the qualifiedand dedicated financial advisor.
What is the purpose of the IARFC?
The primary purpose of the IARFC isto provide the public with a convenientaccess to a pool of well-qualified practi-tioners from which to choose a personal
financial advisor. It is the only profes-sional organization that requires all of itsmembers to meet and document sevenstringent requirements of education,experience, examination, integrity, licens-ing, ethics and a significant amount ofcontinuing professional education.
RFC Examination Process
The comprehensive RFC examinationcovers a wide range of subject matter;Priciples of Personal Finance, Debt andCash Flow Management, Employee andGovernment Benefits, Annuities, Securities,Investments and Asset Allocation, Life,Health and Casualty Insurance, Educationand Special Needs Funding, EstatePlanning, Survivor Income Needs Analysis,and Retirement Income.
RFC continuing education requirements
Each year the RFC must complete a
minimum of 40 units (hours) of profes-sional continuing education. Thisincludes college courses, educationalsymposiums, credentialing courses, dis-tance learning programs and practitionerconferences. Many RFCs are instructors atcolleges and conferences.
What about other
professional designations?
We hold the RFC designation to bedifferent and perhaps more encompass-ing. However, the IARFC does not assertthat many other professional designa-tions or their organizations are inferior.The public is not served by divisive criti-cism, but rather by dedicated and well-prepared professionals. Our goal is toencourage professional conduct and col-laborate between professional advisors,with strong emphasis on the importanceof continuing education.
How does the IARFC maintain andpublish the credibility of its members?
The IARFC removes the designationfrom anyon who fails to maintain profi-ciency through substantial continuingeducation, or who betrays the publictrust by failing to live up to its Code ofEthics or by having a professional licenserevoked or suspended for misconduct orany reason.
This article was provided by theInternational Association of RegisteredFinancial Consultants.
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