Confused about meeting with IFA

alibongo42

I have researched and chosen an IFA that I believe is best placed to provide advice on a few issues I have in relation to personal tax, capital gains tax and the best way to go about financing a second rental property.

I spoke to the advisor on the telephone to set up an initial meeting. He told me this meeting would be free of charge and he also told me he thought he could clear up most of my questions at this meeting.

I have never used an IFA before but am now wondering how he will make any money from me as a customer if this meeting is free and I might have no further need for him. When I first started thinking about this I envisaged I would pay a fee for an advice session. I don't want to pump this bloke for information in a free session and then just walk away, but i genuinely may not require any products from him.

How should this work?

Savvy_Sue

In this case, I believe it works the way you think it works.

If he answers all your questions and you don't need his services again, he won't make any money out of you. However you might recommend his services to others, and he might make money out of them. Or you might accept his advice, take out a product through him, and he'll make some money on that.

chrismac1

Some of my best clients have come from people who had the initial free consultation but then decided either not to change accountants or that they didn't need one!

But when a friend or relative asked them about accountants they were kind enough to mention me. So I suspect this guy operates like this too.