Finding a financial mentor may not be your “only hope” … but it will get your business year off to the right start.
Is it safe to start talking about the new Star Wars yet? No? Fine. We'll stick to a character everybody knows while we talk about one of the most important things that can help your business thrive this year: a financial mentor.
Obi Wan Kenobi, as played by Alec Guinness in the original Star Wars movies, embodies the best qualities of a financial mentor.
He's well-learned in the things his protege, Luke Skywalker, needs to know.
He's experienced in battle.
He's not going to do the work for Luke, but he shows up right at the moment when Luke is ready to realize his enormous potential.
Having a financial mentor can mean the difference between struggling to survive and thriving in a big way.
As with anything financial, there are a whole host of questions that come with choosing a financial mentor.
But don’t worry. We’re here to answer those questions for you.
What is a Financial Mentor?
Let’s start with what a financial mentor is not:
- A financial mentor is not a bookkeeper who simply keeps your accounting up-to-date.
- A financial mentor is not an accountant.
- A financial mentor is not someone who merely analyzes the numbers in your business, tells you what they mean and what you owe in taxes.
A financial mentor is so much more than all of that.
- A financial mentor is an experienced and trusted advisor who advises, trains, and educates you on all manner of financial matters.
- With a financial mentor, the best work happens after the accounting books are done.
- Your financial mentor uses the info from your bookkeeper or accountant to help you make decisions for the rest of your business.
- Your financial mentor stays with you as you grow, mentoring you on how to be highly profitable–in time, energy, and money.
- Finally, a good financial mentor has enough experience on all business fronts to be effective at helping you profit in all aspects of your business.
Why Do I Need a Financial Mentor?
As Marilyn loves to say, you shouldn’t cut your own hair.
You need a financial mentor to give you a fresh, experience perspective on what’s ahead for you on your entrepreneurial journey.
You won’t get where you want to go by accident–you get there on purpose. A financial mentor knows all your junk as well as your treasure, so they can help you go farther and faster while being strong and stable while you do it.
Simply put, your financial mentor is your ultimate accounting accountability buddy.
How Do I Choose a Financial Mentor?
To answer that, you need to ask yourself another question: What am I trying to accomplish?
“Make more money” isn’t really a good answer here. Neither is “grow my business.” To find the right financial mentor, you need to know exactly what you want out of this year so that you can find someone who has achieved that goal. Maybe they’re not in exactly the same business as you, but finding someone as similar to you as possible will make it easier for you to emulate them.
You also need a financial mentor who is a few steps ahead of you, both professionally and financially. If you’re a service-based business who’s trying to add products/scale, there are going to be A, B, C people in that circle. If you’re a C person, where’s your A or B person?
Have they gone through what you went through? A financial mentor trains and educates you, so they need to have gone through the fire themselves. Not just with knowledge they’ve read or acquired at conferences, but with hands-on experience.
Your financial mentor should have a strong niche and a connected community or network. Do they have strong working relationships with other professionals? They should give you enough rope to do your own thing, but make sure you don’t hang yourself with it.
How to Set Up a Financial Mentor Relationship
If you’re thinking “I don’t know anyone I can ask to be my mentor!”, don’t freak out. A financial mentor doesn’t have to be someone you meet with over coffee.
Free content is a great way to start being mentored. Our hope with this blog is to offer free financial mentorship to people like you, and there are lots of other experts out there who are doing the same thing. When you find an expert you really connect with, their free content can offer amazing value.
You can also join an online mastermind group–this is a great way to connect personally with your financial mentor and with other business owners who are committed to upping their financial game.
Finally, if you really need one-on-one attention and have the funds to spring for it, you can hire a personal financial mentor. Be aware that this formalized relationship may require more of your time and attention…which may be exactly what your business needs from you right now.
Whatever way you choose, here are some things to consider:
- It’s important to remember that the mentor doesn’t do the work. They will train and educate you, but you have to show up and do the work.
- Start small, work with what you’ve got, and work your way to where you want to be.
- Expectations will be established on both sides in terms of time commitment, what they will train you on. Also, your mentor may require certain things from you to make sure the relationship is profitable.
- It’s great to seek the best advice you can from all the sources available. But having ten different financial mentors is going to bring a lot of conflicting opinions and advice, leaving you more confused than ever. Having a financial mentor really works best when it’s coming from one source that you trust.
- Pick 1-3 people and consume their free content until you are ready to invest in their 1-on-1 help.
- Start applying their knowledge in your business, and if it helps you profit more, keep following them, narrowing it down to only one person.
- Make sure you have someone in your corner, helping you understand your money and profit situation so you can build something you’re proud of.
The Bottom Line
You need to have people in your life who are going to challenge you. But there’s a difference between a negative person and a person who is having you consider things you might not consider otherwise.
You don’t need an entourage–you need someone who knows you, knows what you want to do and where you want to go, and will do business the way you do business. That’s the key to getting reliable guidance toward your personal vision of success.
Now go find your Obi Wan. (And go see the new Star Wars. It's amazing.)
