Debate: How much is enough?

Financial independence is everyone’s goal. But how do you achieve it? That’s the question we asked our panel when we gathered at the Preston office of wealth management experts Taylor Patterson, part of leading UK consultancy Mattioli Woods.

PRESENT:

How can people best marry their personal and business financial objectives?

Robert Sheffrin: What they need to do is ring-fence business interests from personal interests but, inevitably, the two are interlinked.

That’s where the difficulties arise, particularly when there’s family involved: trying to pledge a house to a bank, not understanding what the real implications are.

Murray Dawson:

We’ve always tried to protect ourselves that way. But I’m at a stage in life now where I’m starting to consider what the plans are. What are the exit routes? Where do I go in the future? Is it 55? Am I happy with what I earn? Is that sufficient? Do I carry on or do I palm it off to the kids or the management team?

Iain Round:

Most see the business as part of the family. They’re connected and they don’t differentiate them, so it’s quite difficult at times.

Martin Kirby:

You have to advise them that they have to run the business professionally and properly and if they start to treat themselves like employees and give themselves pensions and rights, they’ve got more of a chance.

Jason Street: The key is planning over the longer term; it is about how you align your business objectives with your personal objectives. It is challenging.

Our role in professional services is to try and align those objectives and also help them to see what other businesses do.

Pauline Rigby:

Unfortunately some haven’t taken advice and haven’t put themselves in a decent position. They haven’t secured themselves.

Paul Bailey:

There’s been a real focus on how we run the business and how we’re planning for the future. It has been an interesting experience and the business will benefit from it as well.