Owner resources

Questions to ask a fee-only financial advisor before you hand over the business

Your business is probably the largest asset you own, and it is also the one you understand best. The money that comes out of it deserves the same attention. Before you hand any part of that money to an advisor, it helps to know exactly how that advisor is paid, who they answer to, and how they will work with the people already on your team.

This page is a set of questions to bring to any first meeting. It is educational, not advice, and it applies whether you end up working with us or with someone else.

Educational only. Not personalized investment, tax, or legal advice. Vital Investment Management, LLC is a fee-only fiduciary and SEC-registered RIA (CRD #300811).

Fee structure

Start with money, because everything else follows from it.

How exactly are you paid? A fee-only advisor is paid only by clients. There are no commissions on products and no payments from fund companies or insurers. Ask the advisor to say this in plain words.
Are your fees published? Published fees let you compare before a meeting instead of after. If the fee is only available once you share account statements, ask why.
What does the fee cover? Ask whether planning, tax coordination, and help with your business cash are included, or whether those carry separate charges.
How is the fee calculated and billed? Ask whether it is a percentage of assets, a flat fee, or a combination, how often it is billed, and whether it is deducted from the account or invoiced.
What would I pay in total? Ask for a written estimate that includes the advisory fee plus any underlying fund expenses and trading costs.

For a deeper look at how advisory pricing works, see what a fee-only advisor costs.

Fiduciary status

"Fiduciary" means the advisor is obligated to put your interests first. The details matter.

Are you a fiduciary at all times, on every account you manage for me? Some advisors act as fiduciaries for part of a relationship and as salespeople for another part. You want a clear yes that covers everything.
Is your firm registered with the SEC or with a state? Registered investment advisers file a Form ADV and a Form CRS. Both are public. Ask for them, then read the sections on fees and conflicts of interest.
What conflicts of interest do you have? Every firm has some. A good advisor will name them and explain how they are handled.
Who holds my money? Ask which independent custodian holds the assets and how you will see your accounts directly, separate from the advisor's reports.

Asset minimums

Many business owners have most of their wealth inside the company and comparatively little in personal investment accounts. Minimums can quietly decide who gets served.

Do you have an account minimum? If so, ask what it is and whether it applies to each account or the whole household.
Will I get the same attention as a larger client? Ask what the service actually looks like at your current level, not at the level you hope to reach.
Can you help with money that is not in an investment account yet? Operating cash, reserves, and a future sale are often the bigger planning questions. Ask how the advisor treats them.

Tax coordination

For business owners, investment decisions and tax decisions are tangled together. An advisor who works in isolation from your CPA can create problems the CPA has to clean up later.

How do you work with my CPA? Ask whether the advisor will talk to your CPA directly, how often, and about what.
Do you understand K-1 income and how it affects my personal taxes? Pass-through income can create a tax bill whether or not cash was distributed. Your advisor should plan around that timing.
How do you think about my retirement plan choice? A SEP IRA, a SIMPLE IRA, a solo 401(k), and a full 401(k) plan each work differently for owners and employees. Ask how the advisor approaches the decision alongside your CPA.
How do you separate business cash from personal investing? Ask how the advisor helps decide what stays in the company, what is held as reserves, and what moves into long-term personal investments.
Who on your team has tax training? Credentials are not everything, but it is reasonable to ask.

Questions about the relationship itself

Who will I actually work with, and who covers when that person is away?
How often will we meet, and what happens between meetings?
What do you need from me before we talk about moving anything?
How do I leave if it is not a fit?

For a broader framework, read how to choose a financial advisor for business owners.

How we answer these questions

Vital Investment Management is a fee-only, SEC-registered investment adviser. Our fees are published, and we have no account minimums. The small business practice is led by Dillon Goodman, a CPA and CFP, so tax coordination is part of the conversation from the start. Learn more about how we work with business owners.

What a discovery call with Dillon is actually for

It is a 30-minute meeting, not a sales pitch. Dillon will ask how money moves through your business today, what you want it to do for you outside the company, and who else is already involved, like your CPA. You can ask him every question on this page. Nobody moves assets on the first call.

Book a 30-minute meeting with Dillon

FAQ

What does fee-only mean?

A fee-only advisor is paid only by clients. The advisor does not receive commissions or payments from the companies whose products they recommend.

Is every fee-only advisor a fiduciary?

Ask directly and read the firm's Form ADV and Form CRS. You want the advisor to confirm in writing that they act as a fiduciary on every account they manage for you.

Why does an account minimum matter for business owners?

Owners often hold most of their wealth inside the company. A high minimum can exclude an owner whose personal accounts are still small, even when the planning questions are complex.

Should my financial advisor talk to my CPA?

For most business owners, yes. K-1 income, retirement plan contributions, and the timing of distributions all affect taxes, so the two should coordinate.

Does Vital have account minimums?

No. Vital Investment Management publishes its fees and has no account minimums.

Talk with Dillon Goodman

Bring these questions to a 30-minute meeting with Dillon. Book a time or call (970) 776-3316.