We ran a client webinar where we discussed legacy in greater depth. The recording can be found here: https://www.townclosefp.co.uk/videos/
And here are my brief notes:
There has been plenty of time to think during lockdown. That has meant new thinking and different perspectives for me.
For example, I realised that the nine of the ten suits I had in the wardrobe would be better off with someone else so I gave them away.
They are more valuable to someone trying to get a job than they are to me.
What I came to realise is that:
- Legacy is as much as about the here and now as it is tomorrow or the afterlife.
- It is about putting what we have – time, effort and money – to the best possible use.
- TCFP can and will do more – I have some ideas, but what are yours?
What difference can we make while we are here? Aren’t there a bunch of simple things any of us can do to give someone or something a help up the ladder or to carry on their good work?
In many instances helping out might not cost us a single penny, just some time and attention.
What TCFP will be doing
We should do the right thing for no other reason other than it is the right thing to do.
It is our duty to do more, and there are 3 ideas I shared that fit the “doing the right thing” mantra:
Your younger relatives
I know they are making financial decisions with little or no experience that are costing them money, day in, day out.
If we can stem that flow and coach them to better behaviours they will, with the power of time and compounding, end up in a much, much better place. The key to this is being able to connect with them.
Therefore, my plan is to give each of them a portal login and simple material to help them understand the fundamentals. And give them the ability to easily get in touch for some free guidance.
The sooner we can help them get into good habits, the better for them. Better decisions today mean better outcomes tomorrow and, crucially, those lessons can be passed on. The benefits can compound over the generations. Your family could be “wealthy” for ever.
The formula is relatively simple but the first step is sharing it. Currently we are not sharing it.
We are also going to investigate a TCFP Foundation.
The aim will be to help people in very simple ways to get the leg up. Hopefully, they then become entrepreneurs and create jobs and wealth. And that improves everything for everyone everywhere.
For the want of a few hundred or thousand pounds, I believe a vast amount of talent is going to waste.
Employee Ownership Trust
I am 48, I probably have a good 10 years running TCFP and another 10 years guiding it. But your plans have 30 or 40 or 50 years to run.
I cannot have you changing financial planner / philosophy, etc., 2 or 3 times over your lifetime. That means the plan we have put together for you will not be what happens. That would be letting you down massively.
My fear is that future owners might not have as good intentions as me. So my plan is to “sell” TCFP to the employees. Their interests are much more likely to be in line with yours and their decisions are likely to be “better”.
We have started looking at converting TCFP into an Employee Ownership Trust. That is the “John Lewis” model where the employees own the business. In so doing, we aim to make TCFP into an eternal business.
The eternal legacy of TCFP should be that we do the right thing because it is the right thing, not for any other reason. And these are the right things to do:
- Getting your relatives off on the right foot.
- Doing what we can to help others get going.
- Doing all I can to not leave you in the lurch.
future proofing your finances
Town Close are expert financial planners. Our goal is the same as yours – to help you do the things that are important to you in the time you have remaining.