- 4 years ago
- Wedding: February 2016
So bees, here’s the situation. I’m turning 28 this month, SO just turned 25. We are both just now finishing up our bachelor degrees (BSc.Neuroscience for me, BA History for my SO). We’re graduating in April, and plan to go teach English in China for a year starting next August.
My father is an Investment Advisor. His business is a really good one, because he gets to help people, and he’s paid on commission by the fund companies (so basically, the more money he makes for his clients, the more money he makes – everyone wins). He has great relationships with his clients, and makes a very good living. He makes around $500k/year at the moment, and it goes up every year.
Yesterday, he sat my sister and I down and told us that he’s about 5-9 years away from retiring, and that selling his client portfolio is a crappy option… It would be worth about $850k/year by then, and he’d only get $2million upfront for it (taxable). I know that is a lot of money, but obviously it would be better for him to keep working.
Instead, he said he would like one of us to take over for him. His plan would be to have one of us join him in 3-6 years, and work on a $100k base salary, and any new clients we acquired, or growth within the company (markets going up, etc) would go to us. So, conservatively, I’d be making $120k/year off the bat, and it would steadily grow by about $20-$50k/year. Amazing.
After my dad retires, he wants to keep being paid a steady (large) salary out of the business revenue, which is totally reasonable – building up a clientele is 90% of the work in this business, and he did it all – he’s literally handing me a great paying job.
The downsides: you can’t take time off, really. A few weeks here and there, yes, but not extended maternity leave. Here in Canada we typically get about 9 months maternity leave. I would not get that, I’d probably have about a week or two. My SO has enthusiastically agreed to be a Stay-At-Home Dad though.
I am not passionate about finance. I would have to force myself to do the research necessary to do this job well. Watching BNN is not a hobby of mine.
It’s stressful. In 2008 my dad probably aged 5 years… Some of his clients lost a LOT. It was not his fault in any way – the global market crashed, and his clients actually made out better than most, but some of them got scared when they saw their huge losses and against his advice they pulled out of the market (WORST thing you can do in a crash! No chance of getting your money back). Anyway, stressful. Livelihoods depend on you giving the best advice.
I’d have take the CFP course, as well as about 5 others. I’m already tired of school & I’m only a BSc. I’ve also been told (by my dad as well) that the CFP course is hell. Yay?
SO BEES! What would you do? I’m kind of torn right now!