21 Financial Services Business Ideas You Can Start

Financial services come in many forms, and you might have a great idea for a company that can help make the lives of millions easier – or more fruitful. 

If remote working and the sharp rise in people starting their own businesses has got you excited – then you are not alone.

There has been a sharp rise in the number of people who have made the jump from working 9-5 to their alternatives working from home (maybe longer hours to start with) and launching their own company or starting life as a freelancer. 

Financial planners, budgeting apps, accounting services (if you’re a qualified accountant), assistance, comparison websites, or even cryptocurrency websites and applications are all in high demand. 

If you have decided that you want to put your skills into a financial services or products business, then here are some considerations that you need to make.

However, ensure you do these three things first before launching your financial services business.

1. Research 

When it comes to financial services, people have big demands on the kind of products they use.

Similar to starting a tech company, you’ll need to make sure that there aren’t too many products that are servicing the same audience.

If you still want to go into that sector, ensure that what you offer is enough to compete. 

Start by searching your services keywords to see what the search landscape is like. What are competing companies ranking for? How can you make a splash in that area? 

2. Rules & Regulations

Financial services in all countries will require that you are registered and have all of the required licenses. It won’t take long to find out what you need in order to be compliant with all of the rules. 

Once you have a list of the governing bodies for all of the licenses, it is a good idea to see how long the licensing application process takes and what evidence you need to offer them.

Knowing how long it will take can help you to plan your launch dates and other business timelines. 

Where there are mutual funds, bonds, stocks, and other types of investments, you’ll need to have the correct law or investment licenses.

Keep in mind that if you choose to offer services globally, you’ll need all of the corresponding licenses. 

3. Services & Fees

Will you have a single focus as your product, or will you be offering other services that complement the main service?

Almost all financial services will have fees attached – and you will need to make sure that yours are not only reasonable but that you get a good income from them too.

Financial services usually charge a percentage of transitions or a flat-rate fee. You’ll need to decide what makes the most sense to your audience and you. 

The fee model should be something you have nailed down long before you are ready to launch, as this will be one of the factors that will draw people to use your services. 

What are some profitable financial services business options?

While no business startup is guaranteed to make a profit, you should try to launch businesses that are in your skill set. Here are some financial businesses that are making waves. 

1. Financial blog

While this might not be a direct service, you will be offering a lot of information to readers. Financial blogs offer a lot of value to their readers and can also work with leading financial services to give an overview.

What makes a financial blog a good idea is that it has low initial investment, but keep in mind you’ll need to put in plenty of hours to get your readership to a point for it to make you money. 

You can choose a niche like stocks and keep your readers abreast of all of the latest stock market movements. 

2. Business Broker

Many people are buying and selling businesses in Florida and other states.

So, they require information on which firms they should invest in and if they are selling their company; they need help to evaluate the price on the current market prices.
You can offer this service online and offline to increase the potential audience. You can visit neumannassociates.com/florida/ to know more about how business brokerage works.

Moreover, they become a certified member of their team to assist more and more people.

3. Stockbroking

Millions of people are investing now, and stock brokers and brokerage platforms make a lot of money facilitating the buying and selling of stock.

To make a profit in stock broking, you’ll take commission and fees for each transaction that takes place on your platform.

Stockbroking is a competitive area to get into – so make sure that you have some funds available for your marketing strategy.

4. Funding research

You could create a portal or platform where businesses or people can put their circumstances (anonymously).

They will receive recommendations and suggestions for where they could get funding for their circumstances.

For example, a small business run by a black man in a low eco-socio area might have options to apply for funding that they weren’t aware of.

Because often, the best funding isn’t marketed to the right people. 

5. Expense reduction analyst 

If you are great with budgeting, or you can give clear advice and information about how people and/or businesses can maximize their profits and reduce their overheads, that is a high-value skill.

An expense reduction analyst is a specialist position. However, it is possible to have software created that can automatically highlight all areas where reductions can be made. 

The software could be a standalone service that is paid for by clients. 

6. Tax checklist & form hub

For those who can’t afford the services of an accountant, you can provide in-depth information that can enable people to prepare taxes via a checklist of steps.

You could provide links to all the correct documents needed, and supporting numbers.

Keep in mind that you’ll need to have plenty of disclaimers.

You need to make it clear that the advice is not from a financial expert and that you are not responsible for any tax issues. 

7. Lending 

Considering that getting business loans for small businesses can be costly and long-term unsustainable – an ethical lender in this industry would be good news. 

It’s a great idea to lend money to people or businesses with reasonable repayment terms.

Small businesses want to enjoy the benefits of loans when starting out, hence if you have access to some starting funds, you can become an ethical lender.

8. Debt collection

While it might not be seen as a worthy business, it is a profitable one. A debt collection agency can be started from home. Hence, to make things easier for your client accounts to pay, you can have a mobile app running alongside it.

Just make sure that you are well-versed in all the state policies and guidelines for debt collection (this guide can help with that).

9. Debt Consolidation Companies

When you consolidate people’s debts, you assist them in aggregating their different debts into one bigger debt. This includes a loan, with a lower interest rate and monthly repayment.

Also, your business will be beneficial to people who desire a reduced monthly repayment package that will also enable them to save money.

10. Investment management

You can also consider managing investment for people. As an investment manager, you are going to be taking charge of the progress of the financial assets, and other investment portfolios.

Your job can also include banking, tax services, and budgeting. This business is profitable because people need someone to help them make the best investment decision, so this is where you come in.

18 investment ideas for beginners

11. Financial advice and guidance

Not many people are knowledgeable about financial matters. It becomes imperative that they seek information, advice, and guidance from professional financial officials like you to enable them to make informed decisions.

12. Insurance broker

You can earn commissions from selling insurance policies to consumers—individuals and businesses.

Additionally, as an insurance broker, you are a middleman between the consumer and an insurance company. You will be their eyes and ears, hunting for insurance policies that will best suit them.

You can earn between 2%—8% commission off the premiums by selling different types of insurance like life insurance, accident insurance, annuities, etc.

How to start a career as a life insurance agent & sell successfully

13. Retirement Planning Companies

If you like to become a retirement planner, you will be helping individuals secure a reliable retirement plan that will sustain them when they retire.

Furthermore, when you start this business, you will save many people from the troubles that come from preparing for retirement.

For your service fee as a retirement planner, you can charge per hour, a flat fee, an annual fee, or a percentage of assets you are managing.

There are many companies that can offer high-quality apps to make this role easier. 

14. Investment banking

If you decide to start up an investment bank, you will be assisting clients to deal with complex financial transactions.

You can also play an advisory role in determining the true worth of a company, and how to arrange a deal for purchase, sale, or merger.

Your activities may also include raising money by giving out securities, as well as putting together the necessary documentation for a company desiring to go public.

5 Factors to consider when making investment decisions

15. Wealth Management Companies

When you get into wealth management, you will be dealing with high-net-worth individuals. In wealth management, you will need to put together different financial services. This will help to cater to an array of needs of rich individuals.

Also, your fee will be based on your agreement with your clients. It is a profitable business if you have good financial background knowledge.

16. Online payment system

An online payment system is a lucrative e-commerce business. It only accepts payments made through the internet.

Therefore, the benefits of starting an online payment system include lowering overhead costs. This is because there is no need for any physical infrastructure like branches or ATMs.

Best 5 ways to accept payments for small businesses

17. Tax Preparation

To become a tax preparer, you will need to obtain a Preparer Tax Identification Number (PTIN) from the Internal Revenue Service (IRS).

Individuals and companies will always need your tax preparation services because they have to file annual tax returns.

Tax preparation can earn you between $50 and $200 per hour.

18. Cash Advance Business

Since people sometimes need a quick loan to take care of a pressing need, they resort to cash advance platforms.

So, if you venture into the business, be sure to make huge profits off the high-interest charges on the short-term loans you will be offering.

4 Tips to avoid cashflow problems

19. Remittance services

Starting a remittance service will be a good option if you want to work from home. So, your service will enable clients to send money electronically to their loved ones, customers, and internationally.

Hence, your services may include, banking, money transmission, and provision of credit facilities.

20. Asset Management Services

As an asset management service provider, you will be responsible for the development, operation, maintenance, and sale of assets. This will be for either businesses or individuals to make a profit.

Also, your job will be to assist investors to make the best decision in terms of investment packages that are suitable for them.

Top 9 best asset protection strategies for business owners

21. Credit Repair Service Providers

Your job as a credit repair professional will be to fix the bad credit of clients. Fixing deteriorated credit may involve contesting an error made by credit agencies and budgeting.

So, if you are good enough at the job, you will be able to help people get out of debt or rebuild credit.

Bottom line

Running a financial service should always have the idea that you will help the people or businesses you set out to support. So, go ahead to help others reach their goals and ambitions.