Wealth management firms, including accounting firms and family offices, provide specialized financial services to high-net-worth individuals (HNWIs) and businesses.
These firms focus on investment management, tax planning, estate planning, and succession strategies, helping clients grow and protect their wealth.
While expertise in financial planning is key, operational efficiency is just as crucial. Efficient billing and payment systems ensure seamless transactions and allow firms to focus on delivering high-value services rather than managing administrative overhead.
In this guide, we’ll explore key aspects of wealth management and discuss how firms can streamline operations through effective invoicing and payment solutions.
What is wealth management?
Wealth management is a holistic approach to financial planning and investment management. Its focus is to grow, protect, and efficiently transfer wealth when required.
It's a service offered by dedicated wealth managers as well as accounting firms and single and family offices who wish to provide additional support to their clients.
Generally speaking, wealth managers tailor their services toward high-net-worth individuals (HNWIs) and families (which is where the wealth transfer piece typically comes in).
However, some wealth managers also work with businesses with significant assets, helping leadership create a personalized strategy that aligns with business goals, such as:
- Minimizing tax liabilities
- Preserving and growing assets over time
- Mitigating risks
- Capitalizing on strategic investment opportunities
Core wealth management disciplines
Wealth management is a comprehensive service, and most wealth managers integrate multiple financial disciplines, such as:
- Investment management. Creating and managing an investment portfolio based on the client’s risk tolerance, time horizon, and financial goals
- Financial planning. Developing a roadmap for long-term financial security and preparing for major expenses and growth investments.
- Estate planning. Structuring assets to ensure smooth inheritance and wealth transfer while minimizing estate taxes (important in family-owned business contexts).
- Tax optimization. Identifying strategies to reduce tax burdens legally and efficiently.
- Corporate philanthropy. Establishing foundations, donor-advised funds, or other charitable giving strategies.
- Business succession planning. Advising business owners on transitioning their companies to successors or preparing for a sale.
Differences between wealth management and other financial services
Wealth management is a comprehensive service. As an accounting firm or financial advisor considering whether to add wealth management as an offering, its important to understand the extent of the service to determine whether its a fit for you.
Here are a few other commonly used financial services and how they are different from what wealth managers offer.
Asset management vs. wealth management
Asset management, in particular, is one of the most commonly considered alternatives to wealth management.
The big difference between these two financial services is their scope.
While wealth management is a holistic financial planning service, asset management is focused specifically on investment portfolio growth and doesn’t include tax, estate, retirement planning, or wealth transfer planning services.
If your goal is to help clients maximize investment returns within risk parameters, then asset management might be a fit for you. If, on the other hand, you’d prefer to a take a longer-term lens and consider overall financial well-being and legacy as well, you might make a good wealth manager.
Benefits of offering wealth management services
For accounting firms and family offices, expanding into wealth management presents a number of strategic advantages, including:
- Enhanced client retention: Providing comprehensive financial services builds long-term relationships and increases client loyalty.
- Diversified revenue streams: Wealth management services can complement traditional accounting and financial advisory offerings.
- Greater value proposition: A full-service financial firm attracts high-net-worth clients looking for integrated solutions.
- Stronger competitive edge: Expanding services can differentiate your firm from others that only offer tax or financial planning.
- Optimized cash flow management: Structuring client billing and payments efficiently helps maintain steady revenue streams.
One of the most important aspects of wealth management is its tailored approach. Unlike general financial planning, wealth management services evolve with the client’s needs, adapting to market changes, regulatory shifts, and long-term financial objectives.
By offering these services, firms can not only expand their expertise but also provide a more holistic, long-term value to clients seeking integrated financial solutions.
Examples of wealth management in business
Wealth management is most often thought of as financial services for individuals. While it's true that this is the primary use case, many businesses can actually benefit from working with a wealth manager.
Here are a few examples of how your firm can support businesses with wealth management services.
1. Business owner exit planning and succession
Imagine a family-owned manufacturing company is preparing for the retirement of its founder.
Your wealth management team can help the owner structure a succession plan, provide tax-efficient liquidity strategies to help the owner maximize post-sale earnings and help with estate planning to ensure health is transferred to heirs while minimizing estate taxes.
2. Investment diversification for business capital
Say a tech startup raises $50 million in funding and needs to manage excess capital that they won’t use right away.
Your wealth management firm can help them allocate funds into diversified investments rather than letting cash sit idle, in a way that allows the startup to easily access the funds for growth initiatives as required.
3. Business expansion and acquisition strategy
Imagine a retail chain wants to expand internationally.
As their wealth manager, you provide capital planning to ensure smooth funding for new locations. You also support with some strategies for acquiring competing businesses and help the company reduce cross-border tax liabilities with tax structuring strategies.
What do wealth managers do?
Wealth managers offer a diverse range of financial services, including:
- Investment management
- Financial planning
- Retirement planning
- Tax planning and strategy
- Risk management
- Estate planning
- Business succession planning
- Cash management solutions
- Philanthropic planning
- Corporate financing solutions
- Mergers and acquisitions advisory
- Performance measurement and reporting
Is a wealth manager the same as a financial planner?
No, a wealth manager is not the same as a financial planner, though the two do offer some similar services, such as:
- Retirement planning
- Investment management
- Insurance planning
Financial planners help individuals of all income levels, while wealth managers tend to be more geared toward high-net-worth individuals.
Wealth management is also a more holistic service, encompassing aspects of managing high levels of wealth, such as succession, estate planning, and philanthropy.
Common fee structures used in wealth management
Wealth managers employ a variety of fee structures for their services.
It's a good idea to understand how the different fee structures work to determine which structure to apply to your own wealth management services.
Here are the six main fee structures wealth managers use:
- Assets Under Management (AUM). The wealth manager earns a percentage of the total assets they manage (e.g. 1%, AUM fee for $2 million in assets would cost $20,000 per year).
- Flat/fixed fee. You pay a fixed annual or one-time fee for pre-defined services.
- Hourly fee. You pay a pre-defined hourly fee for specific advice.
- Retainer fee. You pay a fixed monthly or annual fee for ongoing advisory services, sometimes based on complexity rather than assets.
- Commission-based. The wealth manager earns commissions on financial products like insurance, mutual funds, or annuities.
- Hybrid model. A combination of AUM fees, fixed fees, and commission-based earnings.
What to look for in a wealth manager?
If you’ve read all of the above and decided that a wealth manager is the right move for you and your business, you might be wondering:
How should I choose between the various options available to me?
Here’s what you should consider when choosing a wealth manager:
Experience and expertise
Look for a professional with a strong track record, experience in handling complex financial needs, and specialization in your specific financial situation.
Credentials and qualifications
A well-qualified wealth manager should hold recognized certifications in financial and investment management.
Investment approach and risk management
Look for someone who matches your risk tolerance and consider whether they follow an active or passive investment strategy.
Fee structure and transparency
Review the wealth manager’s fee structure (fee-only or commission-based), and whether they charge set rates for given services or take an Assets Under Management (AUM) fee.
Communication and accessibility
Consider how often the wealth manager is able to meet, what kind of updates and performance reports they offer, and the methods of communication they have available.
Who needs wealth management?
Wealth management services are typically used by high-net-worth individuals, but certain types of businesses can benefit from them as well.
Businesses that you might choose to work with as a wealth management service provider include:
- Organizations with high revenue and profit margins that need to maximize idle cash and reduce tax burdens
- Privately owned and family businesses that need help with succession planning, transition of ownership, and minimizing estate tax liabilities
- Companies with large asset holdings in real estate, intellectual property, or physical assets that need risk management services and support with tax-efficient structuring
- Entrepreneurs and business owners who are planning an exit
- Businesses dealing with multi-country tax structures that need expert support to minimize exposure
Streamline wealth management with BILL
Managing high-net-worth clients means handling complex financial structures, multi-entity transactions, and compliance requirements—all of which require seamless invoicing and payment solutions.
BILL simplifies financial operations for wealth management firms by automating invoicing, streamlining accounts payable and receivable, and ensuring accurate and timely payments.
With features like automatic reconciliation, recurring payments, and customizable billing options, our financial operations platform helps firms reduce administrative overhead while improving cash flow predictability and compliance.
With BILL, your firm can focus on providing top-tier financial services while ensuring smooth, scalable, and secure payment processes.
Explore how BILL can help your firm streamline operations and enhance service delivery today.
