Back to school: how to advise teachers

In the first part of a series on advisers who specialise in different professions, Joanna Faith talks to Alan Bowers about advising teachers

The directors of Teachers IFA Alan Bowers and Mark Jones have more than 40 years’ combined experience in financial services advice for teachers. They were both sales managers for Colonial (formerly Colonial Mutual), which was for many years the recognised provider of financial advice for the National Association of Schoolmasters Union of Women Teachers (NASUWT).

When Colonial started closing branches in 1996, Bowers and Jones both set up their own businesses. They stayed in contact until 2000 when they decided to merge their companies.

How do you market your firm?

A lot of our business comes from the internet. When you type ‘financial advice for teachers’ into Google, we always come up near to, if not at, the top. We have a steady stream of enquiries from the website. A lot of it is general enquires. But it’s all market awareness. We also send out email newsletters for people who sign up online.

Do you go into schools to talk to teachers? 

We used to do that a lot. When I was at Colonial Mutual, which was the registered insurer for the NASUWT, we would go around schools talking to teachers about the benefits of the superannuation scheme and about how they could top up shortfalls with regards to pensions and protection.

When I went independent I went back into schools, but after about three or four years I stopped. I had built up a good client base and we had started to diversify into the mortgage market so did not really have the capabilities to be going into the schools. But we will start going back into schools if there is the need for it.

Do you work with any of the unions?

We have dealt with local representatives and secretaries of unions but we are not affiliated with any particular union.

What are the main financial concerns for teachers?

Their biggest concern is retirement and how they can top up their pensions. We also advise a lot on protection so insurance for families in case of ill health or death, and investment of lump sums whether they be general savings or inheritances.

What are the advantages of advising a specific profession?

You are creating a niche market and become experts in the field. You tend to get a lot more referrals. If you do a good job for one member of staff you are likely to be referred on.

How about the advantages of advising teachers?

They tend to be in generally stable employment and earn above average income. But there are downsides. You’re not dealing with extremely high-net-worth individuals, so you have to see more clients to make more money. Some people do not like dealing with teachers. They find them too analytical or they find they like to be in control too much and do not have a wide imagination. We appreciate teachers’ concerns and frustrations.

You can also get pigeonholed. But that is why it is good to advise clients outside the specific profession. It is good to specialise but also have an awareness of the general market.