tax season 2008: this time it’s personal

cpas reveal top competitive strategies for 2008. get the secrets. join the study.

by rick telberg
at large

tax season is right around the corner, so what are tax professionals doing to add value to the service they bring to clients? the answer is simple: they are getting personal.

jon neal, managing member of greenfield, wis.-based the neal group, says he offers “personal attention with explanations and advice on how to make things better.”

neal is not alone, and many would likely argue that that’s a good thing. recent research indicates that there’s room for improvement when it comes to tax preparers promoting the value they bring to small-business clients. a national federation of independent business survey found that 88 percent of businesses with fewer than 250 employees used tax professionals to prepare their most recent federal tax returns. however, only about 5 percent of all small businesses, including 3 percent of those with more than 20 employees, said it’s a more cost effective move compared with handling the taxes in-house.

that means the businesses’ primary influence is fear and ignorance versus the “value-add” of a tax professional.

however, relying on a client’s fear and ignorance may not be the best long-term strategy for growth. clients want to feel as though their needs are being met and their business is important.

so, how are cpas adding value during the busy tax season?

william r. bloom, managing member of bloom cpa pllc in new york, n.y., is, for instance, turning to technologies such as e-filing and secure file transfer of client data and returns.

others, meanwhile, are taking a more personal, old fashioned approach to distinguish their practices.

frank pavlica, president of palatine, ill.-based frank j. pavlica cpa ltd., is planning “personal phone calls to every client to discuss their questions and the tax return.”

charles f. kantorik, a sole proprietor at mt. pleasant, pa.-based c.f. kantorik cpa, says, “when i find an item of tax interest for a particular client, i copy the article and mail it to the client or call them personally.”

such personal attention means making contact more than just once a year and being more accessible, whether it be through onsite visits or evening and weekend appointments.

for example, barbara g. mccall, president of ladd, mccall & associates cpas in cornelius, n.c., adds value by “having knowledge of less-common tax issues such as like-kind exchanges and year-round consulting services for tax planning/tax projections.”

charles l. conway sr., cpa, a vice president at jenkintown, pa.-based conway & associates, is relying on “personal contact, newsletters, some hand-holding of worried clients and quality and timely work.”

joe eckelkamp, president of st. louis, mo.-based eckelkamp & associates, takes the personal touch even further. “we offer a number of ‘niceties’ to clients—a gift certificate for dinner at a restaurant for ‘early birds,’ a promo product in their organizer package, etc.,” said eckelkamp. “but the biggest thing they comment on is that we actually ask them questions about their business and not just about tax stuff. plus, we tell them ahead of time, in their organizer package, what their return will cost this year if everything stays the same.”

and if the personal phone calls, timely service and financial advice fail to set a practice apart from the competition, tempting a client’s sweet tooth just might do the trick.

just ask bruce ekmanian, cpa, partner of grover beach, calif.-based cook, ekmanian & associates. they add value by offering sweet treats as clients come in.
and at conway’s office, “we always have two large jars of candy for them to nibble on while we go over their data.”

how are other cpas “sweetening” the tax season? join the survey. get the answers.

copyright © 2007 bay street group llc. all rights reserved. used by permission.

posted on november 19, 2007