outlook & analysis

the 15 rules for partner teamwork

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no lone rangers, no prima donnas.

how healthy is your firm’s partnership? 卡塔尔世界杯常规比赛时间 contributor marc rosenberg, cpa, has been asking that question for 20 years at more than 700 firms by now. he has a few ideas. in fact, he has a checklist of 15 items by which to measure the strength and sustainability of any accounting practice. how well does yours measure up?

the tried-and-true rules for successful partner teamwork

1. partners agree on a common vision, goals and a set of firm practices, which are followed by all partners, even if each partner doesn’t agree 100%.

2. key firm personnel are viewed as team players, particularly in servicing clients.  clients are viewed as clients of the firm, not the individual.

3. people rarely go on sales calls alone.
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the irs and big data gone bad

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bookkeeping data is notoriously unreliable. so why is the irs relying on it?

the ten-minute bookkeeping test (pdf)
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the 10-minute bookkeeping test

by frank stitely
sk cpas

“please give me a copy of your 1099-misc forms.”

the irs agent was a 25-year-old woman, with only a couple of years of experience dealing with my client.

my client was the “how-dare-you-question-me?-i’m-a-taxpayin’,-god fearin’-american” type of client – one of those guys  who think the marlboro man is a wimp.

but he had a tax problem. he was being audited and he had thrown out all of his paper records when he moved his office.

missing 1099-misc

he didn’t have copies of his 1099-misc forms.  so he had his bookkeeper reprint them from quickbooks.  i gave them to the irs agent.

“mr. stitely, these 1099 forms don’t match what we have in our records.” read more →

leveraging leadership: a new way of looking at growth

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leader-driven growth. not just a bunch of rainmakers.

by gale crosley
crosleycompany.com

i see it all the time.  well-intentioned accounting firms do what they believe are the right things.  they sponsor events.  they publish articles.  they meet and greet. but they don’t grow.

more on growth strategies for multi-partner firms:  are you creating a sustainable firm?    |     don’t confuse marketing with a true growth strategy     |      overcoming four imaginary barriers that limit cpa firm growth     |     how firms unleash the power of diamonds, cash cows and fat cats     |     how smart firms use market research   |

at most firms growth is an individual contributor activity.  lone ranger partners do their own thing, attracting clients here and there and offering services they believe clients need.  but despite the efforts of individual partners, there’s little solid growth to show for the effort.

that’s when they call.  “gale, we need your help!  market conditions aren’t great and we’re getting hammered with competitive pricing.  we have to increase our marketing so we can grow!”

whoa cowboy, sit back in that saddle and let’s talk a while. read more →

client satisfaction starts with ‘likeability’

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the science behind happy customers.

by hitendra patil
pransform inc.

in “the 9 building blocks of a winning vision that the big four have discovered,” august j. aquila and robert j. lees brought out the common vision elements of big four firms. and one of them is “put the best people at our clients’ disposal.”

it’s not common sense! it’s actually human behavioral science. you will be surprised to know how this works at a much deeper level than you think.
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even accountants get the blues

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that’s when you need an “appreciation room.”

by sandi smith leyva, cpa
accountant’s accelerator

most of the time, being an entrepreneur is a delight, an honor and a great way of life.  every once awhile, there can be those days where you just need a little moral support for one reason or another.

that’s when it’s useful to create an appreciation room (or even a corner or shelf).    right now i have an appreciation cabinet in my home office and an appreciation shelf in my business office.

an appreciation collection can consist of seven items: read more →

10-point checklist for bringing in a new partner

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the steps to take today to exit gracefully in the future.

by mark rosenberg
how to bring in new partners

succession planning has hit cpa firms hard.  as baby boomer partners approach retirement age, they naturally are focusing on who can take their place and eventually write their retirement checks.

there are two primary exit strategies for partners: 1) sell or merge out of existence. or 2) stay independent, retire and get bought out by younger partners who write the partners’ retirement checks with smiles on their faces.

the vast majority prefers method no. 2, but unfortunately, this option is not available to many partners and firms.  for various reasons, these firms have not developed new partners to take their place.

here is a 10-point checklist for what firms need to do to bring in a new partner: read more →

every partner’s first question: ‘what’s in it for me?’

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by august j. aquila and robert j. lees
creating the effective partnership

although the whole purpose of engaging the partners is to commit them to the firm’s future, they also have to see a personal upside in the final destination. that upside can take many forms but it has to be spelled out. it’s critical that the descriptions are honest. smart people quickly stop trusting their leaders if they believe they are being lied to or the downsides glossed over.

creating the effective partnership:   the 9 building blocks of a winning vision that the big four have discovered  |   the politics of an accounting firm partnership  |  nine rules to creating highly effective partnership teams   |   audacious vision and grand purpose prove essential to cpa success | are you creating a sustainable firm? | the debilitating effects of denial at accounting firms | the five psychological hurdles that cpa firms must confront today

if, for example, achieving scale is achievable only through a merger, the likely impact of the merger on partner earnings must be addressed. smart people know that earnings may be flat, or even drop, in the short term. the key thing is that the upsides to both the firm and the partners make the initial sacrifice worthwhile. read more →