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May23

Top priorities: Improve your marketing, business development

Guest post by Lauren Prosser, Director of ProfitCents Professional Services, Sageworks Previously, I described how a recent survey of CPA firms by Sageworks’ ProfitCents Professional Services identified marketing and business development as among the most important management issues facing these establishments. CPA firms ranked these two areas of focus higher in importance than either pricing, compensation of firm members or client service plans.  Developing new business and marketing your firm effectively go hand in hand. But before you can market your firm effectively in order to develop new business, it’s critical to answer these questions: 1. What truly sets you apart from your competitors? To answer this, consider what makes your firm an indispensable part of the client's success. 2. Who is your target audience and why? To answer this, consider this group's needs and motivators. What skill sets, expertise and resources at the firm position you uniquely to serve those needs? Unfortunately, many firms don’t really have a clear idea of what separates them from competitors. In fact, if you answered the first question by saying “A solid reputation within my community,” you’re not alone. A recent Accounting Pulse poll by online accounting community iShade received that answer from every single respondent when it asked, “What makes your firm different from competitors?” Clearly, your point of differentiation cannot be the same as all of your competitors, so give some thought to the answer. You must be able to tell a personal and relevant story that illustrates why your firm is truly and uniquely positioned to serve the needs of prospective clients. Answering the questions about your target audience, its needs and how they match up with the skill sets and resources in your firm may help you more cogently identify your differentiators. Marketing and business development efforts that will lay a foundation for deliberate, intentional growth must successfully communicate points of differentiation based on your firm’s ability to go beyond the delivery of information (a commodity) to the delivery of solutions and ideas. Clients assume that any firm they are considering will have the requisite technical skills and data-based deliverables. As a result, in order to move beyond price-related competition in the proposal phase of business development, you must find a way to illustrate to the prospective client that your service offerings go beyond just providing information.   Clarifying what sets your firm apart from competitors is also helpful for establishing annual growth goals. Most firms struggle with identifying growth goals that are meaningful, future-oriented and aligned with the firm’s strategic direction. Consider what research is conducted on your existing markets to ensure you have a realistic outlook for growth potential. At the same time, examine what processes are in place that will provide a constant focus on identifying new markets.  Improving your close rate can be a big boost toward achieving your growth goals, so examining close-rate dynamics is useful. Most firms have a 40 percent or lower close rate. What is your firm’s current close rate, and given that, what percentage of your firm’s revenue must continuously be in your pipeline to achieve your targeted growth goals? Now that you know this, consider what obstacles besides pricing stand in the way of achieving a higher close rate. What resources, training, coaching, etc. have you put in place to conquer these obstacles? Marketing and business development are clearly management issues that are priorities for CPA firms. Identifying what differentiates you firm, establishing annual growth goals and taking steps to improve your close rate are just a few ways to improve these aspects of your practice. For more ideas, contact ProfitCents Professional Services, a team of specialized Sageworks consultants providing partner coaching, small-group coaching and firm strategy construction services to accounting professionals throughout North America. 

May14

Preparing financial presentations for board meetings, shareholders

Board meeting presentations can cause a CFO or business owner headaches, both in the preparation and in the actual presentation. For the financial portion of the presentation, knowing what to include can be a big source of frustration: too much financial detail can be overwhelming or completely uninteresting to board members while too little financial detail could be a missed opportunity for advice from experienced board members.

If you are tasked with leading the financial discussion of a board meeting (or even a shareholders meeting), here are some recommendations that will increase efficacy and reduce preparation time. [More]

May10

What are your firm’s priorities?

If your CPA firm is like most, its biggest assets are the staff and clients. Knowing more about these assets and gaining greater and more timely insights into the roles they play in the firm’s success will enable you to better manage your firm. But it will also allow you to develop and execute meaningful strategies for making the most of your firm’s assets so that you can exceed expectations of your clients and your partners. [More]

Apr21

Business owner? Get more from your bookkeeping software, QuickBooks®

Given all the other demands on business owners’ time, financial analysis or a thorough review of the company’s financial situation is usually under-prioritized. Businesses that use QuickBooks® or other common bookkeeping systems* can leverage the centralized and up-to-date data they have in the system to get more immediate and in-depth insights into their company. [More]

Jun06

12 Ways to Get a Mid-Year Boost

Believe it or not, we’re nearing the halfway point of 2012. If you’re holding a mid-year partner retreat or starting to update your strategic plans, now’s a good time to step back and evaluate the best way to take a step forward. Below are 12 key things you can do during the back half of 2012 to position your firm for success in 2013 and beyond. [More]

Aug18

5 Ways Business Intelligence Transforms Your Company by Amanda Harley, MBA--Part 3

Did the profit contribution analysis show a 25% concentration of profits in one SKU, product category, supplier, or customer? Perhaps your #1 customer’s profit contribution to the entire organization was greater than 25%? So what does that mean in terms of risk? [More]

Aug03

NYT: "A Few Accounting Essentials Can Spell Survival"

Brian Hamilton; a Sageworks user, Bart Justice of Secure Destruction; and others provide some insight on how the owners of small businesses can really benefit when they give some attention to their finances. [More]

Jul18

Free Service for ProfitCents Clients

Sageworks has recently released a new and complimentary service for accounting firms: the Sageworks Pricing and Compensation Survey. Anyone who contributes their firm’s data will have free access to the aggregate data. [More]

Jul12

5 Ways Business Intelligence Transforms Your Company by Amanda Harley, MBA

Over the next few weeks, we will be counting down 5 of the ways I believe Business Intelligence transforms your company. I describe Business Intelligence as taking your company’s data and turning it into meaningful knowledge that you can immediately apply to transform your business. [More]

Jun28

Free Service for ProfitCents Clients

Sageworks, the maker of ProfitCents, has recently released a new and complimentary service for accounting firms: the Sageworks Pricing and Compensation Survey. Anyone who contributes their firm’s data will have free access to the aggregate data. [More]