by ed mendlowitz
“tax season opportunity guide“
question: a former client owes me a lot of money and will not pay or even discuss a settlement. i want to sue him. what can you tell me about this?
response: i don’t know the details so cannot address your specific situation. however, i have some comments about suing that i would like to share with you. read more →
by ed mendlowitz
“tax season opportunity guide“
question: i have many clients who always expect me to do extra work as part of our fixed fee agreement. how can i get paid extra for work beyond the scope of our agreement?
response: this is a recurring theme, and one that has many answers. one approach: don’t take on the extra work.
here is another approach. read more →
executive summary
by rick telberg
cpa trendlines
most tax practitioners across the nation are preparing for the 2014 busy season with the hoping it can’t possibly be as bad as last year’s “worst tax season ever,” according to exclusive 卡塔尔世界杯常规比赛时间 polling.
about 61% of accountants today expect at least a “somewhat” or even “much” better season this year, according to the 卡塔尔世界杯常规比赛时间 busy season barometer, a tracking poll now approaching its 11th year. some 26% expect no change from last year, and 13% are bracing for “somewhat worse” or “much worse.”
in the 卡塔尔世界杯常规比赛时间 special report, responses and comments from more than 400 practitioners surveyed have been tabulated and analyzed. key findings:
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rates drop by $4 an hour for basic accounting services.
by 卡塔尔世界杯常规比赛时间 staff
a new survey of mostly solo and small-firm tax and accounting practitioners shows average rates and fees for standard accounting and bookkeeping services tasks are tracking downward. read more →
any billing method that relies on client ignorance is certain to fail.
by frank stitely, cpa
stitely & karstetter, pllc
value billing advocates exhort us to bill based on the benefit a client receives, but that’s just the demand side of the economic equation. competition is the supply side. here’s a little fable based on ed mendlowitz’s “value pricing: a lesson in applying judgment,” where a cpa asks for billing advice and then bills a client $7,000 for three hours’ work.
“great day, al. have you ever shot an 80 before?”
“no, jay. this is my first. this round of drinks is on me.”
jay continued, “you’ve had quite a week. first, you got your line of credit. now the best golf round of your life.”
al had just finished a round of golf with his banker, jay; a neighbor, john; and john’s cpa, greg.
“jay, i am blessed with having great friends and advisors. you did a marvelous job. but, i should give some credit to my cpa, frank. he put the entire package together for seven grand. that seems like a great price.”
al saw the puzzled look in greg’s eyes. read more →
by sandi smith leyva, cpa
accountant’s accelerator
i hear more accountants grumbling every day about how price-sensitive their prospects and clients have gotten. and they are right, to a degree. the economy has caused even the rich to count their pennies, and the percentage of people who look at a price tag before they buy has increased over the last five years.
yet studies show that roughly 54% of buyers are not price-sensitive, and i would be willing to bet even more are selectively price-impervious depending on what they buy: women’s shoes, men’s cars, personal services, jewelry, vacations, cosmetics, and hair, to name a few exceptions.
so why are so many accounting clients and prospects price-sensitive? read more →
how to focus on value first.
by sandi smith leyva, cpa
accountant’s accelerator
how do you talk to a prospect or client about your fee?
some of the answers i have heard are:
most accountants spill the beans about their rates way too early in a conversation with a future client. so when should you talk rates?
the best answer is: read more →
ed mendlowitz, cpa, abv, pfs author of “implementing fee increases“ question: i helped a client get a bank loan, negotiated the rate and fees with the bank and had a tight covenant loosened. i prepared a personal financial statement, prepared … continued
…as accounting firms redefine value. by bruce w. marcus professional services marketing 3.0 today’s modern accounting firm — and there are more of them than we think, and fewer of them than we’d like to think – is still evolving. … continued
even if the first one gets away.
by ed mendlowitz, cpa, abv, pfs
author of implementing fee increases;
the 30:30 training method; and tax season opportunity guide.
question: i just heard from a client we hadn’t heard from in seven or eight years and he says he has an “emergency.”
here’s the story: he had started a business eight years ago and he used us for a couple of years until some big money was raised and they switched to a big four firm. he also stopped using us for his personal return switching to the big four firm. then, just last week, he called us to ask for assistance in evaluating a multimillion-dollar termination package. he needed to meet with me right away since he did not want the offer to slip away. he then asked what the rates would be and could he have a discount since he was once a good client (he was – seven and eight years ago!). the asking for a discount left a bad taste in my mouth.
ed, how should i handle it? i feel like i could bill $2,000 to $3,000 and i want to do the work. is that the right price?
by sandi smith leyva, cpa
accountant’s accelerator
with labor day closing in, it’s a good time to take stock of where we stand for the year, plus re-group as needed before the 2014 busy season is upon us. with so many changes in software, politics, tax laws, and global standards, it’s pretty easy to feel a little disorganized.
more for soloists and small firms: the five essential skills accountants need today | the seven essential components of a simple marketing plan for accountants | take six big steps to go beyond compliance services | when your business needs to be rebooted | two steps to easy cross-sells | the hot new tech product for automated data entry | five value-add service areas to take you beyond bookkeeping | six money-making strategies to take you beyond quickbooks | proactive ways to get more referrals | the three biggest money leaks in your practice | new client opportunities with mobile apps | six questions to launch your summer strategy sessions | what most accountants miss in the five simple steps to get more clients | accountants, do you know your opportunity number? | five ideas to reduce client price-sensitivity | rise to the top with a fresh elevator speech | four ways to practice entrepreneurial perseverance | 5 mistakes to avoid when seeking new clients | the top 12 business card blunders accountants make | seven tips to keep the clients you have | how to attract clients like a magnet | eleven easy ways to deliver more value to clients
here are three steps to help us take stock of our foundational business goals, re-evaluate our big picture, and get us centered as we enter the next quarter. read more →
when to let the next accountant take the losses.
ed mendlowitz, cpa, abv, pfs
author of “implementing fee increases“
question: a client of 10 years was paying a fixed fee that was now a little less than half of our time charges. also, there had been a gradual scope creep with additional services being forced on us without any extra fees. the cpa had not received an increase in six years because of the client’s constant complaining that the fee was too high. the client just told us they had a quote from another firm that was half of ours, and said if we didn’t match it, they would leave us. what should we do? read more →
beat the billable hour by doing more than just taxes or quickbooks.
by sandi smith, cpa
accountant’s accelerator
as compliance services become more commoditized and automated, accountants are faced with how this affects their practice and their bottom line. they can:
those are pretty much the options available to keep profits from shrinking. but today i want to focus on the third point above, adding new services, and provide you with some ideas on how you may be able to serve your tax compliance clients in new ways.
more for soloists and small firms: when your business needs to be rebooted | two steps to easy cross-sells | the hot new tech product for automated data entry | five value-add service areas to take you beyond bookkeeping | six money-making strategies to take you beyond quickbooks | proactive ways to get more referrals | the three biggest money leaks in your practice | new client opportunities with mobile apps | six questions to launch your summer strategy sessions | what most accountants miss in the five simple steps to get more clients | accountants, do you know your opportunity number? | five ideas to reduce client price-sensitivity | rise to the top with a fresh elevator speech | four ways to practice entrepreneurial perseverance | 5 mistakes to avoid when seeking new clients | the top 12 business card blunders accountants make | seven tips to keep the clients you have | how to attract clients like a magnet | eleven easy ways to deliver more value to clients
even if you don’t do taxes, you will find some ideas for new related services you can think about offering to your clients. (remember, it’s easier to sell to existing clients than to acquire new ones.) read more →