CPA Trendlines

‘Unprecedented Demand’ for Accounting Grads

CPA firm hiring tops 40,000 for first time ever.

by Rick Telberg

Bolstering reports of a suddenly surging profession with a high demand for top talent, a new survey of colleges and firms by the AICPA shows that CPA firms are hiring a record number of graduates.

At the same time, the pipeline of accounting students is bulging, suggesting to some that the continuing high demand for new recruits can be met by newly minted graduates for the next few years.

This will come as good news to firms facing growing new-business opportunities, tougher competition and a growing need for entry-level staff.

It does not, however, help alleviate the catastrophic stall in growth dating back to the 1990′s with the spread of the so-called 150-hour rule that has left the profession with a gaping hole in its succession and business continuity strategies. The profession, already facing a succession crisis due to the aging-out of the Baby Boomers, now finds itself with a dearth of 40- and 50-something senior managers and junior partners to take over management and control – a fact that a record supply of new graduates won’t correct for 10 or 20 years, if ever.

The good news for hiring: Pipeline fills with huge supply of talent.

The report shows:

READ MORE →

Proactive Ways to Get More Referrals

By Sandi Smith Leyva, CPA
Accountant’s Accelerator

There are many great things about getting referrals.  First, referrals have a built-in trust that helps you move through the sales process faster.  Second, there’s almost no marketing cost involved.  Third, they tend to make a better long-term client.

Unfortunately, many business owners take a reactive approach to referrals, waiting until they come to them, rather than a more profitable approach, which is to proactively maximize referrals. Here are five proactive ways to boost referrals: READ MORE →

12 Best Practices for a CPA Firm Compensation Committee

With more firms adopting a compensation committee system to sort out a partnership’s touchiest issues, Marc Rosenberg provides a 12-item checklist of best practices.

The list covers how to frame the committee’s mandate (“full reign”) to how its decisions should be treated (“No appeals. No approval needed.”). READ MORE →

Being Social in the New World of Social Media

Talking To Prospects When Prospects Can Talk Back.

By Bruce W. Marcus
Professional Services Marketing 3.0

There are four things to know about what we now call the social media.

First, it’s media – a means of communication, a medium, not of itself a magic carpet. Which means that its value lies in its ability to convey ideas and facts to a vast world of viewers. Which means, as well, that we’re back to the old computer nostrum of “Garbage in-Garbage out.” Or to paraphrase another (if contrarian) view, it’s not the medium, it’s the message. READ MORE →

Three Trends That Will Transform Your Tax Practice or Eliminate It

“Worst tax season ever.”  “The death of the 1040 practice.”  “I’m retiring.” 

By Frank Stitely

Since the end of tax season, CPAs voiced apocalyptic concerns.   You can blame this latest meat grinder of a tax season on Congress, competition from Turbotax, and the IRS.

Or you can recognize that three trends are converging that will either transform your practice or eliminate it. READ MORE →

Back to the Future: Staff Shortages Re-Emerge as Top Worry for CPA Firms

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A sign of economic recovery and increased competition.

Bringing in new business and finding top-notch staffers to handle anticipated growth are emerging as the new, most pressing challenges for CPA firms today.

With a rebounding economy, the AICPA says in its new PCPS “Top Issues Survey” that client retention, which had been a significant concern for firms in the 2009 survey, has been overtaken by a tilt toward growth issues.

“Finding qualified staff” was a top issue from 1997 to 2007 for all but the smallest firms, but disappeared entirely from Top 5 lists in 2009. Now it’s back.

READ MORE →

Accounting Staffers Show New Signs of Job Restlessness

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Some 37 percent of finance and accounting workers say they are likely to look for a new job in the next 12 months, an increase from 33 percent last quarter.

Fifty-three percent say they are not likely to job search, falling five percentage points from the previous quarter.

Confidence among U.S. finance and accounting workers decreased 2.4 points to 53.4 in the first quarter of 2013 after rebounding in the last quarter of 2012. READ MORE →

It’s Complicated: Billing a Friend

Rick Telberg

In this week’s edition of Research Update, Ed Mendlowitz takes on “How Not to Bill a Client Who Is Also a Friend” with some tough love. CPA Trendlines PRO member Katrina Geety adds an additional practical strategy in Comments.

Also in Comments, Drew West adds a tech twist to last week’s “10 Basic Ways to Boost Profits.” And Savannah, Ga., CPA Cooper Glenn adds his voice to the chorus about The Worst Tax Season Ever.

 – Rick Telberg
President / CEO

P.S.: Registration is now open for the 2013 SevenKeys to Successful CPA Firm Management webinar series. The first one is June 27 and features practical tips for online lead generation. (As always, we guarantee you’ll be satisfied with the value, or your money back.)

The Managing Partner’s Secret Weapon in Change Management

August Aquila

by August Aquila
Author of “Leadership At Its Strongest”
and “How to Engage Partners in the Firm’s Future“

Research shows that managing partners and marketing directors are still facing some major challenges when it comes to getting their firms to implement change. Why?

Here are four key issues firm leaders today face.

1. Getting partners to buy in.
2. Creating a firm vision that gets all partners on the same page.
3. Helping develop a culture of accountability.
4. Being asked to accomplish too many goals.

When the managing partner and the chief marketing officer work together they have a better chance of being successful in these areas. You may ask what do these four factors have to do with the marketing director? And I would answer – everything.

Overcoming these four issues will make the firm more competitive, efficient and profitable. Here’s how the best managing partners work with their marketing directors: READ MORE →