Lucky 13: Tips for Can’t-Miss Client Acceptance

Having no policy is like bowling with a blindfold.

More CPA firms are adopting client acceptance policies and sticking to them, according to Jeff Stimpson in this month’s Practical Accountant.

Here are some of his best tips for selecting clients:

  1. Stick to the plan. You may need to revise it over time, but don’t adopt it and ignore it.
  2. Formalize the process.
  3. Make the paperwork and the process as simple and consistent as possible.
  4. Increase due-diligence with background checks, Google searches, and additional evaluations for prospects that present a higher risk level.
  5. Know what you do well, and only chase the work you are good at. Make sure the client wants to buy your services and that you aren’t selling them something they don’t need.
  6. Make sure the client can afford what they are hiring you to do.
  7. Don’t let a big prospective client with big fees override the process. Make sure that you still go through and ask all the questions and follow the criteria that have been set up to select a client.
  8. Establish a client-acceptance committee with very senior members of the firm.
  9. Make sure to include your credit person on the committee.
  10. Utilize a third party to perform background checks.
  11. Decide whether the firm is completely committed to this effort. This can’t be done part-time.
  12. Determine what are your true strengths as a firm, which segues into the next step of determining what type of clients align with those strengths. These are who you want to work with.
  13. Create a client acceptance process that’s easy to understand and administer, and can provide periodic feedback to firm stakeholders that help reinforce its continued viability and benefit.
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Posted at October 5, 2008
Filed Under BSG [CPA TRENDLINES] | Leave a Comment

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