CPA Trendlines

Creator of “Up Your Cash Flow” Goes Online

Harvey A. Goldstein, who invented Up Your Cash Flow and remains longtime managing partner of Singer Lewak CPAs in Los Angeles, is birthing a new brainchild: instant cash-flow forecasts for small business.

It goes by the unfortunate name GoHagIt, which seems to be based on Harvey’s initials. But otherwise it’s a bold and interesting way to handle small-business clients.

“Our process is simple and painless,” Goldstein continues. “Send us your current company’s financial statement, or budget. We’ll convert it to forecasted balance sheets and a cash flow forecast of the company’s future cash requirements. We’ll spend time with management, via telephone, gathering data, refining the forecast and discuss steps to consider to improve their economic conditions. ‘No surprises’ accounting!”

And he’s taking aim at every competing CPA in the business.

“Most accountants spend time telling their entrepreneurial clients what happened rather than what is going to happen. They’re historians,” Goldstein laments. “These are the services your CPA should provide but doesn’t.”

Auditors Beware: Parmalat Suit Against Deloitte Gets Green Light

“Shock waves.”

Stuart Grant of Grant & Eisenhofer tells Andrew Longstreth at American Lawyer that the Manhattan federal district court ruling to allow a Parmalat shareholder case to move forward against Deloitte & Touche LLP is “sending shock waves throughout the auditor community.”

Granted, he represents Parmalat shareholders, but we get his point. We’re sure that Pricewaterhouse Coopers, whose India affiliate audited Satyam’s books, does too.

Critically, Judge Kaplan ruled that the two Deloitte entities (DTT and D&T) could be held vicariously liable for the actions of Deloitte & Touche SpA, which served as Parmalat’s auditor in Italy before a major accounting scandal forced the dairy giant into bankruptcy in 2003. The two entities filed separate summary judgment motions. Deloitte & Touche Tohmatsu argued that it did not have control over Deloitte Italy, and Deloitte & Touche LLP, the accounting giant’s U.S. operation, claimed that it did not control Deloitte & Touche Tohmatsu. Judge Kaplan disagreed with DTT’s argument and ruled that the question of Deloitte & Touche’s control would have to be decided at trial.

“In essence, Judge Kaplan has said that the parent can’t hide from the misdeeds of its children,” said Grant.

FREE DOWNLOAD: Get the judge’s decision (PDF, 30 pages)

via AmLaw

Rose-Colored Glasses? Small Biz Owners Remain Optimistic

Nearly 9 out of 10 small business owners see opportunities.

And 60% still expect their business to grow in the coming year. Despite the fact that most of them said they’re coming off a flat to down 2008.

FREE DOWNLOAD: Intuit Small Business United Survey (PDF)

Davos Told: “Move out of this crisis.”

Welcome Address by Klaus Schwab, Founder and Executive Chairman, World Economic Forum.

“People have labelled this crisis as the worst ever and in many other catastrophic terms. Here we do not want to hear about such statements again, even if they are true. We want to concentrate on how we can move out of this crisis and how we can shape the post-crisis world in a constructive manner…

What the world needs most today is integration and cooperation. We will never meet the challenges if we want to do it all alone. The purpose of the World Economic Forum is not to take decisions but to act as a force for reflection and connection, connecting ideas, proposals, stakeholders, countries and cultures.”

FREE DOWNLOAD: OpeningSpeech_KlausSchwab.pdf.

10 Tips for Successful Seminar Selling

Closing deals by hosting seminars.

Jean Caragher offers these key tips for successful seminar marketing from Chris Perrino, Principal, Business Development, Barnes Dennig & Co.:

1. Entertaining speakers outscore those with better content.
2. Send a “Save the Date” 6-8 weeks prior.
3. Send weekly e-mail reminders starting one month prior.
4. Expect 20% to 30% no shows.
5. Consider holding seminars at not-for-profit client locations, e.g., museum.
6. Do not hold seminars on Mondays or Fridays.
7. Barnes Dennig’s contractor seminars are hold at lunchtime, all others at breakfast.
8. Consider co-sponsoring your seminar with a law firm or bank. Barnes Dennig hosts four seminars featuring
   “celebrity” speakers that are co-sponsored.
9. Invite clients to have lunch with the celebrity speaker after the seminar.
10. Follow up consistently.

via Capstone Marketing

Mergis Launches TARP Team

Targeting employers affected by financial crisis.

In response to increased demand in the wake of recent government bailout provisions, The Mergis Group, a leading specialty professional placement firm, has created a TARP and Government Bailout Talent Delivery Team to manage and deliver companies’ recruiting and staffing needs related to the U.S. government’s Troubled Assets Relief Program (TARP) and government stimulus programs.

More here…

Top 10 New Challenges in Accounting and Auditing

It’s only January, but 2009 looks to be a year of significant change for accounting and auditing practitioners.

Here are just a few of the “the trends and events disrupting the status quo in public accounting,” according to Jim Reeves, senior vice president of product development at Thomson Tax & Accounting Research & Guidance Group, blogging here.

1. FASB Codification beginning July 1, 2009, which will change the way accounting standards are issued, researched, communicated, and referenced;
2. A spotlight on accounting standards as a component of the financial regulatory system that will be substantially overhauled, with “better enforcement, better oversight, better disclosure, and increased transparency,” according to President Obama;
3. The uncertaintly surrounding the SEC’s proposed roadmap for transitioning U.S. pubic companies to IFRS created by new SEC Chair Mary Schapiro; READ MORE →