Start with Sound Firm Governance, Economics

Hand drawing a rainbow-colored 33 critical components of success.

By Domenick J. Esposito
8 Steps to Great

“Growth is never by mere chance; it is the result of forces working together.”

James Cash Penney
Founder, JCPenney

Your firm is a business and the vehicle for generating wealth for you and your partners. You need to operate it with strict governance processes, a system of accountability and a firm economic foundation.

MORE ON STRATEGIC PLANNING: How to Develop Tactics for Your Strategic Plan | Taking a Balanced Scorecard to Your Partners | As Tax Season Ends, Strategic Planning Seasons Begins | The Big Eight: Harsh Realities for Firms Today | Seizing the $10 Trillion Opportunity | Learning to ‘Run with the Big Dogs’

Balance sheets, usually funded by partner capital and a line of credit for seasonal working capital needs, need to be strong to protect your CPA firm from the loss of a senior partner, loss of a marquee client or just an overall poor economy that results in tepid growth for clients and therefore a reduced appetite for professional services.