It's not Just the Numbers

This is the third episode we've done on pricing and today we tackle how to pricing the value added services you provide. Take a listen to the previous episodes as they do build on each other. As we've said before we're not pricing experts, instead we've shared our insights from being in practice and working with firms to help them implement a practical pricing model. We've attempted to keep it simple and do talk about an hourly rate for the value add services - when you are thinking critically about your clients business. In fact we recommend building it into your back-end pricing model - factor in and calendarize this time to focus on where you can add value to your client's business.

Importantly this time isn't to come up with all the answers - instead this is the time come up with the questions to ask your clients when you meet. What's driving this trend? The report says this, what's the impact of that? Your labor costs are increasing...And it's ok to charge for this time by the hour - but make sure it's at your premium rate. From these sessions will come a bunch of value add work - be ready to book in the follow up meeting.

Let us know what you think this episode on pricing - and if you'd like to talk about your firm's pricing and updating it - get in touch with us on LinkedIn.

Penny Breslin - LinkedIn | @PennyB57

Damien Greathead - LinkedIn | @Damien_GH

It’s been said many time before - the riches are in the niches. However making the most of an industry vertical requires more than marketing. It’s actually the systems, process and the tools you use that will bring the riches. With the April 15 deadline looming, you may not have the space to be thinking strategically about your niches, but you might be able to start building that list of clients you like working with and the services you enjoy providing. Just doing this exercise will likely identify potential industry verticals to focus on once tax season is behind you.

As always get in touch if you’d like to talk through any of the topics we discuss on Strategy and the Virtual Controller.

Penny Breslin - LinkedIn | @PennyB57

Damien Greathead - LinkedIn | @Damien_GH

Often in the heat of tax season we overlook our own policies and procedures, including during the recruitment and onboarding process of new team members. And nine times out of ten, this is where problems first arise. We might speed up the recruitment process, we might put cultural fit to the side for the time being - just to get the capacity we need. And once they're in the firm, we want them to hit the ground running, so we'll likely race through the orientation and training process - I mean who has the time for this...

As you have no doubt experienced; stress, overtime and turnover are the likely end result. So before you head down this path, take a breath, listen to this episode again, and stick to your long term strategic plan. maybe even say no to that prospective new client.

How is your tax season going so far? Get in touch and let us know. If you'd like us to help with a tax season half-time workshop get in touch with us via LinkedIn.

Penny Breslin - LinkedIn | @PennyB57

Damien Greathead - LinkedIn | @Damien_GH

This is our second episode on pricing. If you missed the first episode, check out Pricing: Don't trash the time sheet...Yet.

This episode focuses on fixed pricing - where it makes sense in your firm, and how to go about creating a fixed price. Probably no surprises, but it does start with a time sheet. We cover off on cost accounting of accounting and bookkeeping with simple time motion studies and then simply applying an appropriate rate for the transaction, the team meetings, the client meetings and even the training required. It's relatively simple, but a great place to start. To be successful with fixed pricing, this cost accounting is critical. Equally important is the discovery process that takes place prior to quoting and so we spend some time discussing how to develop a robust discovery process. Fixed pricing can easily fail without this robust discovery, and you're set up to fail from the outset, so make sure you spend time on the front end getting to know as much as possible about the business - and don't worry you can realize that time in your pricing model.

As we've said, we're not experts in pricing, but we've made enough mistakes along the way, and have built confidence in the methodology, but we're always interested in your feedback. And if you'd like any consulting help on the pricing front, please get in touch.

Penny Breslin - LinkedIn | @PennyB57

Damien Greathead - LinkedIn | @Damien_GH

As is always the way, some 1099s are late, and tax season seems to be starting early...again. For all the change we have had over the last couple of years, some things never change. However we all have a different lens through which to look this year. The pandemic has changed the way we do business, it has changed our expectations - whether you're a client, an employer or an employee.

Some firms owners will think it's back to pre-pandemic tax seasons, but they're in for a nasty surprise. Employees not only know their value, but they also know they can work from anywhere, and they'll seek out those employers that have successfully leveraged technology to enable workplace that suits them, rather than the other way round.

Embrace the change that the pandemic has encouraged us to make, listen to your team, and your clients and you'll have one of your best tax seasons yet.

Feel free to get in touch if there's anything we can help you with in your firm.

Penny Breslin - LinkedIn | @PennyB57

Damien Greathead - LinkedIn | @Damien_GH

Pricing is difficult and by no means are we experts! We have made a lot of screw ups along the way however and we'd like you to learn from our collective mistakes. Pricing is part science, part art, and a bit of luck thrown in as well.

This is part one on pricing. Of how many episodes we don't quite know just yet. We decided to start with the billable hour and when it makes sense. Interestingly we both disagree with the trash the timesheet folks - we both believe timesheets play an important role in a firm as a productivity tool and a costing mechanism.

Time sheets can be a great place to start for your fixed pricing journey as it’s important to understand how long tasks should take to be completed with technology properly implemented.

Stay tuned for our next instalment on pricing.

Would love to hear your feedback ad comments on this topic.

Please get in touch if you’d like help with your pricing methodology via LinkedIn.

Penny Breslin - LinkedIn | @PennyB57

Damien Greathead - LinkedIn | @Damien_GH

Today's episode focuses on artificial intelligence (AI) in the accounting industry. Unfortunately software providers (and Damien's guilty of it early on) have over promised what AI can do. This episode isn't to bash AI, but rather help listeners understand where AI excels and with this understanding identify the tasks that are perfectly suited to it. The apps that leverage AI are an incredibly important part of an accountant/bookkeeper's toolkit, just be wary of it's limitations. And while AI is constantly improving, don't worry, it's not replacing you anytime soon. You will continue to play a critical role, just remember to continue to bring insights, ask probing questions and if nothing else check in on your clients more regularly.

If you'd like to learn how Penny and Damien can help your firm implement new technology and services, get in touch via LinkedIn.

Penny Breslin - LinkedIn | @PennyB57

Damien Greathead - LinkedIn | @Damien_GH

Enforcer might be too strong of a term to describe who your next hire should be, but one thing is for sure they shouldn’t be an accountant nor should they be trained to do bookkeeping.

One of the biggest limiting factors we see firms doing over and over again is thinking they need to hire more accountants and bookkeepers. Instead you should be hiring documenters, client relationship managers, and/or office administrators. It is this persons job to handle the non-billable activities in your firm such as scheduling, documenting processes, managing workflow, and organizing the intake of client documents. Their list of responsibilities can obviously grow, but their role ensures your accountants and bookkeepers, and probably yourself too, are able to focus on where they add the most value.

Check out Penny's blog post on the topic too.

PLease contact us via LinkedIn if there's anything we can do to help your firm in this area.

In this episode we respond to emails we received about firm owners struggling to keep good people despite the fact they “run good firms”. Many firms owners will lament the work ethic of young people these days, others will assume their staff will eventually steal their clients, so why bother training, but the problem isn’t with staff. Instead we challenge listeners to take a constructive look at their own firm - and is it a great place to come to work each day. What’s the employee experience like? Start at the front door and the front office and the front office? How’s the coffee? How’s the view? How’s the technology?

Leave no stone unturned.

And when it comes to technology a critical piece of both the employee experience and your firm’s management is your workflow. Workflow helps you manage the firm and track work and tasks which is imperative in our virtual work environments - even if you’re back in the office a good workflow is worth it’s weight in gold. They come at all price points, so there’s no excuse.

Get your employee experience right and many other aspects of your business will fall into place.

We’re here to help - reach out via LinkedIn if there’s anything we can do to help.

With tax season on the horizon we kick off this episode discussing how we communicate with clients. Owners and staff are quick to blame clients, for all their tax season troubles, but more often than not it's because we haven't set clear boundaries with our clients that tax season gets derailed. For the most part clients are very understanding - with good communication that manages their expectations you'll be a-ok.

So before you accept that new client (that you know is not a good fit) or before you introduce new technology to clients (and staff), take a few minutes to think through this. Could this new client or technology cause frustration and stress during an already stressful time of the year? If yes, then maybe push it to post April 15. You can always put that new client on extension - making sure you're up front about if of course! And you can push that shiny new app to the spring. And who knows you probably have that capability in one of the other apps you've already adopted.

The podcast is designed to help practitioners avoid short term distractions and focus on the long term. Tax season is full of short term distractions, and most of these can be avoided with good communication between you and your clients and you and your team.

We’re here to help in any way we can. Get in touch via LinkedIn.

Penny Breslin - LinkedIn | @PennyB57

Damien Greathead - LinkedIn | @Damien_GH