You know change is coming, but do you know how to prepare? In a recent article for Insightful Accountant, Darren Root discusses the changes occurring in the accounting profession right now, and how modern firms can navigate the new landscape. Root has been a CPA and firm owner for more than 30 years. He is also the co-founder/CEO of Rootworks, which has helped hundreds of firms achieve sustainable business growth. Here’s his advice for modern firms.
Shifting business models
Modern firms will rely less on transaction/compliance work, with more revenue coming from higher-value advisory services. Root writes, “Advisory services constitute any expert advice or guidance provided to clients, such as entity selection, salary structure, tax planning, KPI analysis and succession planning—to name only a few.” Making the transition to advisory services is a key step in modernizing a firm’s business model.
Identify and define your product
One major shift firms can make is to start thinking of their services as products. According to Root, “Defined products support a fixed-fee model—and affixing a set price or value to a defined product is more easily understood by clients.” He says consumers, accustomed to “an amazon world,” prefer full transparency into exactly what they are buying and how much it will cost. He recommends thats firms create more “off the shelf” products, supported by a sales kit and other materials.
Start building your modern firm
The Rootworks Modern Firm Partner Forums help firms understand and strategize the transformation they need to undergo. This day-and-a-half live event was developed specifically for firm owners looking to transition away from outdated practices and build a profitable, agile and sustainable business. The Modern Firm Partner Forum offers true-to-firm-life content and proven, tested strategies. Below are the 2019 dates and locations for you to choose from:
- May 13-15, 2019: Ft. Lauderdale, FL
- June 19-21, 2019: Chicago, IL
- July 10-12, 2019: Boston, MA
- July 31 – August 2, 2019: San Diego, CA
- September 18-20, 2019: Dallas, TX
This is a perfect opportunity for you to meet, network and learn along with like-sized firms that are facing many of the same challenges as you. Learn more about the Modern Firm Partner Forums by visiting the web site and reviewing the agenda, speaker panel, and details on locations.