Accountants know how to crunch the numbers, but do they know how to grow their business?
Over 30 million small businesses in the USA depend on accounting professionals. Servicing these companies generates around $100 billion per year in revenue for the accounting industry, but accounting for individuals is nothing to sniff at either. With 150 million individual income taxpayers in the country, revenue generated by the accountants serving individual clients is upwards of $50 billion annually.
But how can a lone startup accounting firm make their way in this multi-billion dollar industry?
While it’s easy to launch an accounting business if you have the right skills and experience, growing that business is another matter entirely. What often starts as a one-man show must quickly expand to serve a wider client base if they want to grow their bottom line.
Six Tips to Help You Grow Your Accounting Business
Acquiring and maintaining resources and service capacity is tough. To help you with this, we’ve put together a few tips to help you build and grow your up-and-coming accounting firm.
1. Cultivate Relationships
One of the most important parts of running a successful business is knowing how to maintain your client base. Build close relationships with your clientele. Show them that you are inquisitive, savvy, knowledgeable, and loyal. Treat them well while they’re with you, but understand that they may not stay forever, and that’s alright.
2. Diversify the Portfolio
Having a broad range of clientele, like having a mix of investments, means that you are equipped to handle any situation or any market conditions. In other words – don’t put all your eggs in one basket. If that one main client fails, folds, or sells at any point, you stand to lose everything. Diversification is good for business continuity and will serve you well in the long run.
3. Embrace Technology
Technology is a kingmaker for modern business. But you need to know you’re using the right tools. Select your apps carefully; don’t use too many, and don’t change them too often, as this can become confusing for and inefficient. Docuport Software’s streamlined workflow and data management features are excellent assets for accounting firms of any size.
4. Review the Process
Efficient processes will create a stable foundation for your business. Make sure you have proper procedures in place before increasing your resources, including people and technology.
5. Culturally Aware
Management mogul Peter Drucker says, “Culture eats strategy for breakfast.” If you have a negative workplace culture, your business will rot from the roots. Be sure to question and improve company culture, starting from the top down.
6. Outsource Efficiently
Don’t be afraid to outsource. This practice is used by some of the world’s biggest corporations, and many attribute it to their success. If you’re focused on one area of practice, get your clients to sign up with other services that you can outsource. For example, if you do tax preparation only, outsource bookkeeping and payroll to provide a complete suite of services.
The bottom line is this: no company can grow alone. You need the right assets to get the job done. With the right team and tools, your business will grow, clients will prosper, and you’ll always have the resources you need to succeed. Sign up today, and let’s get started!