Source: Insight, The Magazine of the Illinois CPA Society

About half of all accounting firms offer financial services, and nearly 90 percent of CPAs believe financial services will be more important in the next three to five years, according to recent surveys.

Here is how the most successful firms in financial services embrace the niche:

• They offer a wide range of services and products because clients want one provider. Firms are offering retirement planning, investment services, insurance, estate planning, and business succession assistance.
• They market their services primarily to existing clients.
• They delineate certain groups to serve, such as retirees, professionals, owners of closely held businesses, and corporate executives.
• A significant majority of firms surveyed use outside organizations to provide financial services. They generate twice as much revenue as internal departments. This increases the diversity of services and products. It allows firm professionals to focus on what they do best. While there is a risk that outside financial service advisors will be too aggressive and alienate clients, firms can protect themselves by being selective in their choice of outside firms. For more on the selection process, click on the following link: http://www.insight-mag.com/insight/06/03-04/col-3-pt-1-TakeStock.asp.

From Insight, The Magazine of the Illinois CPA Society, March/April 2006. For the complete article, click on the following link: http://www.insight-mag.com/insight/06/03-04/col-6-pt-1-MoneysWorth.asp.