CPA Firms Expect to Grow This Year

Source: Accounting Office Management & Administration Report

IOMA’s CPA Firm Strategic Outlook Survey reports that 52 percent of firms expect growth of up to 10 percent, and 31 percent growth of over 10 percent and up to 20 percent.

Growth strategies include (in order of significance):

• Selling more services to existing clients.
• Assessing higher fees.
• Doing more marketing.
• Mergers.

There is some question about the continuation of Sarbanes-Oxley work, and anxiety about staff shortages and the economy. These factors may suggest firms are too optimistic.

Firms with revenues under $2 million are predicting as much growth as larger firms. And firms with one to five people are also expecting strong growth—nearly 43 percent expect growth of 11 percent to 20 percent.

From Accounting Office Management & Administration Report, March 2007, p. 1. For subscription information contact Institute of Management & Administration, Inc., 3 Park Avenue, 30th Floor, New York, NY 10016-5902. One-year subscription $399. 212-244-0360, [email protected]. For the complete article click here.