CPA Firms Shouldn't Ignore "Wealthcare"

Source: CPA Trendlines

The following includes excerpts, reproduced with permission, of a blog entry by Rick Telberg.

Is the accounting profession headed for the ash heap of history? No, not if it can outgrow rudimentary compliance services and seize new opportunities in personal financial planning, says Tony Batman, chairman and CEO of 1st Global, which provides investment management capabilities to CPA firms. The profession needs to innovate, adopt new lines of business, develop new offerings, and create new delivery systems. And, to be sure, the industry shows signs of change – niche marketing, specialty services, and adding broader capabilities, in a general, if painfully slow, evolution beyond commoditized compliance services.

Batman says the easiest first step for most CPA firms is wealthcare. “CPA firms are positioned,” he says, “to be the dominant providers of comprehensive wealthcare in America.” Batman sees CPA opportunity in “defeated Wall Street and insurance industry brands” and demanding clients who “do not trust anybody else.”

With Batman's calculations, CPA firms have yet another reason to consider financial planning services: “the potential for substantial revenue and profit growth over the next five years.”

For the complete article, read “Is the Accounting Profession Headed for the Ash Heap of History?”

From CPA Trendlines, cpatrendlines.com, August 10, 2011.