Making Rain in a Tough Economic Climate
Source: Partner Insights
The following includes excerpts, reproduced with permission, from an article by August Aquila.
In the June 6 - June 12, 2011, issue of Bloomberg Businessweek, the article “The U.S. Economy's ‘You First' Problem” highlights why the economy is driving what firms can or cannot do. The fact is there has been almost no job market improvement over the last few years. Since the majority of firms depend on the small business sector to create new ventures, there is no growth here and hence no opportunities for new clients. Given this scenario, there are very few new opportunities for CPA firms to acquire new clients. Hence, CPA firms have to embrace these three strategies:
- Growth through acquisition/merger. If you are going to grow in your market, you will need to take clients from your competition. The easiest way to do this is to acquire the competition.
- Improve client retention. Now is the time to explore your client service experience. How loyal and satisfied are your clients? What does your client excellence experience feel and look like? How can you make sure that your best clients receive your best service?
- Bring in new clients. Accountants have enjoyed many years of not having to really work hard at bringing in new clients. The well is now dry. Why should a client want to work with you? Developing a niche or becoming a famous person takes a long time. That does not mean that you should not start building your personal brand now.
Finally, I believe that those in the firm who help the firm achieve their goals should be rewarded more than those who do not.
For the complete article, read “Gaining New Clients in Today's Economic Environment.”
From Partner Insights, Aquila Global Advisors, LLC, December 2011, http://www.aquilaadvisors.com.