Public accounting is highly respected. The profession has worked for decades to garner and maintain its “trusted partner” reputation. For generations the services offered by CPA firms have been remarkably similar. This has meant that the people choosing to enter the profession have had a clear understanding of what they would do for their jobs and what would be expected of them…Times have changed.
We love CPAs and CPA firms… So why do we think you should consider putting Advisory ahead of your CPA messaging?
1. The CPA profession’s reputation is limiting for modern firms’ suite of services
When you tell someone you’re a CPA, what’s the first thing that pops into their mind? Taxes. Give them another moment and they might come up with audits or IRS representation. People who work in financial roles will likely know more and say bookkeeping and business valuations. For modern firms offering a suite of advisory services performed by professionals with a range of credentials, that’s far too limiting a reputation. So, is it time to push “Advisory” forward and let CPA be the strong reinforcement when that skillset is applicable?
The idea of putting Advisory first is not out with the old, in with the new. As an Advisory firm with strong roots as a CPA firm, you will stand apart from other business advisory firms. When you go to market, you will surely lean on strong analytical skills and a deep understanding of financial data, combined with exceptional regulatory knowledge and ethical standards. Clients already call you to help solve problems. Now you can officially make operations, profitability and growth advisory part of your advisory service lineup.
Taking CPA out of your firm name doesn’t mean getting rid of CPAs, or that there isn’t value to the profession’s brand. If your firm is growing and wants to stay competitive, CPA simply may not be descriptive enough to represent the full array of what you do.
2. Modernize your billing practices with packages and value pricing
Advisory services foster closer, more strategic relationships with clients with a structured engagement that feels good to the client and to your team members. Since advisory services likely command higher fees, this is a good opportunity to create standardized packages with value based billing practices. Clients will appreciate having options and transparent pricing and your team will appreciate knowing what’s in scope and out of scope.
Saying yes to ideal clients and politely referring out others makes space for you to really focus on satisfying and profitable work. This will also strengthen your brand as you become the go-to for your unique offerings and areas of focus.
3. Advisory professionals don’t feel represented by the firm’s CPA name
Most firms are still getting the bulk of their revenue from compliance services. But the area of greatest opportunity for firms is in advisory. This means that, increasingly, your new hires may not be CPAs (which is a good thing since we all know how hard it is to hire accountants!)
Firms of all sizes are adding services from wealth management to payroll, insurance, estate planning and even IT. So, does it still make sense to label these organizations as “CPA firms”? In our two most recent market research brand studies for firms, we heard strong sentiments from professionals involved with advisory services that the firm’s CPA-forward brand feels like it doesn’t represent what they do and that this feels negative to them.
One important decision to make will be how your firm plans to add advisory services. Will you expand through mergers, creating new departments and hiring new employees, outsourcing, or perhaps a combination of these strategies? No matter how you decide to move forward, the people considering leaving their current employer for your firm will need to feel supported and aligned with your brand as they hitch their personal brands to yours. A CPA-forward brand may not be how they see themselves, creating a disconnect for them from the beginning.
4. Business owners and CFOs may not think of a CPA firm to provide advisory services
Every firm I’ve ever worked with has had *at least* one story of a client hiring another company to provide a service they offer. As your firm expands its service offerings to include services further and further from what the traditional “CPA” reputation allows for, you will likely find this increases. An “advisory” firm, however, is given more latitude for consideration of what it offers, so perhaps your clients will think to ask you for help before going to another source.
Your clients already ask you to help them make their most important business decisions, and increasingly, business owners want one place to turn to when it comes to addressing their needs. This means that your team members need to learn to proactively identify challenges and opportunities and to collaborate across departments in new ways. This will mean that the clients will get needed services before they have to ask.
5. Your employees want more career opportunities
In conversations we’re having with professionals, many are eager to expand their roles as new advisory services are added within the firm. It’s important to consider potential learning opportunities for current team members and how their roles will evolve and become more robust. Additionally, if an employee discovers their love of an advisory service, devise ways to transition them into a new group rather than lose them to a competitor.
Invest in professional development beyond technical training in advisory services and include soft skills such as strategic thinking, communication, and client relationship management. A commitment to ongoing education ensures that the team remains at the forefront of industry trends and best practices. It will also build confidence and excitement. No one wants to feel like a change is happening to them, or that the profession they chose at the beginning of their career is no longer valued. Your team members also have individual relationships with clients, so be sure to include them when you’re developing your service packages. Showing that their knowledge and experience shouldn’t be given away for free will also demonstrate their importance as advisors.
In Conclusion
Transforming from a traditional CPA firm to a forward-thinking advisory firm is not merely a change in services offered but a significant shift in mindset and operational strategy. The transition from CPA firm to advisory is about more than expanding services; it's about embracing a new identity that reflects the full breadth of your firm's capabilities and the depth of your commitment to clients' success. By leading your team through this change with enthusiasm, compassion and curiosity, you will help your team feel included and valued as the firm expands. By embracing change, firms can position themselves as indispensable partners in their clients' success, going beyond compliance to play a crucial role in shaping their future. Thinking about making this change? Let’s talk.
