Accounting firms sometimes fail to pick up on what the client wants from them other then solely focusing on tax and compliance because if your core focus is on just those two things then you are jeopardizing more business and missing out on income as well. These days businesses want more out of their accounting firms and they are constantly looking to their accounting firms to provide them with more that could help their business.
Do more to get more business
Businesses these days want certain attributes in their accounting firms and one of the most fancied attributes is that the accountancy firm be more proactive in giving financial advice. If you stick to the basics, you might lose out on your client and this may be the reason that small businesses look to switch accountants. What the entrepreneur of any small business wants from their accountancy firm is to receive financial advice that can help them with their business planning and strategy and if they fail to get it then they will possibly look for other London accounting services.
You can offer more within your accounting services and shift the three main levels of accounting services that comprise of compliance, performance and strategic. It is all about getting deeper insight into the client’s financials so you can support them the want they want you to, and that is be their business advisor as well as accountant. Many accountancy firms have recognized this trend and have realized that new technology can offer them the crucial information they are looking for to suggest their clients and that is stronger analytical capabilities.
This view of accounting gives accountants the opportunity to reinvent their profession and have a defining role in the growth of a business by gaining analytical capabilities that allow them to run a business in the most tax efficient way. This allows accountants to suggest their clients the best course of action for their business, and it is also good for an accountancy firm business wise by upgrading from tax and compliance to advisory services which will ultimately distinguish your firm from competitors and give you the edge you need to attract more business.
Three Levels of Accounting
When talking about three levels of accounting, Compliance is where vast majority of firms operate at by offering services such as bookkeeping, doing taxes for their clients and financial reporting. While Performance advisory is something where the big 4 operate at and that is to do with services such as business intelligence and growth profitability. Accountancy firms who have evolved from the first level of accounting has the capability to use accounting practices to analyze the health of a business they are serving. And thirdly Strategic advisory which focuses on analyzing performance as well as taking the best course of action for the business which helps their clients in forming strategic planning, managing risk and successions plans can be formed.