The ongoing effects of the coronavirus pandemic continue to change how accounting firms interact with their employees and clients. As a result, these firms should be changing their approaches to how they operate.
Accounting firm leaders should be reviewing their operations and reassessing their business models. Developing plans to update their models and change the way they provide value for their clients can result in higher revenue and a stronger bottom line.
Implement these tips to update your Dallas accounting firm’s business model.
Review Your Operations and Business Strategy
Focus on where your accounting firm is and where you want it to go. For instance, begin by analyzing your current business model. Ensure there is a current and clearly defined strategic plan that guides operational decision-making and aligns with your firm’s wider goals. This plan lets you track your firm’s progress toward goals and uncover ways to improve.
Then, focus on specific characteristics of your business operations, strategy, and market niche:
- Whether your firm has a clear mission, vision, and purpose
- What differentiates your firm from your competitors’ firms
- Whether your growth targets are clearly defined, measurable, and attainable
- Whether your structure and strategy support your firm’s goals
- What your ideal client looks like
- How your ideal client compares to your current clients
Analyze Your Company Culture
Focus on how your mission, vision, and values are carried out. For instance, ensure your culture prioritizes diversity, equity, and inclusion (DEI). Also, provide flexibility in where, when, and how your employees complete their work. Showing your employees are valued for their different backgrounds and encouraging work-life balance help to attract and retain employees.
Consider these areas regarding employee policies and attitudes:
- How effectively automation and outsourcing are used to increase firm capacity
- Whether there are strong internship and recruitment initiatives that emphasize DEI
- How well employee mental health is supported
- Whether employee salaries and benefits are competitive
- Whether there are clear paths for professional growth and advancement
- How well leadership and technology support remote work
Evaluate Your Client Service Offerings and Billing Model
Consider which services your accounting firm offers. This may include whether your business is based on traditional tax and/or audit and whether your firm offers client accounting and advisory services. Also, focus on whether your clients pay for your time or expertise and whether they see you as a trusted advisor. You can use this information to assess the types of clients your firm has and how you bill for services.
Consider the areas your firm is strong in and where it could improve:
- Find ways to move from hourly billing to value pricing.
- Consider offering flat rates, subscription pricing, and monthly retainers paid through automatic bank drafts.
- Move from providing compliance services to serving as a trusted partner that provides key advice to run and build a business.
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