Executive Wisdom: Accountants Offer Insurance

I received a telephone call from a member of my Mentor Program seeking advice. This person owns a sole practice accounting and taxation services firm. The call was initiated by my client in response to his losing a client because another accountant had offered a lower hourly-fee. "What can I do, Ric?"

"Stop charging time-based units and have clients invest in you for the value you deliver."
"But all accountants charge by the hour."
"Exactly."

Accountants are continually seeking innovative ways to market and promote their services. CPA Australia have me traversing this great continent speaking to member accountants on how to attract new clients and improve the way they do business.

Simplicity is the ultimate sophistication; and it doesn't get much simpler than this ...

Let's take a straightforward example. A taxation audit. Once the Australian Taxation Office selects you for an audit or investigation, they CANNOT return empty-handed. Which means that they will employ any, every and all resources available to them to discover and infringement possible that you may have deliberately or inadvertently made on your income tax return.

If the ATO spends $50,000 to find $4,000 in delinquency, they interpret that better than spending $10,000 and discovering no illegality or fraud; even though the first scenario is in reality a net loss of $46,000. Consequently, we need the finest financial minds - which, of course, are better outside the tax office than within - to minimise the exposure and financial damage. And as the client, that is worth a great deal ... it's valuable.

Focus on the value and charge appropriately. If an accountant said, for a once a year fixed price retainer fee, we will represent and act for you on any and all taxation audits, no matter what it entails. How much would that be worth to you?

Accountants should forget about the six-minute incremental fee approach and consider selling insurance ... against taxation audits!

Executive Wisdom Consulting Group has developed the “Professional Services College” for those in the professional services arena to grow and market their firms. The College is three days of intensive interaction with Ric Willmot and a very small group of colleagues. The College focuses on pricing, strategy, marketing, negotiations, interpersonal relationships, customer service, staff, etc.

Then we provide you with six months of mentoring to assist you implement!

Click here for comprehensive details on the Professional Services College

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