Tax Strategies & Preparation Articles

Countless individuals have successfully started their own businesses.  Countless individuals have tried and failed.  And even more have done both.  From those who have experienced both the ups and downs and are still around to tell about it, we offer the following advice:

“For us, our most important stakeholder is not our stockholders, it is our customers.  We’re in business to serve the needs and desires of our core customer base.”  John Mackey

“There are a lot of good new ideas out there.  What differentiates companies and makes them great is the execution.”  — Anonymous

“The biggest obstacle to wealth is fear.  People are afraid to think big, but if you think small, you’ll only achieve small things.”  T. Harv Eker

“A brand for a company is like a reputation for a person.  You earn reputation by trying to do hard things well.”  — Jeff Bezos.

“Innovation distinguishes between a leader and a follower.”  — Steve Jobs

“Next to doing the right thing, the most important thing is to let people know you are doing the right thing.” - John D. Rockefeller

“The way to get started is to quit talking and begin doing.” - Walt Disney

What advice will you contribute after successfully starting your own accounting and tax practice?  If you’ve been thinking about taking that leap to entrepreneurialism, now is the time.  A brighter future awaits you.  Universal Accounting Center (UAC) will help you find that future.

A Ready-Made Business

You already have skills in tax preparation.  You are good with numbers and would enjoy managing a business’s financials.  All you need now to become a full-service financial provider are two things: small-business accounting skills and the ability to market those skills.  Once you have both you can start your practice.

The Professional Bookkeeper Program

There are countless small businesses that need a Profit Expert, an accountant who understands their unique needs and can help them make informed business decisions.  A Profit Expert knows how to watch key indicators and use that information to increase a business’s profitability.  A Profit Expert does more than just manage a small business’s books; a Profit Expert plays an integral role in enhancing a small business’s standing and longevity.

Only one program will enable you to become both a small-business accountant and a profit expert.   The Professional Bookkeeper Program is designed to help you take advantage of a key target market: small business owners.  While you may believe that big money is with big businesses, they represent less than 15% of accounting opportunities.  The remaining 85% resides with the small business sector.

Adding accounting services to your menu will enable you to remain busy year-round and not just during tax season.  The quality of your services will also ensure your ability to retain clients.  But in order for your business to succeed you must first secure those clients.

The Universal Practice Builder Program

For over 25 years Universal Accounting Center has trained financial professionals like you in small-business accounting.  In all our years working with accountants, bookkeepers and tax preparers we’ve come to understand that most don’t know how to promote their services to this valuable niche market.  We do!

Not only do we know how to market those services, but we know which strategies and approaches will grow your business to the point where you will become so busy you may have to turn some prospective clients away - that or consider increasing your staff in order to increase your capacity (and your bottom line!).

To share this priceless information we developed the Universal Practice Builder Program.  Here’s just a sampling of what you will gain from enrolling in this phenomenal program:

• A guarantee of $30,000 in new annualized billings in only 12 months
• The skills to become a Profit Expert for each of your clients
• 12 marketing strategies that you can implement immediately
• A process which can produce 15 to 25 qualified leads per month
• 3 months of coaching via telephone and Internet
• Training on a computerized database tracking program
• A presentation DVD to show potential clients
• Training to use QuickBooks to attract more clients
• Access to a plan proven to help retain clients

These two programs will enable you to start your business venture with confidence and ease.  For a minimal initial investment you can become a successful entrepreneur.  Not to mention both programs carry our iron-glad guarantee: if, after completing the programs and applying their principles you feel they did not live up to your expectations, you can return all materials for a 100% refund of all monies paid.  That makes these two programs practically risk-free.

It’s time you invested in your financial future. Take the first step to realizing your dream of becoming a successful entrepreneur.  Enroll today!

What to Focus on When Starting a New Business

There are countless things to think about when starting your new business.  From costs to clients, from office supplies to offices managers, you can waste your workdays worrying about   all of them.  Thankfully, not all of them are created equal, and if you focus on each and every one you will become overwhelmed and unproductive.  You must limit your focus to a handful of issues that require the most attention in order for your startup to succeed:

1. Cash flow.

It’s important that you closely watch cash flow from the very beginnings of your business.  Determine how much money must come in for your practice to be profitable.  Only when you are properly managing cash flow can you know whether your current business efforts are successful.

2. Money-making efforts.

There are a lot of valid tasks you can perform in your business, but in the beginning you should focus much of your time and energy on money-making efforts.  Of course that means you should perform as many billable hours as you possibly can, but in order to have clients for which you can invoice those billable hours, you must first market your services.  If you haven’t yet developed a marketing strategy, now is a good time to decide which techniques you will use to promote your business to your target market.

3. Quality clients.

Especially when it comes to clients you should live by the adage “quality over quantity.”  That may seem counterintuitive because in the beginning you will feel the need to secure as many clients as you possibly can in order to get your business up and running.  But in the long run you will be grateful you spent your time searching for a few regular, high-paying clients rather than a lot of sporadic, delinquent ones.

4. Customer service.

Client retention has a lot to do with the customer service you provide.  When you treat your clients with courtesy and respect, they are more likely to refer you to their family and friends.  Also consider what they most need from a financial provider and do all you can to provide them with those services.  If you can become a one-stop financial shop for your clients, they will often respond with increased loyalty.

5. Hiring good employees.

You may not need to hire employees initially, but when you do you must ensure that you hire well.  Hold out for hard-working, qualified applicants before you make any decisions.  You can lose more time and money revisiting the hiring process because you didn’t hire good employees the first time around.

6. What’s working.

You should expect to make mistakes a time or two as you get started.  In fact, if you’re not making any mistakes it means you’re not taking any risks; you should attend to your mistakes and see what you might learn from them.  In addition, you should focus on what is working.  As you regularly assess your efforts, determine which are most profitable and continue or increase those efforts.

If you are ready to launch your tax practice full-time, you should consider adding accounting services to your menu.  Not only will this attract more prospective clients, but it will ensure you have business year-round and not just during tax season.

The Professional Bookkeeper Program

You want your services to appeal to the greatest number of prospective clients.  Over 85% of the opportunities in the accounting field are within small businesses.   In fact, Universities prepare their students for corporate accounting which doesn’t address small business needs.  Also more than 50% of small businesses fail within the first five years, and much of that failure can be attributed to lack of accounting expertise.  Those small business owners need an accountant who can address their small business accounting needs.

When you enroll in the Professional Bookkeeper Program, not only do you learn small-business accounting, but you are trained how to become a company’s Profit Expert by using that accounting information to help these small businesses make informed decisions that increase their profitability which in turn increases your value to clients.

In less than 60 hours you could earn professional certification that demonstrates your newly-acquired expertise.  You can do all this on your own time and at your own pace.

The Universal Practice Builder Program

You may be surprised to learn that most financial providers struggle, not because they don’t offer quality services, but because they don’t know how to effectively market those services.  For over 25 years Universal Accounting Center has trained financial professionals like you in small business accounting.  In all our years working with accountants, bookkeepers and tax preparers we’ve come to understand how to best market those services.  We help you apply strategies and approaches that will grow your business to the point where you become so busy you may have to turn some clients away - that or consider increasing your staff in order to increase your capacity (and your bottom line!).

Our Universal Practice Builder Program will provide you with 12 marketing strategies that will enable you to secure 15 to 25 qualified leaders per month, a guarantee of $30,000 in new annualized billings in only 12 months, three months of master coaching, and access to a proven plan that will help you retain clients.  Again, you can complete this amazing program on your time and at your own pace.

When you order these two programs together, you increase your service offerings and your ability to market them.  Not only that, but both come with an iron-glad guarantee promising that if, after completing these courses, you feel they did not live up to your expectations, you can return the materials to Universal for a 100% refund.  Not many organizations will back their training programs with that type of guarantee.

Take advantage of this marvelous opportunity to secure your new business venture.  Order now!

5 Steps in Gaining an Edge

Successful businesses must always look for ways to gain a competitive edge.  This does not have to be a lengthy or expensive endeavor.  In fact, in implementing the following five steps, you could find your businesses leading the competition with higher earnings and a larger, more expansive client base:

1. Create a board of advisors.

You will be able to make informed business decisions much more quickly when working with a board of advisors.  To do so, select 3 to 10 individuals with expertise from which you can benefit.  Also select those who would find your expertise equally appealing.  While you are not required to compensate members of your board, the partnership is only attractive if you can offer something in return.  Consider working with legal representatives, business insurance representatives, banking representatives and, perhaps, an accountant.  With a board full of individuals with broad and deep expertise, you’ll find your business better equipped to increase its profitability.

2. Research the competition.

Whether or not you like it, you are competing with other tax preparers for clients.  You offer similar services to a shared target market, meaning you are one of many options from which that target market can choose.

In order to be a good competitor you must know your competition.  How does the competition market their services?  What benefits do they offer?  To which demographic are they marketing?  Are their marketing approaches affective?  You must answer all these questions and more by performing simple research.

First, determine which of the tax preparers in the area are prominent.  Then study their marketing strategies.  Talk with your board and other professionals to see which of these competitors are getting rave reviews and determine why their services are most popular.

3. Practice stellar customer service.

Good customer service doesn’t ensure that you’ll get along with all your clients all of the time.  But it does show them that you’re invested in their satisfaction and will do your best to serve their needs.  And because of that your clients will feel valued. Those valued clients will then become key members of your marketing team, sharing your contact information with friends and family.  And nothing speaks louder to potential clients than a current, satisfied customer.

4. Gain an advantage.

A competitive advantage is gained when you offer your target market something a competitor cannot.  When you market using that competitive advantage, you are able to edge out the competition.  In order to become the premier tax preparer in your area, you must achieve a competitive advantage and incorporate it into your marketing strategy.  The best way to do that is by offering complementary services to your clients.  By adding small-business accounting to your menu, you are able to attract and retain clients interested in working with a full-service financial provider.

5. Forge strategic partnerships

Also called “natural business relationships,” strategic partners are business professionals who share your target market but do not offer competitive services.  They are individuals with whom you can share ideas, advice, and yes, referrals.  But more than that they literally become a work force that buoys your business, enabling you to labor more efficiently and enjoy great profitability.

Strategic partnerships are scalable, meaning that depending on the size of your practice, you must pick professionals who are compatible with your business size and type.  Occupations that correspond well with tax preparation include loan officers, checking representatives, financial planners, insurance representatives, lawyers, etc.  If you were the CEO of a large tax firm then you would try to connect with leaders of organizations that complement your business’s size and prestige.  If you are an independent tax preparer with a handful of clients then you would look to other small business owners or employees of like organizations.

In order to be successful, these strategic partnerships must be symbiotic, meaning they are beneficial to both parties.  Before approaching a potential partner ask yourself the following three questions:

1.  What will they get from this relationship?

2.  What will you get from this relationship?

3.  Are they the type of person who will give you referrals?

Are they the type of individual who will provide referrals?There is no use wasting your time on individuals who are not interested in participating in this type of relationship. While it does not require an abundance of time and energy, it does involve the commitment to meet regularly and help one another.  These questions will enable you to screen those who may not be ready for this type of collaborative effort.

Gaining a competitive edge requires you to do all those things your competitors are not doing.  While the above 5 tips may take time and energy from your busy schedule, they ultimately pay large dividends and place you at the head of the competition.

Start Today!

If you are interested in adding accounting service to your menu, order our DVD, “Start Today and Have Your Own Bookkeeping Service,” and learn everything you need to know to begin.  This video will show you that growing your own accounting practice is achievable, profitable, and easy.  For less than $10 you can discover that adding bookkeeping services to your menu is definitely within your reach.  Order today! Or watch the video online now for free.

Step Two: Approaching Clients for Referrals

Only after your clients have experienced your stellar services can you approach them for referrals.  Last week we talked about providing quality customer service to your clients in order for them to truly appreciate your business. Until you are certain clients are happy with your services, you should not approach them for referrals.  You don’t want to compromise an already delicate relationship.

Once you have a handful of pleased clients, select one of the following approaches in asking them for referrals:

1. Request feedback

One subtle method for requesting referrals can accompany your request for valuable client feedback.  Give your clients a survey on which they can respond to the quality of your services, explaining what they appreciate and what they would like you to improve.  If clients are especially satisfied with your work, this can be a good time to request, at the bottom of the survey, a list of individuals they know who might also benefit from your services.

2. Use a sales letter

If you distribute a newsletter for your business, this would be a great place to request referrals in a very casual way.  If you don’t currently distribute a newsletter, you may consider sending all your current clients a sales letter where you detail your services and offer a seasonal offer or special deal.  Again, at the bottom you can include a request for referrals.

3. Ask directly

Business lunches are a great way to show your clients appreciation.  It’s also a good setting for requesting referrals.  It’s important to remember that your approach should never be pushy or aggressive.  Take the time to chat with your clients, showing genuine concern and interest as you talk casually.  At some point the conversation should turn to business, and as the end of your meal nears you should make the request.  Consider a casual request, such as, “Is there anyone you know of who might also benefit from my services?”  If your client’s response is positive, ask if you could invite the client and his/her friend(s) to another lunch appointment where you could be introduced.

4. Offer incentives

Often the idea of discounted services is the best motivator.  You may find your clients more willing to refer their family and friends to your tax practice when they realize that they will receive a complimentary service or some type of discount.   Remind your clients of these incentives 3 to 4 times a year in order to encourage them to consider who they know that might benefit from your services.

5. Give gifts of appreciation

Regardless of whether or not your clients actually refer anyone to you, showing your appreciation for their business is always a good practice.  Gift cards for restaurants, movie theaters, gas stations, book stores, etc. are all good examples of small gifts of appreciation that will go a long way in inspiring client loyalty.

Asking for referrals can be daunting.  However, when you can ensure that your clients are first satisfied and then approach them with a low-pressure technique, you’re more likely to find success and a handful of prospective clients.

Attend a Free Seminar

Whether you have your own accounting practice or have been considering starting one in the future, you could benefit from a free seminar on Having Your Own Successful Accounting Practice.  Universal Accounting Center is making the rounds these next few months, offering this free two-hour workshop designed to teach you how to save many wasted hours and thousands of dollars learning techniques that work.  See if one of our free seminars will be coming near you.

Step One: Ensuring Client Satisfaction

Customer service is awareness of needs, problems, fears and aspirations. - Anonymous

Customers are an investment. Maximize your return. - PeopleSoft Ad

Here is a simple but powerful rule: always give people more than what they expect to get. - Nelson Boswell

It’s difficult to request referrals from clients who are not currently happy with your services. Before you can use this valuable resource to increase your client base you must first ensure current client satisfaction. Only after you do can you begin approaching clients for referrals.

The following seven tips will help you better serve your clients so that they happily refer their family and friends your way:

1. Establish clear expectations.

Many of your clients may not have worked with a tax specialist before and are unsure what to expect. The rest have and may be running on old expectations. It’s important to have a preliminary meeting where you define the relationship and your expectations, taking special note of what your clients expect from you. You may need to negotiate some of these expectations so that both you and your client are satisfied. In establishing clear expectations from the beginning, you will eliminate a lot of unnecessary frustration later.

2. Be respectful.

Regardless of your clients’ behavior, you must treat everyone with respect. Be courteous, thoughtful, and listen with intent. This applies to your face-to-face, email and phone correspondence.

3. Respond promptly and maintain contact.

Establish a policy on returning emails and phone calls. We suggest you respond within 24 hours; this shows clients that you are attentive and considerate of their needs. Also, when working on their accounts you should provide clients with periodic reports; otherwise they may assume that you’re not working at all.

4. Quickly resolve complaints.

Anytime your clients have concerns or complaints, you must respond quickly. The longer you wait to resolve a problem, the longer your client has to stew over it. On the other hand, the more quickly you resolve the client’s concern, the more satisfied your client is with your service.

5. Request feedback.

The best way to learn what your clients think of your services is to ask them. Consider giving all your clients a survey on which they can provide you with priceless feedback. Take this feedback into consideration as you modify your services and client relationships.

6. Save them money.

Consider recent ads where people are complaining of catastrophic situations to which another responds, “I have good news. I just saved a bunch of money on car insurance.” Nothing wins client loyalty like having a financial provider save them money. As you serve clients, consider this a priority; when you share your cost-saving tactics with clients, you will find them very appreciative of the effort.

7. Offer complementary services.

Clients appreciate convenience. Anything you can do to streamline their financial services is valued. Consider their needs and add complementary services that would make your business more convenient and, in turn, more appealing.

Only after you ensure customer satisfaction can you request referrals from your clients. Once you take the necessary action to meet your clients’ needs, you can approach them for referrals, at which point they are more likely to provide them.

Consider Adding QuickBooks Services to Your Menu

Intuit has cornered the market on accounting software with QuickBooks. More than 80% of small businesses use it to manage their accounting. Unfortunately for many small business owners, they are unaware how to optimize this software so they can retrieve the information they need to better run their businesses. Fortunately for you, this mean there are a number of small business owners in need of QuickBooks setup, help and consultation services.

Not only would adding QuickBooks services to your menu increase your bottom line, but it will also enable you to better work with clients to get the information you need to best prepare their taxes. As you demonstrate how to properly setup and use QuickBooks to manage their accounting, you can ensure you will receive the information you need in the format you need it in.

The Professional Bookkeeper’s Guide to QuickBooks will enable you to master this valuable software program and earn professional certification as a QuickBooks Specialist. You can better serve your current clients and attract new clients in need of QuickBooks expertise. For a minimal investment, you can enjoy large returns. Increase your customer service efforts today by enrolling in the PBG Program!