Wednesday, December 28th, 2016

The Value of a Partner

Aquila“Without continual growth and progress, such words as improvement, achievement and success have no meaning.” – Benjamin Franklin

In a recent newsletter, August Aquila of Aquila Global Advisors, LLC, shared the Factors Determining the Partner’s Value.

Here’s an excerpt:

In an accounting firm, profitability is generally the result of the firm’s combined talents, business management skills, internal systems, and value proposition to its core clients. Therefore, many factors must be considered when determining the value of a partner to the firm, for example

  • What are the technical competencies of the partner?
  • Are the partner’s technical competencies up to date?
  • Are these competencies needed by the current client base?
  • Does the partner add value in other areas, such as leadership, mentoring, and so on?
  • Can he or she bring in business—the lifeblood of any organization?

Skills alone do not make a good partner. You must also look at the character of the partner, for example

  • Does the partner live the firm’s core values?
  • Do staff members want to work with the partner?
  • Is the partner ethical in his or her dealings with both staff members and clients?

Most firms are too small to have a partner justify his or her existence as solely an administrative, marketing, or human resources partner. Partners need to increase the economic value of the firm.

He goes on to explain that many firms do not conduct formal partner evaluations. They do not require partners to set goals.

Partners need feedback, including the managing partner, if they want to improve their performance….. or NEED to improve their performance.

  • "Excellent firms don't believe in excellence - only in constant improvement and constant change."
  • Tom Peters

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