Monday, October 1st, 2018

I Love Small Firms

“A big business starts small.” – Richard Branson

I have heard the following numbers mentioned by consultants and AICPA leaders many times. I also use them often. I like to make people working in public accounting aware of the numbers.

There are approximately 46,000 CPA firms in the USA and the 500th largest firm has about 20 people and $3M in revenue. Most recently, I read these numbers via Accounting today in an article by Edward Mendlowitz of Withum. He also notes that small firms outnumber large firms 91 to 1.

In the article, I discovered that he and I have something in common. We like to focus our consulting efforts on smaller firms.

Over the years I have worked directly with over 100 firms and advised and spoken to thousands of CPAs, firm administrators, HR directors, marketing directors and, IT managers. I have a large following for my daily blog and tweets. I have found, much like Mr. Mendlowitz, that small firms need help.

These firms, unlike the larger firms, aren’t big enough to justify hiring full-time support professionals such as HR, marketing, and management professionals. They need and are willing to pay for outside resources that will help them manage better and improve operations.

I find leaders of smaller firms interesting, enthusiastic and receptive to new ideas and methods. Yet, much like accountants in larger firms, they find it very challenging to implement.

Be sure to read the article in the link above.

  • "I’m convinced that about half of what separates the successful entrepreneurs from the non-successful ones is pure perseverance."
  • Steve Jobs

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