Monday, November 9th, 2020

Don’t Be So Cheap

“Spend at least 10% of your budget on the best professional advice available before you spend a nickel on anything.” – Harvey Mackay

Accountants are often known for being frugal. Your employees might think you (as a group of owners) are actually very cheap.

Here’s the difference – – Cheap people are driven by saving money regardless of the cost; frugal people are driven by maximizing total value, including the value of their time. … Being cheap is about spending less; being frugal is about prioritizing your spending so that you can have more of the things you really care about.

I don’t know how many times I have heard an experienced, competent firm administrator, practice manager, HR director, or marketing director say, “I won’t be able to attend the conference (event, webinar, meeting) because the partners won’t spend the money.”

On the other hand, I have heard those same people, the ones who did attend the conference (event, webinar, meeting) say, “I learned so much and brought so many great ideas back to the firm that the partners said I should attend every year.”

That’s why Harvey Mackay’s quote, above, is so appropriate for those leading CPA firms.

  • Never have a partner retreat without a paid facilitator – someone very familiar with the CPA profession.
  • Don’t hesitate to hire outside mentors and coaches for your partners, firm administrators, marketing directors, etc. Hire them for your partners, too.

Just last week, a client said to me after a fairly brief phone session, “You have given us several valuable nuggets during our conversation! We will act upon them!”

How much are you budgeting for outside, professional advisors?

  • "If the price is very cheap then it's almost certainly a fake. "
  • David Russell

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