To position your accounting firm for success, it’s important to avoid some of the most common mistakes. These mistakes can become hurdles for you, in boosting your business. Check out this valuable blog shared by CEO Blog Nation and learn how to develop your accounting firm.

1. 5 Mistakes to Avoid When
Opening an Accounting
Firm

2. The field of accounting offers plenty of
opportunity for advancement, and for many
professionals, opening a private practice is
the penultimate goal. Owning your own firm
can be incredibly rewarding, but it comes
with its fair share of stressors and
frustrations. The following are some of the
most common mistakes amongst accounting
startups—avoid these, and position your firm
for success.

3. Mistake #1: Improper Financing

4. According to Forbes, 9 out of 10 startups will fail.
This statistic is scary, but highlights how important
it is to properly prepare prior to breaking ground
on your new firm. One of the most common
reasons for failure? Improper financing. Many
accounting startups fail to secure the financing
needed to keep their business afloat. Acquiring a
new client doesn’t mean instant profitability; your
savings should cover at least one year’s worth of
your own living expenses—it’s best to assume
your business won’t be profitable until at least a
year in.

5. Mistake #2: Inadequate Marketing

6. You can’t be successful if you don’t attract a bevy of
clients to your firm. Many accounting startups fail to
invest in marketing, which can result in poor
profitability. Begin by developing a marketing plan;
this requires you to determine which clients are best
for your firm. For example, are you targeting small
businesses? Would you prefer to work for larger
companies with more than 100 employees? You must
create a target demographic to help refine your
marketing campaign. Accounting practice marketing
can be done in a multitude of ways, from referral
networks to website leads, so consider the best
routes for reaching your ideal audience.

7. Mistake #3: Not Building an Online
Presence

8. Today’s business world requires online branding,
regardless of industry. You must invest time and money
into establishing a strong online business presence, and
much of that is accomplished through the creation and
management of a high-quality company website.
Providing unique, relevant information is important, and a
website can help your brand build authority and a
reputation for high-quality service. Offering chat support
can help you build a better relationship with your clients,
and automated lead generation can help you drive more
business. If you’re not sure where to get started, invest in
a website design company that can help you create
custom pages that build your brand in a positive way.

9. Mistake #4: Not Investing in Modern
Technology

10. Accountants are no longer subjected to long days spent
hunched over at their desks, scratching away with pens,
papers, and piles of ledgers. Technology has transformed
the accounting game, and embracing modern software
solutions is integral to success. As new technologies are
introduced, the landscape of the accounting field has
shifted—meaning clients expect more. Investing in
modern income tax software for tax preparers means
offering your clients high-quality service, streamlining in-
house processes, and reducing errors and mistakes, all of
which can lead to an improved bottom line. Note: Once
you’ve invested in a new accounting program or software,
take the time to learn to use it properly—that’ll give you
ultimate value for your investment.

11. Mistake #5: Failure to Invest in a Solid
Team

12. As your practice grows, you’ll rely heavily on your
employees. The team you create can make or break
business, and it’s important to invest time and money
into curating a skilled roster. Whether you’re hiring a
receptionist or CPA, it’s important that you properly vet
any job candidate. Look for qualified job candidates on
sites like Indeed.com, spend time with in-person
interviews, and ensure each person placed fills the
position’s criteria.
Opening your own firm comes with a bevy of benefits,
but accounting entrepreneurs must be wary of falling
into these common pitfalls. Avoid making these
mistakes and set your new practice up for success.

13. https://www.ceoblognation.com/2017/09/5-
mistakes-avoid-opening-accounting-firm