Presentation by Florin Toma, Member, IFAC SMP Committee, IFAC SMP Forum, March 2012

1. IFAC SMALL AND MEDIUM
PRACTICES FORUM 2012
Session 3
Helping SMPs Meet the Challenges
and Seize the Opportunities of
Tomorrow
Florin Toma
Member, IFAC SMP Committee
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2. Romania
• 21 million residents
• Entities by EU Size Classification
Micro entities 91.4
Small entities 7.0
Medium entities 1.3
Large entities 0.3
Total 100.0%
• EU accounting and audit regulation for SME’s
• Young economy
• Very tax driven economy
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3. Practicing in Romania
• 30 people/4 partners SMP
• Dealing with SME’s but also with medium sized
companies/domestic and foreign
• 4 lines of activity
– Accounting
– Audit
– Tax
– Consulting (including taxation issues, corporate finance, valuations, etc.)
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4. Growing with your clients
• Ascendant trend in activity
• Responding to market needs (mainly compliance services
in a first period)
• Concentrating on the service (whatever that was – simple
or complex)
• No time for marketing (unless referral is working itself for
you)
• Internationalization through adhering to an international
network
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5. Challenges adapting to new needs
• Growing clients do not need the same service. They need
new and more complex services
• Challenges for the SMP:
– New knowledge required
– New resources (human and material)
– Change of focus in the firm
– Change of practices within the firm
• New technology
• Results of Quick Poll in our country quite similar to the
international
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6. A new service mix
• The shift supported by figures
• Regulation and compliance still strong and requested
• Newly acquired expertise needs marketing
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7. Conclusion
• SMP best placed to respond to diverse service requests
from their clients
• SMP first to be asked the service
• Always be ready to be challenged as accountant
• Lack of resources and time at first – significant constraint
when shifting to new service approach
• MB would be a great support for SMP/SME in their
development effort
• Adapting to new clients requests might be the best way to
keep your clients (or to loose them!)
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8. Thank You
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