The Accountant Entrepreneur — Evolve Your Business Model For Maximum Growth Moving your practice —and your clients —to the cloud is about more than technology. It's a fundamental shift in your business model, a combination of broadening your abilities with today's technology and redesigning your business to maximize growth. There are compelling new business models for accountants who want to take charge of their future. This presentation presents a roadmap to help you tackle new services for new clients, how to select the right vertical market focus, and how to drive success by driving improvements in business processes with your clients.

1. @Dougsleeter
The Accountant Entrepreneur
Compelling New Business Models to Maximize
Growth in Your Practice

2. @Dougsleeter
Follow on Twitter
@ dougsleeter
Doug Sleeter
The Sleeter Group
800 Member Accounting Consulting Group
Author —Textbooks and Reference Guides
Consultant to Software Developers
www.sleeter.com
CPA Practice Advisor
Columnist
Top 25 Thought Leader
Accounting Today
Top 100 Most Influential
People
Small Business Influencer
Champion

3. @Dougsleeter
85% of SMBs
want
Opportunity Knocks
proactive, strategic advice
from their accountant
24%
say they receive it
Source: What SMBs Want, March 2014 Research Report, The Sleeter Group, Inc.

4. @Dougsleeter
Why the Traditional Paradigm No Longer Works

5. Obsolete Assumptions
Most Accounting Firms Built
the Business Model Assuming:
1. The client does bookkeeping using
@Dougsleeter
desktop software
2. A paper Based Information transfer
between client and firm
3. Communication will be mostly in person
and by phone, with some email
4. Primary revenue source: Tax

6. @Dougsleeter
OBSOLETE ASSUMPTION
Firm will be viable for decades to
come and you'll be able to sell your
firm for 1 times billings.

7. @Dougsleeter
Speed of Change
DON’T GET HIT BY A TRAIN.

8. @Dougsleeter
It’s All About the Data

9. @Dougsleeter
What’s Wrong with the Desktop?
RISK OF
DATA LOSS
SECURITY AND
FRAUD
COST
CONVENIENCE
EFFICIENCY
COMPLEXITY

10. @Dougsleeter
Customer Expectations
All business interactions should be possible via the web
• Communicating
• Shopping
• Support
• Learning
• Banking
• Pay and Receive Money
• Purchasing

11. @Dougsleeter
THE WEBCOUNTANT
Count (male) or Countess (female) is a
title in European countries for a noble of
varying status, but historically deemed to
convey an approximate rank intermediate
between the highest and lowest titles of
nobility.
Can Your Clients Work with You via the Web?

12. @Dougsleeter
Practice Design Goals
Continually Upgrade Your Skills
Agility Trumps Ability 01
02
03
04
05
Deepen Your Client Engagements
From Serving, to Partnering for Success
Change Leadership
Not Change Management
Specialize
Use Accountant-Centric Tools

13. @Dougsleeter
Accountant-Centric Tools
Examples of Accountant-
Centric Tools at Cloud
Summit 2014

14. The Roadmap for Webcountants
12 Steps to Securing Your Future
@Dougsleeter

15. @Dougsleeter
All Records in Secure
Cloud Portals

16. Eliminate
Dependency
on Paper
• All transactions and
data will be digital
• Accessible via secure
internet connection
@Dougsleeter

17. @Dougsleeter
Client Portal
Secure website where
clients can see the big
picture of their business
in real time.
FINANCIAL REPORTS
HISTORICAL DATA
STATUS UPDATES
FIRM INTERACTION
ONE DASHBOARD

18. @Dougsleeter
Value Billing
• Value pricing for all services
• Electronic client invoicing and
secure electronic payments
• No billing by the hour. Clients
value results, not hours.

19. @Dougsleeter
The Best People
Your PEOPLE are your Brand

20. @Dougsleeter
Reward & Keep The Best

21. @Dougsleeter
Entice the Next Generation
• Flexible Hours
• Telecommuting
• Growth
Opportunities
• Path to
Leadership

22. @Dougsleeter
Develop Careers

23. @Dougsleeter
Specialize the Practice
• 65% of SMBs surveyed say
• “I want my CPA to be a specialist in my industry.”
Definitions:
• Vertical Market
• Medical, Legal, Restaurant, Retail, Franchise, Real Estate, Landscaping
• Horizontal Vertical Market
• POS, Payments, Ecommerce, Inventory, Payroll, CRM

24. @Dougsleeter
Specialize – Largest Vertical Markets
1,417,346
1,232,520
1,232,384
1,008,272
932,451
720,243
660,614
595,875
520,357
491,409
458,466
456,111
431,177
770,924
1,207,032
2,661,067
2,499,447
3,404,884
- 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000 3,500,000 4,000,000
Construction
Retail trade
Real Estate
Health care services
Arts, entertainment, and recreation
Transportation
Building/Dwelling services (Janitorial, Landscaping, etc.)
Personal care services (Beauty Salon, Barbershop, Nails, etc.)
Social assistance (Day care, community food and housing, etc.)
Professional consulting
Wholesale trade
Food services (Restaurant, Bars, Catering, etc.)
Manufacturing
Insurance
Finance
Accounting services
Automotive repair and maintenance
Legal services
Top SMB Markets by Number of Firms

25. @Dougsleeter
Specialize – Largest Employers
Top SMB Markets by Average Number of Employees
8.3
8.0
7.6
7.6
7.4
7.2
9.7
8.6
13.1
11.8
10.7
12.4
17.5
25.3
30.5
32.9
36.6
- 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0
Employment services
Facilities support services
Warehousing
Scientific research and development
Accomodations
Manufacturing
Rental / Leasing
Market research
Food services (Restaurant, Bars, Catering, etc.)
Investigation and security services
Health care
Wholesale trade
Arts, entertainment, and recreation
Finance
Dry cleaning/Laundry services
Social assistance (Day care, community food and housing, etc.)
SMB Average

26. @Dougsleeter
Specialize – Largest % of Ecommerce Sales
Top SMB Markets by Percentage of E-commerce Sales
1.8%
1.3%
3.3%
2.7%
2.5%
3.3%
5.1%
4.5%
6.0%
5.9%
5.8%
9.7%
15.0%
14.2%
17.2%
Retail Trade
Manufacturing
Wholesale Trade
Arts, entertainment, and recreation
Education services
SMB Average
Professional services
Accomodations and Food services
Finance and Insurance
Administrative & Business support
Consumer services
Real estate and Rental/Leasing
Transportation and Warehousing
Health care and Social assistance
Construction
0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% 14.0% 16.0% 18.0% 20.0%

27. @Dougsleeter
Mix of Revenue Sources
• Bookkeeping
• Payroll
• Financial Analysis Services
• Tax Planning
• Tax Preparation
• Strategic Business Consulting
Client
Accounting
Services

28. @Dougsleeter
Processes Upgrade
• Stay up to date
• Focus on Efficiency of Staff
• Value to Clients

29. @Dougsleeter
Keep services
Up to Date

30. @Dougsleeter
Summary
• Focus on What SMBs Really Want
• Think Change Leadership, not Management
• Break free of Obsolete Assumptions
• Embrace New World Business Models
• Agility Trumps Ability
• Eliminate Dependency on Paper Throughout Processes
• Use Accountant-Centric Tools
• Specialize the Practice
• Deepen Your Client Engagements
• Most Trusted Advisor, not Servant