Accountants and bookkeepers that run their own practices are small business owners too! As an accountant I provide a lot of business to business services that I also perform for my own business such as preparing my own tax returns, bookkeeping and payroll. I also need to budget and plan for expenditures during the year. I use Xero for my own accounting to help keep me on track and organized.
One cash flow strategy I like to use for my own business is trying to have suppliers being paid monthly instead of once per year if possible. As well, I have monthly bookkeeping clients that cover these expenses. Traditional accounting practices tend to bill for corporate tax returns and financial statements once per year. However, I allow for clients in this situation where their bill would be a large burden to pay me all at once the flexibility to pay monthly. This is a win-win situation for both myself and the client.
My situation is a little unique, working for family at Automaxx as their controller and also running an accounting practice. Like any other business I still want my business to be profitable. I do take a few more calculated risks when it comes to advertising and software expenditures since the practice is a side hustle and I want to see it grow. I was always told you need to spend money to make money. The goal of these risks is to create a brand that stands for providing a great client experience. The client experience is the ultimate differentiator between accountants. The differences lie in how I deliver my services to my clients.
