A Tale of Two CPA Firms, Part II: Crossing the Line Between Busy and Built to Last

One of our most popular blogs¹ from last year was an allegorical tale about two firms: Wurkin Hard, a well-meaning but struggling firm, and Focus CPA Advisors, a more modernized and thriving firm. We now pick up their story a year later as the industry landscape continues to evolve quickly.

At an AICPA conference, a small group of managing partners are sharing their highs and lows in a breakout session. Bill Wurkin, managing partner of Wurkin Hard CPAs, shares his update first:

“It’s been a big year for us. We’ve put together an AI committee to look at new software, but if I’m being honest, we don’t really have a clear tech strategy. I just talked with three private equity-backed firms in the hallway this morning, and told them I’m not interested in selling, but our partners don’t really have a clear strategy for how we can remain independent in the long term. What’s stressing me out is that we don’t even know if we need capital or how much. Plus, our founder group is getting closer to retirement, and there’s grumbling among some of them that the 80% valuation we agreed to for our internal buyout doesn’t cut it anymore in light of the external sale prices we’ve heard about.

“We do have good people, but I just don’t see a strong sense of urgency or entrepreneurship among our next layer of leaders. We still have strong client relationships, which has been our bedrock. But what keeps me up at night is yesterday we mindlessly sent a client bill based on the hourly WIP, and only afterwards realized it was down 15% due to our AI efficiencies. Nothing else on the job had changed. I don’t want to see our margins shrink like that! We tried offshoring once to increase margins, but the quality wasn’t there, so we abandoned it completely and haven’t looked back. I’m always the last one to turn out the lights in the office every day, and I am worried about how we’ll figure this all out.”

Someone clears their throat loudly. Then the room is silent. After a beat, Samantha Summers, the Managing Partner of Focus CPA Advisors, breaks the silence:

“Bill, this was my first year as managing partner, and we’re seeing many of the same industry trends. I can share some of the things that have been working for us.

“We have a tech committee as well, but in addition to demoing new software, they work with the executive committee and outside advisors to develop our technology roadmap so it can accelerate where we want to go as a firm. Adding the strategic part has slowed things down a bit, but in the end keeps us much more focused. We also are choosing to remain solidly independent. We had our partners leave in capital and used some debt to help make three new acquisitions that strategically expand our niche and geography so we can better serve our target market. People had some anxiety about the debt, but it forced us to do more clear-eyed due diligence on the ROI of each firm. We’ve also updated our hiring and training process so staff can review the work and get in front of clients sooner.

“Our partner group is working with our marketing team to position and price our work in terms of value and outcomes to clients so we don’t take a hit by using only hourly billing. We got stung a bit by that last year, too. We’re also supporting our margins by leveraging work to our growing offshore team. Finally, I am most excited about the leadership accelerator we just launched for our next gen leaders. It focuses less on traditional service line delivery and more on having a business owner mindset, creating an adaptable organization, and becoming a future-focused advisor, not just a long-time friend, to our clients.”

All eyes are on Bill as he flips the page of his notepad and finishes scribbling down his third page of notes. He gathers his thoughts and then says, “Samantha, I appreciate what you shared. If I’m being honest, it feels like I need to change an awful lot of things at my firm, and that’s kind of daunting… but then again, what’s the cost of not changing?”

Get a comprehensive guide to building a future-ready firm with CPA Firm Strategic Planning: Your Roadmap for Long-Term Success by Matt Rampe, ASA, PCC. The approach we took to strategic planning in the past cannot keep pace with today’s demands. Yet, many CPA firms continue to use outdated strategic planning methods. This book covers the key benefits of strategic planning and provides an in-depth explanation of our 5i Proven Strategic Planning Process. Each stage includes core questions to ask, key outcomes and elements, guidance on moving from ideas to action, and examples drawn from real-world experiences throughout the book. Order your copy today!

Many of the firms we work with have a mix of elements from Wurkin Hard and Focus CPA Advisors. The difference between a CPA firm that’s just busy and one that’s built to last isn’t sheer effort alone. It’s also having an intentional plan for your future. We help firms define their desired future and design a practical path to get there.

Here are some questions to get you started:

• Do you know where your margins will come from as efficiency ramps up?
• If your firm wants to stay independent, can your partners clearly explain how?
• Are your future leaders being developed – or are you just hoping they will step up when the time is right?

What’s on your mind? Comment or email matt@rosenbergassoc.com to let me know!

¹ A Tale of Two CPA Firms: The Choices that Make All the Difference, March 2025, by Matt Rampe