Posts by Marc Rosenberg, CPA
Recently, the Virtual Roundtable Group (VRT), a managing partner group founded by Art Kuesel and Marc Rosenberg, convened an in-person meeting in Austin, TX, to exchange ideas about CPA firm best practices. Kristen Rampe of Rosenberg Associates expertly led the group discussions. The firms ranged in size from $10M to $30M and were located from…
The trigger for this blog is how CPA firms can resolve—or at least lessen—the dire shortage of staff in our profession, thereby easing the frustration that firms are experiencing by not having enough people to get the work out. In our blog “What CPA Firms Can Do to Ease the Staff Shortage,” posted Sept. 12,…
I had lunch recently with the managing partner of a long-time client. His firm’s revenue is $15M with nine partners. The firm is in its second generation and is very successful: equity partner income averages $750,000. The MP himself earned a tad over $1M. We discussed many things. But we focused mostly on the dire…
QUESTION FROM A READER: Should the managing partner be a permanent position or rotated among partners? ROSENBERG RESPONSE: Important first question Current and future MPs need to ask themselves if they will commit to being a permanent MP (assuming the other partners are okay with this). There are lots of positives to this. Leaders like…
The Rosenberg Survey is compiled by The Growth Partnership. Charles Hylan, a partner at TGP, heads up their survey team. This is the 25th year of the survey, which reports on 2022 data. As always, “partner” means equity partners only. Percentage increases or decreases are based on data only for firms over $2M in revenue….
The CPA profession has witnessed profound transformations in firm management. This blog aims to shed light on the sea of changes in partner income allocation methods, showcasing how these changes have influenced the overall dynamics of CPA firms. We will reflect on the changes over the past 20 years and, more importantly, delve into the…
The challenge to us Several managing partners have recently asked us what spread between the highest and lowest paid partner is appropriate. We use the term “partner” to mean equity partner. First, some facts The latest Rosenberg Survey showed the ratio of highest to lowest paid partner: Over $20M – 3.9 to 1 $10–$20M –…
Ask CPA firms about the effect of the staff shortage, and 99% of them will say it is negatively impacting their firm’s bottom line. This is the finding of a poll of 250 CPA firms in May 2023 conducted by PR Newswire and Censuswide. This doesn’t mean that profits are disappointing – far from it…
Aspiring accountants who are invited to become a partner in their CPA firm usually face the hurdle of a buy-in requirement. This requirement is a payment that new partners must make to gain an ownership stake in the firm. Depending on the practice’s size, the buy-in requirement can be substantial at some firms, ranging from…
We’ve written over 500 blogs in the past 15 years. Our material is pitched mostly to partners and managers. We would love it if this blog was read by entry-level hires, staff at CPA firms senior or below, and interns. Partners, you should forward a copy of this blog to your firm’s young people. We…
Marc Rosenberg, CPA
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