Posts by Marc Rosenberg, CPA
Our Chicago large firm roundtable has brought in premier MPs from across the country for 15 years to share with us their management practices. Our most recent visitor was Steve Wasserman, MP of Los Angeles-based Gursey Schneider. GS ranks as #96 on Accounting Today’s Top 100 list, with revenue of $51M, 7 equity partners, 9…
Two key documents When a CPA firm acquires or merges in a smaller firm, it is common for the seller’s staff to be employed by the buyer. In this situation, there are two important documents (there may be others, but this blog addresses just two) to be executed between the buyer and the seller’s staff:…
In this two-part series, Darth, a 42-year-old partner sues his former firm, Force CPAs, for a larger buyout payment. The courtroom dialogue will share with you the facts, evidence, and arguments from each side as we explore industry trends related to payments for withdrawing partners. [Read Part 1 of the series here.] We continue below…
In this two-part series, Darth, a 42-year-old partner sues his former firm, Force CPAs, for a larger buyout payment. The courtroom dialogue will share with you the facts, evidence, and arguments from each side as we explore industry trends related to payments for withdrawing partners. Note: The legal issues in this case vary by state law. …
Question from a CPA firm: Our firm has an annual revenue of $10M. We are considering someone for partnership who will likely always be an income partner. In the past, we have admitted new partners as income partners, knowing that eventually they would become equity partners. This is a first for us, and we need…
Question From a $12M Firm: We are setting out our strategy for the next several years and discussing the pros and cons of having a full-time managing partner and a full-time COO versus what we do today, which is to have these positions handled part-time by partners who work a day job serving clients. Part…
In full disclosure, I’ll use one of my favorite words to describe what follows. It’s “apocryphal.” It may not have actually happened, but most certainly it could have – and probably does on a regular basis. The CPA profession has been incredibly good to legions of retired partners. Retirees loved their clients who loved them…
Over the years, we have found that many firms confuse terms for internal partner buyout plans with those commonly seen in external firm sales. Both transactions are vehicles for transferring CPA firm ownership, but there the similarity ends. The biggest problem with lumping the two together is that in designing a buyout plan, firms mistakenly…
The accounting profession has come a long way since the first CPA exam was administered in New York, in 1896. Outside events, such as the creation of the SEC and the tech revolution, have dramatically changed CPA firms’ service portfolios. In the early 80s, a legendary CPA industry consultant, Don Istvan, told practitioners that accountants…
Being an owner of a CPA firm is one of the coolest jobs anyone could want (assuming your dream job isn’t to be a Hollywood producer, astronaut or shortstop for the Cubs). You make great money, do work you enjoy and work with clients with whom you have a mutual relationship. You do this for…
Marc Rosenberg, CPA
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