Rosenberg Associates Blog
Marc Rosenberg, CPAIn 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…
This is a true story of a retiring, founding partner of one of the best, most successful firms I have ever had the privilege of working with. His name is Doug Dean of Dean Dorton in Lexington, KY. The firm today has annual revenue exceeding $40M and 260 personnel and has received a continuous stream…
Throughout my 20+ year consulting career, I’ve said this a thousand times: “I’m one firm smarter than the last firm I worked for.” We learn from our clients. It’s that collective accumulation of best practices (and worst practices) and experiences in hundreds of firms that make us valuable consultants to them. We recently worked with…
I’ve had a great career as a management consultant to CPA firms (it’s not over yet!). I love what I do. I’m skilled at it. My expertise is professionally recognized. And oh yeah, the money’s good. But one thing has been lacking – a partner. I have been a “one-man-show” for 20 years. But that…
There are some products that are so iconic and popular that it doesn’t seem possible that their success could ever be in jeopardy. Oreos. The New England Patriots. Microsoft Office. It must be wonderful to own and manage businesses like these that seem to run themselves. CPA firms enjoy no such advantaged status. THE THREE…
The short answer is that CPA firms stink at succession planning. Firms’ entire operations are geared to maximizing short-term profits, focusing on today at the expense of tomorrow. Evidence of this is the following: A 60 year-old sole practitioner wants to sell her firm and work eight more years. She has revenue of $1M and…
A classic TV commercial showed two businessmen talking over drinks in a noisy, wood-paneled men’s club when one says: “My broker is Smith Barney and he says…” All of a sudden, everyone in the club leans in to hear. The message: When a wise person talks, shut up and listen. Advice from a luminary is…
The most stunning statistic today in the CPA industry is this: 80% of first generation firms never make it to the second. Why? They have non-existent or ineffective succession plans. What’s the one key element to a great succession plan? Effective practice management. It creates a vision that provides for the development of great people who advance…
CPA firms are in the midst of a succession planning crisis that will continue until the retirement of Baby Boomers joins Y2K and other issues on the ash heap of history. A paltry 20% of first generation CPA firms make it to the second. The primary roadblock: ineffective or non-existent succession planning and leadership development….
What IS the right stuff…to earn a promotion to partner? Ask 10 partners from different firms, you may get 10 different answers. I have worked the following script dozens of times at partner retreats: I ask the group everything it takes to become a partner and write their responses on a flipchart. When we’re done,…
Get our expertise delivered to your inbox.