Two-thirds of partner agreements include a mandatory retirement provision.  This provision usually requires partners to give up their equity but allows them to continue working in some fashion.  A common stipulation is that if a “retired” partner wishes to continue working, either full or part-time, this must be approved annually by the other partners. Here…

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I have a keen interest and understanding of how managing partners perform their jobs.  Their duties encompass a long list of critically important management functions.  Certainly, one of these is to ensure that technology has an optimal impact on the firm’s success, profitability and efficiency. This can be quite challenging because, unlike most MP duties,…

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Properly written partner agreements contain more than 200 provisions, all important. We have reviewed hundreds of partner agreements and helped firms create or revise several dozen, and based on this experience, I’ve identified what I consider the 16 most critical provisions in CPA firm partner agreements.  The items are not listed in order of importance. …

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At a recent meeting of my monthly roundtable of 20 of the 30 largest local CPA firms in Chicago, we invited attorney Russell Shapiro, partner with the law firm of Levenfeld Pearlstein, to speak to us about key issues which are rarely addressed in CPA firm agreements. The first four items are listed below; the last four will appear in a future blog post.

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Thousands of CPA firm partner agreements haven’t been updated for 20, 30 years or more.  At some firms, this oversight is due to a lack of time.  At other firms, the issues neglected are somewhat sensitive so the partners avoid addressing them.  At most firms, it’s a little of both.  Here are 10 partner agreement…

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