You deal with numbers all day. But are your own business numbers adding up? Growing your accounting business keeps you busy and helps you boost your profits. Coming up short on clients? Create a profitable accounting business with a few changes to your services.
Narrow Your Niche
Some accountants try to be everything for everyone. That works for bigger firms. But smaller accounting companies usually have better luck specialising in a certain area. Finding an accounting niche lets you really get to know the target audience. You can customise what you offer to fit the needs of that niche. And you become the go-to accounting guru for people in that niche.
What are the niche possibilities? One option is targeting business owners in a specific industry. Maybe you have past experience in the tech world. Customise the accounting services you offer with tech businesses in mind. Another route is targeting a certain type of entrepreneur. Market to new business owners, or focus on franchise owners. Still not sure of a niche? You can offer your services to businesses of a certain size or specialise in a certain accounting task like payroll or taxes.
Whatever niche you choose, learn everything you can about it. Become the expert. Working your niche into your SEO, website, and marketing materials makes it easier for people to find you.
Change Your Pricing Strategy
How do you bill clients? Do you charge on an hourly rate? Say you give your client a price based on your hourly rate. You estimate how long you think it should take you. But it takes longer than you plan, which cuts your hourly wage. You could charge after the fact based on how long it actually takes. But your client might wonder if you’re intentionally taking longer to bill more.
Look for alternatives that secure your profits. One option is a flat monthly rate. Your clients know what to budget for accounting services. You know you’re getting a steady amount each month. Plus, you’re not racing the clock and potentially letting small errors slip through the cracks.
You can also create service packages. Instead of pushing individual services, group them together in a logical way. Clients love getting a package deal. It’s like one-stop shopping for them.
Another approach is cutting your client list but increasing your prices. When you specialise and make yourself an expert, you can charge higher rates. That means you don’t need as many clients to make the same amount of money. Get rid of your problem clients or the ones always looking for a deal. Focus on the serious clients who understand your services are worth paying more.
Master Accounting Technology
South African businesses are often slow to embrace technology. But more business owners are realising its importance. Give your accounting company the edge by using the latest technology. That tech helps you work faster so you can increase your profits. It also lets you better serve your clients. Cloud-based accounting software, such as QuickBooks Online Accountant, helps you work efficiently by managing both your accounting business, work, and clients in one place. You can also help your clients get you important information by using QuickBooks Online products themselves. Automating as much as possible with available technology makes life easier for everyone.
You know your stuff when it comes to accounting. A few tweaks to the way you run your accounting business can make a big difference. Hone in on your specialty area. Then, work as efficiently as possible to maximise your profits.
Discover more free Small Business Resources at the Intuit QuickBooks Resource Centre to help grow your business in South Africa today.