If you’re in the accounting world right now, you have started seeing it shift from transactional accounting to more of an advisory service role. Some of you have jumped on the bandwagon and have already started offering this type of service to your clients.
Some of you are hesitant. Let’s eliminate some of that hesitation, shall we? The first thing you need to know is pretty basic, the relationship you build with your client is so important! When a client approaches you and chooses you as their accountant, they are trusting you with their sensitive financial information and trusting you to help them make good decisions.
The relationship you build with your client matters. In the technological world in which we live, it is so easy for business owners to keep track of their financial statements and prepare taxes all on their own. Which further proves the point that your interactions with your clients needs to be more than just transactional. Most business owners will come to you for help, not just for a one-time service.
Stepping into the advisory role can be daunting, but if you build trust with your clients, the transition becomes easy. You must act within your client’s best interest and practice objectivity and integrity when dealing with their financial statements.
Make sure to join our webinar, “Smarter Innovation, smarter collaboration with Path by Simplex” on May 26, 2021 at 2:00 p.m. EST to learn how Path can help you understand your client’s data story. Register here.
Building that trust and guiding your client’s in the best direction creates a mutually beneficial working relationship. This also creates loyal clients. If you were to leave a firm and go to another one or become self-employed, those client’s that you have built trust with will follow you.
More often than not, the reason a client leaves a firm or an accountant, is a lack of communication. When dealing with sensitive information such as the financial statements of a business, there is no room for vague conversation or beating around the bush. In order for both you and your client to be successful, you must communicate freely. Obviously, you want the best for your client, so make sure they know that and know that you have their best interest at heart. Conversations won’t always be positive, but they will be directed toward the success of your client and their business.
Having that open communication builds trust, but so does investing in your clients. You must show your clients that they are more than just a number – that you actually care for them. If your client owns an ice cream shop, stop by on your way home from work and bring them some business, check to see how they are doing. This shows your clients that you are invested in them and want to see them succeed.
Every company has a story. Sure, you see their financial statements and maybe you can make an assumption on how that business is doing but you don’t get the full story. The financial statements are like the chapter outline to a novel. In order to really understand what is going on, you need to read the whole book. The whole book includes other factors such as location, employees, day – to – day operation, and critical events.
The financial statement will say March 2020 was a bad month. The whole data story will explain that in March 2020 COVID-19 hit and your client had to shut the doors while they tried to become compliant with new regulations. The data story gives you context to the numbers you see on the financial statement.
Knowing the details of your client’s data story will help you give sound business advice to your clients and help them stay on the path to being successful.
Make sure to join our webinar, “Smarter Innovation, smarter collaboration with Path by Simplex” on May 26, 2021 at 2:00 p.m. EST to learn how Path can help you understand your client’s data story. Register here.