Your Firm Should Have This Critical Conversation

As you start thinking about next tax season, consider this:  A timely client conversation could change the trajectory of your year and your firm.

We’re living in an era of constant change and often, chaos. For most, any chance to bring some structure and rhythm to the day-to-day challenges of business life would go a long way in curbing the chaos of life overall. Now that a new tax year is underway, it’s the ideal time to bring back control and confidence to client interactions.

In our work with accounting, bookkeeping, payroll, and tax firms of all dimensions, we see how work and data moves through these firms, and how some firms are able to engage at a whole other level with staff and clients.

After tax season closes, many firms hold a retrospective to really dive into what’s working and what needs to improve. It’s important to bring everyone together for critical learning and brainstorming that will drive improvements for this tax year and serve as a great retention tool.

To improve service delivery, there’s another crucial step to take, right now. It is bringing clients into the fold. As you gear up for the next tax season, gird the process with a candid conversation to ask your client how it’s going, what their plans are, where they see potential or pitfalls ahead.

What it takes to grow your business boils down to this: all of your unrealized profit and potential are sitting in your client base. So let’s get at it!

How to Maximize the Experience for Everyone

Obviously, you can learn something from any client—even the difficult ones. My suggestion is to focus your limited resources on the best of the best—that ideal client that you would replicate if you could.

Schedule a lunch with a goal to touch base on their business and priorities. Explore and probe to learn where they are and what’s coming to see how you can help. You’ll be surprised by the nuggets that surface—an owner plans to merge or sell the business or open another location. These insights into business plans are invaluable.

Not sure what to ask? Here are some ideas to get the conversation started:

• What are your plans for the rest of the year?
• Where do you see the firm going?
• What’s keeping you up at night financially?
• Where are the obstacles ahead? The opportunities?
• What’s the vision for firm growth? Work/life balance?
• Do you have a succession plan?
• What else is on your mind?

Make it palatable for them to talk about their issues and ideas. Casual conversation—rather than a wholesale review of the books—can open doors you didn’t know were there. You can bring material benefit to the client when you glean more about their expansion plans or cash flow concerns or evolving their tech stack. You’ll gain the clarity to expand or add services to meet your clients where they are… and where they’re headed. And, that’s crucial.

This move alone will put you head and shoulders above any firm. When you learn more about what they need, hear their words and frustrations, it will be easier to pinpoint opportunities to expand service offerings.

You’ll be able to look beyond the nuts and bolts of compliance work with greater perspective about their plans. That helps with client retention and word of mouth. Plus, you’ll become a better marketer for your firm.

What you learn from one client can ultimately be applied to other clients and incorporated into your materials on your website, in your proposals, and through your outreach with prospects and other clients. The knowledge gained helps you differentiate your brand, your business, to retain and grow current clients and win new ones. If you’re thinking you don’t have time to sit down with every client for these diagnostics, consider charging for your time.

There are usually several clients who will pay you more to have a less stressful tax season. Clients who didn’t have their best year will be eager to avoid missteps and improve outcomes this year.

Clients who had a good experience will want a repeat and likely be open to more services to stay on track. Now’s the time to let them know you’re offering concierge or VIP services, or an exclusive tax planning package, for those who want to be more proactive with their finances.

These services help clients see how they’re trending for the tax season and greatly mitigate their risk profile. It’s a way to help them get ahead of write-offs, and be thoughtful about spending and stay on track.

If you don’t want to charge clients, offer a complimentary first meeting to get the conversation started. Simple, exploratory client conversations can yield gold, especially if you can involve others on your team. It’s often hard to cede access to direct conversations with clients. However, if you have team members who are ready to up-train, bring them along and record the meeting to help build their skills.

It’s a great way to build in redundancy in your firm while providing growth opportunities for your team. They’ll become better advisors and you’ll be better positioned to cross sell, increase word of mouth, and capitalize on market opportunities.

If you’re ready to pivot to a better tax season, tap into the potential of your client base. Start the conversation today.