Top RedZone Posts from 2017

PracticeManagementWe are happy to share some of the most popular RedZone posts from 2017. Thank you for providing your RedZone comments, feedback, ideas and thought leadership with us.

Navigating Through Preliminary Merger Discussions
Most M&A deals typically go through five stages: preliminary discussions; transactional detail meetings and negotiations; an initial agreement outlined in a memo of understanding or letter of intent; due diligence; and the transaction agreement and signing of the partner/shareholder agreement.

Women in CPA Leadership: Where they’ve been, where they’re headed, and advice for the next generation
In 1896, Christine Ross took New York’s inaugural CPA Exam. Following an 18-month delay in receiving her scores due to her gender, Ross became the first female CPA in the United States in 1899. Over the past 120+ years, many other notable women have impacted the accounting profession in profound, unmistakable ways.

Today, women represent more than 50 percent of accounting graduates and female leaders in public accounting are much more prevalent than 20 years ago, but women still only represent approximately 20 percent of partners in the nation, and progress has been slower in attaining managing partner and executive committee positions.

Succession with a Sense of Urgency
One of the most challenging problems of leading a CPA firm in this very competitive environment is the ability to implement succession strategies and initiatives with a “sense of urgency.”

Growth via Acquisition
This article appeared in the September/October 2017 issue of the New Jersey CPA.
Most accounting firms reach a point in their life cycles where their ability to generate growth internally falls short of their profitability goals and objectives. Mergers and acquisitions (M&A) have proven to be far more productive and much more successful than building growth organically, which can be a painfully slow process (especially for small firms) and requires significant investments in marketing and practice development efforts and strategies. In addition, as market demand for specialty services is continuing to increase, firms are seeking to use M&A to obtain industry and niche specializations and to support succession planning voids.

Using Leverage and Balancing the Pyramid
Many accounting firms have become under-leveraged, creating significant problems with succession planning, growth, profitability, and staff retention. There is a direct correlation between the ability for partners to delegate and leverage their time and the ability to grow the firm and increase profitability. In addition, this issue has been fueling the volume of merger activity over the last five years.

Defending Against a Succession Planning Crisis
This article appeared in the May/June 2017 issue of New Jersey CPA.
A succession crisis is occurring at public accounting firms across the country, driven by the vast numbers of Baby Boomer partners who will be retiring in droves over the next 10 years. Many CPA firms wish to remain independent, but few of them have completed and implemented formal plans to ensure their legacy.