Change is inevitable in business, but it does not mean change is any less daunting when you have to do it. When you have invested so much in one firm for so long, it feels like a loss to let it go when it no longer works for you. All the time, money, and effort you put into someone’s hands may seem like a waste if you say goodbye. That’s why deciding to change to a new CPA firm is tough.
But always remember this theory called the sunk-cost fallacy. This principle affects everyone at some point in their lives. Even if something is not going as planned, it feels safer to stick with something familiar. Although you know the risks and experience losses, you try to stick with what’s familiar. In the long run, it will cost you even more, especially if you stick with a service provider that offers terrible bookkeeping and accounting services.
Don’t be fearful of making changes, especially when it affects the efficiency and process of your company’s operations. When change is needed, change must be done, even if it means ruffling some feathers and switching your CPA firm. The knowledge that you’re switching to a firm that’s more reliable, as well as improving your business, is enough reason for you to be okay with looking for greener pastures. The following tips should give you some relief as you go through changes in your accounting service provider.
1. Think about the welfare of your business
Prioritize the welfare of your business because it impacts your income, as well as the income of those you employ. Every aspect of the business plays an important in your operations. An inefficient accounting service could cause malfunction of other operational components, by either forcing workers to inaction or doing extra work to assess your books of accounts. Again, it is not just you who depend on its operations but also the employees. If your accounting service provider cannot provide what you deserve, then prioritize your business and make the cut. If you’re working with professionals, there should be no hard feelings.
2. Be clear and honest with what you want.
Even if you’re now switching CPA firms, your previous firm still deserves an explanation and feedback. They must hear the news and answers from you first to avoid miscommunications. Honesty will get you and your CPA on the same page and hopefully create changes.
It would also help you see clearly what you’re looking for in your new firm. It’s important to make a graceful exit in the business world. Make it a point not to burn bridges because you may reencounter them in the future.
3. Seek guidance and gather information.
As noted above, the business field is heavily connected. But even with their clients, CPAs may be reluctant to share client data. It does not hurt to ask what your previous CPA would be willing to release to the new CPA. Your big move to a new CPA firm will be easier once the basic information is gathered.
With this, your transition to a new provider could progress faster. We see a wide range of CPAs in the industry who will most of the time, share client information with the new CPAs during the transition. At the same time, their discrete enough not to reveal data to other non-involved parties.
4. Discuss with your new CPA
As noted above, the business field is heavily connected. But even with their clients, CPAs may be reluctant to share client data. It does not hurt to ask what your previous CPA would be willing to release to the new CPA. Your big move to a new CPA firm will be easier once the basic information is gathered.
With this, your transition to a new provider could progress faster. We see a wide range of CPAs in the industry who will most of the time, share client information with the new CPAs during the transition. At the same time, their discrete enough not to reveal data to other non-involved parties.
5. Meet the new firm team members
Meeting the people assisting you will be a great way to have something to look forward to. This way, one can find out how organized the new CPA firm is. Also, one can find out if their auditors can communicate clearly and are responsive to your questions. By meeting them, you would know what to expect and what to adjust in terms of expectations.
Switching CPA firms ought to go without a hitch and ultimately add value to your business. It may be challenging to locate a firm that is all professional, organized, and communicative. Still, it will be worth it in the end especially if the business can build a strong relationship with the new team. If you need assistance, give our team a call.
