Like all business relationships, sometimes the arrangement between a client and an accounting firm doesn’t last forever. Although it’s often a case of clients outgrowing your services, it can also occur due to client service issues that you can easily fix. Below are several common reasons clients outgrow their accountants and what you can do about it.

 

The Client Has Moved into a New Niche

Your client may have operated a one-person business when he or she started with your accounting firm. Over the past several years, your client has expanded business operations and made several investments. This may lead to the belief that your accounting organization is no longer large or diverse enough to meet the client’s needs. Before the client walks away, schedule a time to sit down together to determine if this belief is even true. It’s possible that you do have the resources and your client simply wasn’t aware of it.

 

The Client is Considering Selling the Business

While the sale of a client’s business could signify the end of your professional relationship, that doesn’t mean you can’t assist him or her with preparing to place the business for sale. For example, you could offer to help your client in maximizing profit and minimizing expenses throughout the sales process. The two of you can run several scenarios to determine which one enables the client to come out the furthest ahead after selling the business.

 

Lack of Reliable Information About Cash Flow

One reason that managing cash flow is so difficult for some business owners is that they have never received proper education about what it is and how to manage it to their advantage. Providing extensive cash flow education when someone first becomes a client and then offering ongoing tips for maintaining cash flow can help you to keep a client who might have otherwise left in frustration.

 

New Online or Out-of-State Locations

Businesses that start out with only a local presence may eventually expand in other states, online, or even internationally. This requires an accountant with the experience and skills to manage laws in multiple jurisdictions. If you have this experience, don’t be shy about advertising it. It can help you to retain clients as well as attract new ones seeking someone who can help them financially manage multiple business locations.

 

Clients Leave When They Don’t Feel Important

Of all the reasons that clients leave their accounting firm, this one is perhaps the most fixable. How often do you check in with your clients to see how they’re doing and what they need? This is a remarkably simple and effective strategy to let your clients know you care about their ongoing success. It also presents the opportunity to discuss new services they may not have learned about until coming in for their next appointment.

 

Become a PABSA Member to Offer Your Clients More

PABSA, which stands for Professional Accounting Small Business Association, offers numerous member benefits to help grow your accounting practice and maintain your current clients. We invite you to learn more and submit a membership application today.