Edmonton Tax Accountant | Why We Bill Monthly
Even though a monthly billing structure is not the Typical Way, Edmonton tax accountant firmís bill their clients, Spurrell and Associates have found that this is actually an extremely beneficial billing schedule, that not only can impact their clients significantly, but it can impact their own firm as well. There are several things that they took into consideration when deciding to build their clients the same invoice regardless of what services they got, which also significantly impact the success of their clients.
The first thing that they decided, was regardless of which type of client they had, but there was an unincorporated business, and annual corporate client, or and outsourced client where they acted as their accounting department, each of these clients would get the same invoice every single month. Despite the fact that each of these clients have a very different amount of time that they require every month, they all get the same invoice. The reason for that, is because while they all have different amounts of time that they take, once they are set up as a client, they become significantly easier. By taking the time to set those clients up ahead of time, this Edmonton tax accountant invests in their clients, as well as invests in their future.
Even though most accounting firms also charge additional fees for their business plans, this Edmonton tax accountant decided to charge the same flat rates for all their clients regardless of what services they need including their business and tax plans. The reason they decided to do this, was because they discovered that most of the clients that absolutely needed to have these business plans and tax plans in order to succeed in business were also the ones that were least likely to be able to afford to pay for it. By refusing to help those clients that need it the most, there were not only impacting their ability to succeed, but also losing their own client in the process. By helping all businesses get the important tax plan and business plan that they need, there are significantly helping those clients succeed, and impacting the ability to continue working with them in the future.
The next thing that these accountant kept in mind when they were creating their flat monthly fee, is by being able to help all of their clients with whatever products or services that they needed every single month, they were ensuring those clients success. Setting these clients u, and giving them whatever they need whether it was a business plan or a tax plan, they would be able to be successful, therefore that time that they put into that client is an investment into the business and into their future. Returning clients are far more lucrative for accountants then just trying to make money on them in the first year, by impacting the ability to succeed past their first year, allowed this accountant to have a higher degree of repeat clients.
Edmonton Tax Accountant | Why Build Monthly
There is many things that billing clients on a monthly flat fee does not only for the clients but for this Edmonton tax accountant. One of the most significant things that they did at this accounting firm was change the way they bill their clients, in order to allow them to be able to give those clients all of the services that they needed in order to succeed. The found that an hourly billing tended to create a difficult relationship with their clients because they would avoid reaching out with problems to their accountant when they needed it because they were afraid of getting a larger accounting bill at the end of the month. When they did this, they would end up creating bigger problems in their business by not dealing with the problem early on. Once they moved to this flat monthly billing cycle, accountant founds that they were able to have a better relationship with their clients, and be able to provide them all of the services that they needed in order to succeed.
One way that this billing cycle impacted the Edmonton tax accountant in a way that they did not expect, was freeing up how much time they were spending on billing. Typically, that would have to keep track of all of the time that they spent on each client so that they can put into an invoice, reviewing that invoice and sending it out. Once there clients got that bill, they often had questions about it or concerns, mostly because they want sure what that bill was going to be every month, because it was hourly. So that end up having lots of questions or concerns. By moving to a flat monthly fee, they did not have to spend so much time billing, because everyone got the same bill, and then also would not have to get several questions, because those customers knew exactly what to anticipate every month.
What they found this Edmonton tax accountant firm was that it freed up about two full business days every month, which does not seem like a lot of time until it is realize that two days every single month actually equals five weeks every single year of free time that the accounting firm no longer has to spend on billing, but that is time that they can then spend on servicing their clients to a higher degree.
Another way that this significantly helped the Edmonton tax accountant, was by allowing them to better plan their staff to be able to provide that high level of service that their clients became accustomed to. The reason they could do that, is because there able to predict how much revenue is coming into their accounting firm every single month, and how many hours they need to service the number of clients that they have. They can figure out how many more clients there able to bring on and give that same level of service to.