The Practitioner: New firm, new opportunities...

by The Practitioner

More from this author

03 Jan 2013

  • Comments
the-practitioner

THINGS ARE GOING from strength to strength at the moment. New client work is coming in, and it's the sort of work we like – the monthly management accounts type. Companies are knocking down the door to join forces, and sign us up on introducer agreements for various things such as IFA work, insolvency work, etc..

With this growth come big decisions to be made. We can't say yes to everybody. We also need to make sure that we have enough office space to accommodate the additional staff and space that comes with this sort of growth.

I'm looking forward to making the big decisions, and making them quickly. Speed is the key here, I believe. Not having any fellow directors, at the minute, to bounce these ideas off, I have been using clients as a sounding board in this instance.

The great thing about talking to clients about the business is that, more often than not, they see things from a different perspective and come up with some real nuggets.

One client in particular is really keen to input his ideas. He has even come up with a novel idea for how to fund the growth. He has suggested that ‘investors' buy a proportion of a staff member's time for a period of a month, two months, etc.. They then get a fixed percentage return of the amount of billing done by that staff member in that time.

In essence, it is a solution for funding the extra staff and overhead costs associated with growth. The downside is that they want a return of the profits.

No shares will swap hands – so it is merely a funding alternative.

It's something we will give serious consideration to, maybe just for a certain service such as payroll or bookkeeping. Then again, how much profit is there in those services, anyway?

The Practitioner's uncensored thoughts come from within their own practice – having left a regional firm in the heart of England

Visitor comments

blog comments powered by Disqus
display:none

Add your comment

We won't publish your address


By submitting a comment you agree to abide by our Terms & Conditions

Your comment will be moderated before publication

Submit

conservatoire-for-dance-and-drama

Finance-Director-part-time

Conservatoire for Dance and Drama, London, Permanent, Part Time, £60,000 pro rata

 

 

Newsletters

Get the latest financial news sent directly to your inbox

  • Best Practice
  • Business
  • Daily Newsletter
  • Essentials

Careers

Search for jobs
Click to search our database of all the latest accountancy roles

Create a profile
Click to set up your profile and let the best recruiters find you

Jobs by email
Sign up to receive regular updates with the latest roles suitable for you

Briefings

budget-management

Why budgeting fails: One management system is not enough

If budgeting is to have any value at all, it needs a radical overhaul. In today's dynamic marketplace, budgeting can no longer serve as a company's only management system; it must integrate with and support dedicated strategy management systems, process improvement systems, and the like. In this paper, Professor Peter Horvath and Dr Ralf Sauter present what's wrong with the current approach to budgeting and how to fix it.

cchcover

iXBRL: Taking stock. Looking forward

In this white paper CCH provide checklists to help accountants and finance professionals both in practice and in business examine these issues and make plans. Also includes a case study of a large commercial organisation working through the first year of mandatory iXBRL filing.