Intro Video | PattonArcher

top of page

1. Building your Clientele - There are different models for CPA's/EA's (Enrolled Agents). To build your clients, you can target a niche audience, people that need tax resolution, new movers in your area, business taxes, accounting, payroll, consulting, etc. Each has its own merits and one of the questions you need to ask, "Do I want a deadline driven practice all year around or just during tax season. Do I want to work around the clock during tax season or do I want to smooth out earnings over the year. Do I want to hustle during tax season and make most of my profits and relax the rest of the year and work part-time from May - December." Each style of practice has validity and can meet your needs financially.

2. The Chase vs. Service - As a practicing Accountant or Enrolled Agent, there is a choice to face when it comes to selecting clients. There are some clients who always seem to be behind in getting their tax information to you, accounting records, payroll, etc. We constantly chase these clients to serve them. However, this "chase" creates lower profits, as oftentimes you have difficulty billing them for your time and frankly, every time you open their folder and revisit the issue, there is 5 minutes of wasted time that is difficult to bill and they have difficulty paying. The "service" or compliance aspect of the business is rewarding. Helping clients file their taxes, or giving them advice to make them a better client is rewarding. The Service aspect of our business is rewarding as you accomplish the task and then put it behind you. These clients are ultimately more profitable and less time consuming. We only have 24 hours in a day and we want to make the most of it with family, friends, and the clients who do not give us grief.

3. The Magic Number - Here is where it gets interesting. I know practices and professionals who prepare over 1300 tax returns by themselves during tax season and they make good money doing so. However, as I have done in the past, (I had 12 offices with 72 people and $6.7M in revenues with 7 figures in income and worked 35 hours a week) having the right number of clients is what we are after. That number is likely 200-300 for each EA, CPA, Accountant, or tax preparer. When I say clients, I mean individual tax returns. If you are preparing business returns then it is closer to 200, if not, then 300. Why 200? I can show an individual how to bring in 40 or more new clients each year and generate an average of $57,000 in income in year one, and then next year it adds on so after 5 years, you have 200 individual clients and $200,000 in Net Income and working normal hours during tax season and limited hours after tax season. Outside of tax season you are planning with clients, talking tax strategies, and looking for the next 40-50 clients for next tax season. Once you hit 300 clients, you are making $250,000 or much greater per year.

4. If you have read this far, I will now tell you the simplest way to execute on making the $200k in 5 years: All through tax planning in its simplest form. As you bring in clients for individual tax prep, you will also prepare a tax plan for them to show them how to save $50,000 in taxes during retirement (more than paying you for your services). The easiest way is to use a program that builds on the tax return from prior year or the current year. You will discuss with them in the initial meeting that tax and investment management work together for the benefit of the client. Not through high cost insurance policies, but true tax and investment planning. Utilizing the new 529 Back Door Roth, HSA, Non-Deductible IRA to Roth Conversion, and managing any assets through tax-efficiency (not insurance), you can save them thousands in taxes up front and even more in retirement. It is a complete plan that is easy to implement and as their advisor have a unique understanding of their taxes and finances.

With our companies, we have helped 100's of professionals create successful practices, just like I explained here. We can help you accomplish all your goals with your practices and show you a better way to serve your clients. If you are already licensed with a series 65, our program with our Accountant/Investment Advisors is the best in the business. Call me today at (800) 800-1776 or email me at tpatton@thearcherfunds.com.

bottom of page