CLA (CliftonLarsonAllen)’s Post

AARON ADAMSON & ALEX POLAMERO: 🚀 The Future of Accounting Firms: Scaling Advisory Services 🚀 Imagine a world where accounting firms can effectively scale their advisory services, breaking free from the constraints of time and the traditional billable hour model. That's exactly what is discussed with industry experts Alex Polamero, Aaron Adamson, and Brendan Roberts of Aider. Challenge 1: Time Constraints Partners and owners in accounting firms face a monumental challenge - time. They simply don't have enough hours in the day to communicate effectively with clients. Yet, client communication is a lifeline, essential for helping businesses thrive. Challenge 2: Productizing Advisory Services Traditionally, accountants have sold their time, but scaling requires a new approach. The solution? Productizing advisory services. But how? Brendan Roberts sheds light on a game-changing strategy. The core product no longer has to solely be the accountant's time. Introducing a "tier two" advisory offering: monthly reports, action items, and executive summaries. Clients can reach out as needed, rather than being locked into a set monthly meeting. These technologies are a game-changer in scaling advisory services. The shift towards higher-value engagements - away from low-margin tax and bookkeeping work - is crucial. By driving qualified leads through digital marketing, firms can transform these leads into high-value clients, exponentially boosting lifetime client value and profits.

AARON ADAMSON & ALEX POLAMERO: 🚀 The Future of Accounting Firms: Scaling Advisory Services 🚀 Imagine a world where accounting firms can effectively scale their advisory services, breaking free from the constraints of time and the traditional billable hour model. That's exactly what is discussed with industry experts Alex Polamero, Aaron Adamson, and Brendan Roberts of Aider. Challenge 1: Time Constraints Partners and owners in accounting firms face a monumental challenge - time. They simply don't have enough hours in the day to communicate effectively with clients. Yet, client communication is a lifeline, essential for helping businesses thrive. Challenge 2: Productizing Advisory Services Traditionally, accountants have sold their time, but scaling requires a new approach. The solution? Productizing advisory services. But how? Brendan Roberts sheds light on a game-changing strategy. The core product no longer has to solely be the accountant's time. Introducing a "tier two" advisory offering: monthly reports, action items, and executive summaries. Clients can reach out as needed, rather than being locked into a set monthly meeting. These technologies are a game-changer in scaling advisory services. The shift towards higher-value engagements - away from low-margin tax and bookkeeping work - is crucial. By driving qualified leads through digital marketing, firms can transform these leads into high-value clients, exponentially boosting lifetime client value and profits.

It was great to catch-up with so many accounting leaders at the BILL Accountant Partner Council last week! This annual meeting is an awesome opportunity to bring together some of the most influential and innovative firms in the country to talk about the trends and topics that are changing the way accountants serve SMBs. My key takeaways: ➡ The partnership between accountants and SMBs has never been more important. SMBs are looking for strategic advisors, and accountants are levering tech to help them deliver in new and exciting ways ➡ The shortage of new CPAs coming through the pipeline is a genuine challenge for the industry. Firms are getting creative in how they grow their services and increase strategic value for clients. ➡ Automation is accelerating. More firms than ever before are implementing financial automation software to help their clients win We couldn’t do what we do at BILL, without our accountant partners 🧡 . The feedback we get from firms on our platform, products and pipeline is instrumental in helping us build better for the future. Thanks to everyone who joined us! If you’d like to read more, Richard Corn has a great write-up here:

What are #smbs looking for in their Accounting firm? 👊🏻 Keeps up to date on technology 👊🏻 Serves as a trusted advisor 👊🏻 Has the ability to expand services to provide additional value 👊🏻 Continues to go above and beyond If you don't feel like you're getting this out of your current accounting partner, we should talk! sfinerghty@supportingstrategies.com

Determining how to price advisory services continues to challenge accounting firm leaders. Intuit QuickBooks shares the 4 key elements to value pricing advisory services. https://lnkd.in/gBgTeTSR #accountingfirms #accountingandaccountants #bookkeepingbusiness #taxservices

Revenue vs. Expense Recognition The Yin/Yang of Accounting 👇 Let's talk about the two sides of the same coin It’s like learning the ABCs in accounting They’re foundational, yet complex 💵 Revenue Recognition: What it is: Simply put, this is the moment you can say, "We've earned this money and can record it as revenue in our financial statements." It might be different from when cash actually hits your bank account, fyi. Example: You run a SaaS business and a customer signs up for an annual subscription of $1,200. However, you recognize this revenue over the course of the year at $100/month, not when you get that upfront payment. 🧾 Expense Recognition: What it is: Expense recognition, or the Matching Principle, is the accounting practice of recording expenses in the same period as the revenue they help generate. Example: You pay $12,000 upfront for an annual software license that helps you manage customer relationships. You'd recognize this expense as $1,000/month over the year, aligning it with the revenue generated by using this software. 🤜🤛 Why They Go Hand in Hand Understanding both principles ensures your financial statements are transparent, accurate, and compliant Revenue recognition makes sure you’re not overstating income, while proper expense recognition ensures you're not understating expenses. 🤔 So, What's the Big Deal? Well, getting these wrong can have serious consequences, including misstated financial statements, which no CFO or CMA would want under their watch. 💡 Take Action Today: Take time this week to review your company's revenue and expense recognition policies. Are they in line with the current accounting standards? Are there areas of improvement or clarification needed? 👉 What would you add? Share your thoughts below —--------------- Hi! I’m Nathan Liao, Founder & CEO of: 🚀 CMA Exam Academy dot com - Pass the CMA exam on your first attempt! - 16-week Accelerator program (link in bio) - Students in 120 countries. 92% exam pass rate ➕ Follow me for accounting & finance insights

Revenue vs. Expense Recognition The Yin/Yang of Accounting 👇 Let's talk about the two sides of the same coin It’s like learning the ABCs in accounting They’re foundational, yet complex 💵 Revenue Recognition: What it is: Simply put, this is the moment you can say, "We've earned this money and can record it as revenue in our financial statements." It might be different from when cash actually hits your bank account, fyi. Example: You run a SaaS business and a customer signs up for an annual subscription of $1,200. However, you recognize this revenue over the course of the year at $100/month, not when you get that upfront payment. 🧾 Expense Recognition: What it is: Expense recognition, or the Matching Principle, is the accounting practice of recording expenses in the same period as the revenue they help generate. Example: You pay $12,000 upfront for an annual software license that helps you manage customer relationships. You'd recognize this expense as $1,000/month over the year, aligning it with the revenue generated by using this software. 🤜🤛 Why They Go Hand in Hand Understanding both principles ensures your financial statements are transparent, accurate, and compliant Revenue recognition makes sure you’re not overstating income, while proper expense recognition ensures you're not understating expenses. 🤔 So, What's the Big Deal? Well, getting these wrong can have serious consequences, including misstated financial statements, which no CFO or CMA would want under their watch. 💡 Take Action Today: Take time this week to review your company's revenue and expense recognition policies. Are they in line with the current accounting standards? Are there areas of improvement or clarification needed? 👉 What would you add? Share your thoughts below —--------------- Hi! I’m Nathan Liao, Founder & CEO of: 🚀 CMA Exam Academy dot com - Pass the CMA exam on your first attempt! - 16-week Accelerator program (link in bio) - Students in 120 countries. 92% exam pass rate ➕ Follow me for accounting & finance insights

Revenue vs. Expense Recognition The Yin/Yang of Accounting 👇 Let's talk about the two sides of the same coin It’s like learning the ABCs in accounting They’re foundational, yet complex 💵 Revenue Recognition: What it is: Simply put, this is the moment you can say, "We've earned this money and can record it as revenue in our financial statements." It might be different from when cash actually hits your bank account, fyi. Example: You run a SaaS business and a customer signs up for an annual subscription of $1,200. However, you recognize this revenue over the course of the year at $100/month, not when you get that upfront payment. 🧾 Expense Recognition: What it is: Expense recognition, or the Matching Principle, is the accounting practice of recording expenses in the same period as the revenue they help generate. Example: You pay $12,000 upfront for an annual software license that helps you manage customer relationships. You'd recognize this expense as $1,000/month over the year, aligning it with the revenue generated by using this software. 🤜🤛 Why They Go Hand in Hand Understanding both principles ensures your financial statements are transparent, accurate, and compliant Revenue recognition makes sure you’re not overstating income, while proper expense recognition ensures you're not understating expenses. 🤔 So, What's the Big Deal? Well, getting these wrong can have serious consequences, including misstated financial statements, which no CFO or CMA would want under their watch. 💡 Take Action Today: Take time this week to review your company's revenue and expense recognition policies. Are they in line with the current accounting standards? Are there areas of improvement or clarification needed? 👉 What would you add? Share your thoughts below —--------------- Hi! I’m Nathan Liao, Founder & CEO of: 🚀 CMA Exam Academy dot com - Pass the CMA exam on your first attempt! - 16-week Accelerator program (link in bio) - Students in 120 countries. 92% exam pass rate ➕ Follow me for accounting & finance insights

LiveFlow (YC S21) has raised a $13.5 million Series A to modernize accounting and inspire the next generation of accountants. LiveFlow helps companies sync real-time data from their accounting services, banks, and payment platforms into their custom reports. This automation streamlines workflows, consolidates accounts, and enables company-wide collaboration. This may sound easy, but many accountants still manually transfer data between systems today. As enterprise platforms increasingly take over accounting tasks, many professionals are leaving the industry, especially with the rise of AI. Between 2019 and 2021, over 300,000 U.S. accountants and auditors exited their roles, and the number of accountants in the U.S. has dropped by 15.9% since 2019, according to the Bureau of Labor Statistics. Younger accountants and mid-career professionals are particularly affected. LiveFlow aims to counter this trend. Co-founder and CEO Lasse Kalkar stated that their goal is to use AI to improve efficiency while still keeping accountants in the loop. He explained that small businesses hire accountants for reassurance, as they want to know someone is looking out for them. Today, LiveFlow serves global accounting firms like BDO and KLR, as well as brands like Wendy’s and Crumbl Cookies as customers. Its newest product, LiveFlow Next, is a platform designed to transform accounting firms into high-growth financial advisory powerhouses. Congrats Lasse, Anita Koimur and the entire team on the Series A! https://lnkd.in/gNgu8dd8

Revenue vs. Expense Recognition The Yin/Yang of Accounting 👇 Let's talk about the two sides of the same coin It’s like learning the ABCs in accounting They’re foundational, yet complex 💵 Revenue Recognition: What it is: Simply put, this is the moment you can say, "We've earned this money and can record it as revenue in our financial statements." It might be different from when cash actually hits your bank account, fyi. Example: You run a SaaS business and a customer signs up for an annual subscription of $1,200. However, you recognize this revenue over the course of the year at $100/month, not when you get that upfront payment. 🧾 Expense Recognition: What it is: Expense recognition, or the Matching Principle, is the accounting practice of recording expenses in the same period as the revenue they help generate. Example: You pay $12,000 upfront for an annual software license that helps you manage customer relationships. You'd recognize this expense as $1,000/month over the year, aligning it with the revenue generated by using this software. 🤜🤛 Why They Go Hand in Hand Understanding both principles ensures your financial statements are transparent, accurate, and compliant Revenue recognition makes sure you’re not overstating income, while proper expense recognition ensures you're not understating expenses. 🤔 So, What's the Big Deal? Well, getting these wrong can have serious consequences, including misstated financial statements, which no CFO or CMA would want under their watch. 💡 Take Action Today: Take time this week to review your company's revenue and expense recognition policies. Are they in line with the current accounting standards? Are there areas of improvement or clarification needed? 👉 What would you add? Share your thoughts below —--------------- Hi! I’m Nathan Liao, Founder & CEO of: 🚀 CMA Exam Academy dot com - Pass the CMA exam on your first attempt! - 16-week Accelerator program (link in bio) - Students in 120 countries. 92% exam pass rate ➕ Follow me for accounting & finance insights