Three Ways to Future-Proof Your Finance Practice Today

There’s an old maxim: “Assumption is the mother of all mistakes.” This couldn’t be truer in today’s uncertain and fragmented world.

Many well-established finance professionals assume two things:

1. Their clients will stay with them.
2. They’re well-known enough locally to replace any clients who retire, move away, or wind down their businesses.

But in reality, both technological and logistical shifts are challenging these assumptions.

First up, tech-savvy business owners are embracing software to help run their enterprises - including accounting software. Why? Because they trust technology to deliver effective, reliable solutions.

At the same time, other business owners aiming to streamline and improve efficiency are also turning to software to manage systems and processes - finance included.

The second major issue is something of a double-edged sword: outsourcing. For many bookkeeping and accounting practices, outsourcing can be a powerful way to expand, cut costs or focus on delivering more consultancy-based services.

Using the Practice Growth Framework, these would be ambitious small business owners in Stage 3, seeking ways to grow without the stress of hiring and retaining highly paid, high-quality staff.

Our CEO, Sarah Palmer, knows this well. Outsourcing proved to be a game-changer for her business, Women Who Count, enabling her to expand both her client base and her service offerings.

However, outsourcing also presents a potential threat. For professionals in Stage 2, who are steadily delivering services to clients, there's now competition from firms outsourcing overseas. These competitors often offer lower prices - making it easier to attract cost-conscious clients away.

So, how can you address these threats?

Here are three key strategies:

1. Stay visible - Ensure you have a solid online presence: a decent website, positive reviews and a strong LinkedIn profile.
2. Show your value - Remind clients of what you uniquely offer: great customer service, local accessibility and hassle-free financial management.
3. Offer more - Begin delivering extra services that show real value for money. Business consultancy, marketing data interpretation, forecasting and mentoring are all services that most IAB members are well-positioned to provide.

The business world continues to evolve, and the traditional norms of financial support - like those in many other professions - are constantly being challenged.

That means even “business as usual” requires planning for change.

But remember: the IAB are here to support you. Our Coffee Mornings, IAB Ambassador Groups and Member Benefits are all designed to help you adapt and thrive in this new landscape.

And if there’s something you need - whether training or other support - let us know. We’ll do our best to make it happen.