Practice Management


According to the 2004 National Management of an Accounting Practice (MAP) survey—conducted by Practice Management for CPA Success (PCPS): the AICPA Alliance for CPA Firms and the Texas Society of CPAs—local and regional firms across the nation reported revenue growth, salary increases and expansion of core services in 2004 and are optimistic about their business prospects for 2005. Revenue grew at least 10% for nearly one-third of the more than 2,000 firms responding, and 14% said it had increased by more than 20%. As in the 2003 survey, firms’ leading income sources were tax services (48.5%), compilations (12.5%) and write-ups and data processing (12%). Richard J. Caturano, PCPS Executive Committee chair, said, “This year’s survey results confirm what we’ve heard anecdotally—that local and regional CPA firms are thriving in the current business environment.” The survey also found some practitioners hadn’t adequately planned for the sale or transfer of their practices upon their retirement. (A recent JofA article offered advice on how to approach this challenge: See “Succession-Planning Dos and Don’ts,” JofA , Feb.05, page 47; www.aicpa.org/pubs/jofa/feb2005/dennis.htm )

The survey results are available for a fee (no charge to PCPS members) at www.pcps.org/member/national_results_nm1112.html , where information on PCPS membership can be obtained.

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This report details how SMBs can properly protect private information from breaches, design and implement a cybersecurity policy, and create safeguards for training and education.

CHECKLIST

Being responsive to clients

CPAs and their firms have daily pressures and hectic schedules, but being responsive is crucial to client satisfaction. Leaders in the profession offer advice for CPA firms that want to be responsive to clients.

QUIZ

Test yourself on these often confused words

The spelling checker on your word processing program can do only so much to flag problems. Your best insurance is to learn the troublesome words that trip up writers and use them correctly by the standards of formal, written English.