Just as I finished my lesson plan on audit planning for the next session of my summer school graduate course at Fairleigh Dickinson University, I received an email from Stanley Goldstein. He is a longtime friend who just finished reading my book, "Memoirs of a CPA," and he gave me some great insights on the importance of planning — and that it is not just planning audits.
Stanley Goldstein had a great influence on my career years before I ever met him. He was a role model for my friend and first partner Seymour G. Siegel, who knew Stanley very well and was always suggesting a way of doing something the way Stanley would. This was in all areas of practice management but primarily practice growth and marketing. I previously wrote a
Stanley began his email with the following brief review: "'Memoirs of a CPA' by Edward Mendlowitz, CPA, is the most useful book for people of all ages working in a public accounting firm. For those in the first few years of a career, it is a lesson plan for how to get ahead, be recognized and promoted. More importantly, for those thinking of launching a practice, or currently leading one, it is a 'do it yourself kit' for how to build a successful enterprise. What Peter Drucker has done for managers, Ed Mendlowitz has done for CPAs."
Obviously, I was pleased and flattered by what he wrote. He then added, "For those too busy to read the entire book, the most useful suggestions are outlined below," and he provided titles of a dozen chapters. Looking at his list I noticed a common theme that I want to share here.
For starters, in the column I wrote about Stanley's very successful career, he seemed to always have a plan for most of what he did before he started. Here is a short list of his planning suggestions.
- He suggested a plan to seek out providing extras to clients. Practices grow when you help clients grow.
- Plan to grow by reading fine literature. I mentioned "A Man in Full" by Thomas Wolfe, where an explanation was given about bank loan workouts. Reading good books is a way to improve our use of the English language, which is a vital skill in accounting as well as a pleasure.
- Lunches are an overlooked way of business development by many CPAs and should be deliberately planned with clients, attorneys and other professionals, prospects and any other potential referral sources.
- I believe that being available to clients is either the most important thing you can do, or certainly one of the most important things. So does Stanley, and this needs deliberate planning, as does everything else you do.
- Plan on being a good listener and really paying attention to clients. Hone this skill.
- Stanley referenced the chapter about planning a job and agreed with me that it is vital. That is what I will be teaching in my next class. I also refer to my partner Ruben Cardona's five Ps: "Proper Planning Prevents Poor Performance." (He sometimes suggests that another P word be inserted after Prevents and Poor. That word begins with a "P" followed by an "I" and ends with two "S's.")
- Plan on keeping a family tree of referrals and be appreciative of the many people who helped you build your business.
- Plan on branding, which is an essential part of business development and culture building.
Stanley also agreed that working with entrepreneurs is a great reward of public accounting. We should pay attention and enjoy the experiences.
I also wrote about strategic planning and succession planning, but the above are some of the other types of planning you need to consider and execute. Planning in all areas might work. Not planning definitely will not work.
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