I know premium pricing is king, but what do you suggest as a pricing model just beginning? Currently I charge $100/hour but I charge fixed fees for tax returns ($100 for a basic 1040, $150-$250 for more advanced 1040s, $250 for partnerships, $350 for 1120 and 1120s, $400 for 990). I'm in mid Michigan where life is pretty affordable and I'm comfortable with my current pricing model, but I also don't employ anyone else yet. Do you think I should keep this model? Change it now? Or change it when I'm big enough? Thanks!

@DreamFirms

Жыл бұрын

Hey Matthew, thanks for the question, and congrats on going out on your own.! Pricing is related to your goals, and if you plan on expanding and having a team to help support you and your clients, you're pricing structure would need to reflect the added cost of having that help. I'd make that change now, as it usually means you have fewer clients and more profit per client. However, regardless of goals, and your location, your pricing for tax returns is significantly below market averages. The level of expertise you have and personalized service should not be priced below the H&R blocks of the world. It should be priced above, or at least in line with averages. This price raise removes the clients who don't value your services but only value a cheap price. I'd also avoid the hourly model altogether, startup, established firm, or not. It's ok in emergency one-off project situations, but for your regular services, you're better off moving to a fixed price in the short and long term. Hourly pricing rewards repetitive tasks that deliver low value and penalizes efficiencies and high-value services that require years and years to be able to deliver, but may only require a few minutes of time to offer. Best of luck to you on your journey!

@That1Accountant

Жыл бұрын

@@DreamFirms Hey thank you for taking the time to reply so quickly! I'm going to sit down tonight and figure out a new pricing model haha.

@AnonymousCPA

11 ай бұрын

Excuse my lack of experience, former auditor here now industry senior accountant. quick question for you. how do you prepare 1040s for clients? My inexperienced guess is that I would use turbotax for them which would take me 1-2 hours and then paying for turbotax would make the $100/hr barely profitable. Do you prepare 1040s for free?

@That1Accountant

11 ай бұрын

@@AnonymousCPA Hi! I use Drake Tax, which is a fixed license fee, so the more clients I do, the less Drake costs me.

What a video Tayler. I really appreciate you. You got me to start working on this seriously.

Thank you so much. This was really helpful.

@DreamFirms

4 ай бұрын

I live to serve! Happy to help =)

Thank you a lot for this video. This is very interesting and informative. Keep posting like those amazing videos, this is awesome.

@DreamFirms

7 ай бұрын

Thank you! Will do!

Loving these videos!

@DreamFirms

Жыл бұрын

Thank you Susan! Pleasure to have you checking them out =)

Nice video Tyler!

@user-bi2nb4hg4f

3 ай бұрын

Thank you Joseph! 🙏

I’m getting ready to start my own firm and will use this

@DreamFirms

Жыл бұрын

Keep us in the loop on how it goes and remember, small wins stack into big ones!

Tyler is out here preaching the TRUTH. I’ve been at this for 2 years now and I’m still learning these lessons.

@DreamFirms

Жыл бұрын

Thank you Pearl! I'm still learning them myself as they are things you have to keep relearning again and again! 😊

@Essays4College

2 ай бұрын

Despite what you may hear on a lot of these podcasts and other KZread channels, don't let anyone tell you that you'll just quit your job, start a firm from scratch and replace your income in a few months. It takes time to build a practice.

Great video!

@DreamFirms

24 күн бұрын

Thanks! Glad you enjoyed it =)

Great information! 🤝🏼

@DreamFirms

Жыл бұрын

Thank you and I appreicate you checking it out!

Thank you

@DreamFirms

7 ай бұрын

My pleasure! Thank you for checking it out =)

Loved the video! Thanks so much for the pointers. I do have a question though. I'm nearly 1 year into my grad school program to get enough credits to sit for the CPA exam. I have around 3-4 years of tax experience and am looking to start my own firm; whether this be an accounting services firm until I have my CPA, or a full-fledged tax firm. I've looked at state regulations and I can't find any regulations that excludes me from preparing tax returns as a non-credentialed professional. I also do have an active PTIN. Do you have any tips or things to be thoughtful of when starting a firm for someone who's non-credentialed? I know it may be more difficult to find clients before having a CPA. Thanks in advance!

@DreamFirms

Жыл бұрын

Thank you for the comment and compliment =) Glad you enjoyed it! And congrats on getting close to the CPA exam. My honest advice is don't worry about having, or not having any credential. There will always be another certification to chase, and as you correctly identified, it's not a legal requirement for you to offer the service. While you are correct that the market generally has a certain degree of respect for the CPA designiation, they often times don't know what the certification allows for or does not allow for. Taking a minute to explain any prospective clients that you have experience doing the thing your selling (the most valuable thing), and are actively working on bettering yourself by pursuing the CPA exam (2nd most valuable thing as in looking to improve, not the cert itself), should be more than enough for you to secure a healthy roster of clients. If someone objects to you being not being a CPA, ask them if they need an audit or not, and when they reply no, then let them know they don't need a CPA and you're more then qualified to help them with their current set of issues. The best thing to do when your starting out is to let people know you can help them. I know that sounds mundane, but people criminally neglect their existing network. You'll pick up your first client by doing this, and usually it's more then one. Then ask them if they know anyone who needs help, and this can build on itself. If for some reason your network isn't applicable (and it ALWAYS is, people just think its not), identify a dream client profile, connect with them on social, and build niche specific content (Video) directly addressing their biggest concerns. It works wonders in the long term, but takes a little time to get rolling. If you're willing to spend a few dollars, consider sites like bark or thumbtack that do lead gen for you but make sure you keep your messages short and to the point. Best of luck and keep me updated on your progress!

@cozy2810

Жыл бұрын

@@DreamFirms Invaluable advice. Thank you so much. I will definitely have to check out Bark and Thumbtack. Unfortunately it will be difficult to use my existing network since my full-time job monitors those, and I could face termination if they knew I was doing this on the side. But generating leads through other avenues and through other sites would be super beneficial. I will definitely try doing it that way. I'll let you know how it goes! Thanks again for your advice.

This is really helpful. Do you do individual coaching?

@DreamFirms

Жыл бұрын

Hey Particia, thanks for the comment and question. Glad you enjoyed it! I do offer individual coaching after clients have completed a group coaching experience. dreamfirms.com/book-a-call/

I have accounting degree Is cpa ezam very hard. I been researching all day ran across your business. Do you have the steps to follow. Ty have a blessed day.

@DreamFirms

6 ай бұрын

Anything worthy doing will be hard =) I personally don't have a recommendation for helping with the CPA exam, but there are some great yt channels dedicated to that topic. You'll get through it!

Is there a benefit to offering accounting services without the firm being a CPA firm? For example, offering contracting/consulting services - non-audit, non-tax services?

@DreamFirms

Жыл бұрын

For sure. It's all about how your frame it. If I'm a 'non CPA' firm I'll emphasize how the only services a CPA can render are audits and the odds that the business owner will need one is very low, and if they do, I can connect them with the right person. You can absolutely build an accounting/consulting business without the CPA designation. Sure, the occasional prospective client might insist on having a CPA, but you may have one on staff eventually or you could ask them why they think that's necessary and they'll realize they don't even know why they're insisting on it. Benefits depend on what you're offer is, but there isn't really any additional benefit from the CPA designation outside of the markets preconcieved notion of it's value (which of course is a big one, but not something you can't overcome)

@petew1

Жыл бұрын

@@DreamFirms Thanks for your insightful response. I'm asking around my network to see if registering as a CPA firm is a necessity. I'm a licensed CPA. Within my state rules, I can advertise myself as licensed with disclaimers that the firm itself is not a CPA firm. But given I am planning on being a firm of one, doing contract/consulting work and have zero desire to do audits, I think I'm good to go with either plan.

@zonknoid1630

Ай бұрын

@@DreamFirmsaudit? What about compilations and reviews? that’s way more common for businesses with a bonding being required by the bonding company. Also, CPAs tend to be more competent at tax than EA. If I were not a CPA I’d do a CMA and do internal CFO/bookkeeping as a base.

Some good stuff, but that don’t play phone tag is so dumb. Talk to people. You’re not big enough starting out to “book” calls. That will guarantee more “phone tag” than just answering the phone with as little as it will ring in the beginning. (and yes I’m a CPA and firm owner here)

@DreamFirms

24 күн бұрын

Hey thanks for checking it out and the compliment. It's not dumb, just a different approach. Even start ups can book calls, I've proven this many times. The services are in high demand with a low supply of providers. If you set the expectation from the start that clients can call you at any time, they'll keep having that expectation. If you start off with the expectation that you book calls to contact us, the client is now trained in that form of communication.

@zonknoid1630

24 күн бұрын

@@DreamFirms I just think it comes across that you’re too important to answer the phone. People like to reach someone. We are the service industry after all.

Do you know any attorneys that practice accounting without a CPA License?

@DreamFirms

Жыл бұрын

I personally don't, why do you ask? (You don't need the CPA designation to offer the vast majority of accounting/tax services)

@OmarOsman98

Жыл бұрын

@@DreamFirms I realized that Barred attorneys could file tax returns and the like. I was thinking of learning it to increase business productivity

Are you allowed to start your own business while working in a public cpa firm?

@DreamFirms

7 ай бұрын

Yes, nothing that I'm aware of would prohibit this but I am not a lawyer 😉

Why is google better?

@DreamFirms

Ай бұрын

Same reason mac is better for hardware. More dependable and just easier to use. I tried to defend windows for years and the Microsoft ecosystem for years. Finally had a straw break the camels back, switched, and literally had my IT budget disappear, as well as all those stupid problems that only crop up on Microsoft software and products. Just my personal experience though =)

Is he saying google sheets is as good as excel?

@DreamFirms

24 күн бұрын

No, he's saying that the google suite is more user friendly than the microsoft suite. Excel is king, no one disputes this.

Building up a side practice while working full time is difficult. Especially during tax season if you’re full time job is in tax as well.

@DreamFirms

7 ай бұрын

For sure, but anything worth doing is difficult. It's also really difficult to go 'cold turkey' on your income stream to start your own firm, I think the happy middle ground is build up a decent side practice and then make the transition. Less risky!

@Essays4College

2 ай бұрын

@@DreamFirms Great advice Tyler. Nice to see someone speaking the truth and not just trying to promote their own agenda.

Hii Tyler I've been following you're video's.....how can I contact you i have doubt about accounting outsourcing

@DreamFirms

Жыл бұрын

Thanks for the comment! Let's connect on LinkedIn and we can talk more about it :)

@sampathkumar7220

Жыл бұрын

@@DreamFirms thanks 👍