Cloud accounting – Do you lead your clients or let them lead you?

This is the first of what I anticipate will become a series of cloud accounting related blog posts.

Back in 2009 I disagreed with those commentators who were warning accountants about an urgent need to embrace cloud accounting technology. The alternative, warned these merchants of doom, was that accountants who failed to embrace the cloud would go out of business.

I felt that such warnings were premature in 2009 and continued to think so until very recently. I believe however that we are, at last, reaching a tipping point.

More and more accountants are embracing cloud accounting solutions and an increasing number of clients are aware of the concept.  Plenty of accountants are being led by their clients and I often encounter firms who are happy to promote their ability to work with a range of cloud accounting solutions. This is often apparent from the inclusion, on the firm’s website, of a dizzying array of software badges and logos.

Other firms, including some pretty successful ones, do not take on new clients unless they are prepared to use the firm’s favoured bookkeeping solution.

I understand the arguments put forward by both sides.  In summary:

  • Anything for anyone: “We can help you, regardless of how you prefer to do your bookkeeping”
  • One size fits all: “We encourage our clients to all use [specific solution] as they find it easy to use and know that they will receive full support from us as we can focus rather than try to keep up with changes to a number of different online bookkeeping systems”

Advocates of the ‘anything for anyone’ approach don’t want to dictate to clients how they should do their bookkeeping. This is understandable especially if those clients have made an informed choice and/or have been using their solution for some time.  Some accountants have also concluded that different solutions are better suited to different types of clients eg: small businesses, contractors/freelancers and larger businesses. From what I have seen recently I’m not sure that distinction is sustainable as some suppliers offer different packages for each of those groups.

Advocates of the ‘one size fits all’ approach evidence a degree of confidence and are able to standardise their systems and processes. And this allows them to become more efficient whilst still providing a personalised service to clients. And then there are the range of add-ons and apps that accountants need to review and advise clients about. Which ones are worth their attention? If you don’t know what’s out there how can you provide pro-active advice in this regard?

There are plenty of reasons put forward by sole practitioners who resist specialising in a specific bookkeeping solution. These include:

  • A mistaken view that the ‘client is always right’. This is evidently not true as they pay their accountants for advice, not just agreement.
  • The challenge of having many clients using different solutions.
  • A reluctance to specialise in a specific bookkeeping solution as it might limit the number of new clients who would appoint you. This is the same concern as is raised in any conversation about specialisation. In practice the benefits typically outweigh the disadvantages.

What about you? When it comes to cloud accounting and bookkeeping solutions, do you lead your clients or do you let them lead you?

This blog post was not sponsored, but was inspired by what I saw, heard, and conversations I had at QB Connect 2017 about QuickBooks Online., , , , , , ,

The following two tabs change content below.

Mark Lee

Mark is a speaker, mentor, facilitator, author, blogger and debunker. Mark Lee helps professionals who want to STAND OUT and be remembered, referred and recommended using his 7 fundamental principles to create a more powerful professional impact, online and face to face.
by
1 reply
  1. Frauke Golding
    Frauke Golding says:

    I certainly have found that I used to follow clients with their choices, but increasing recommend a reduced list and refuse to use specific accounting software options outside the list. Work has become simplier with less issues. I am also able to help more with posting issues, as the accounting software options I use improve, develop and change. I also am approached by potential clients who already use these accounting software solutions because the software companies promotes my firm too.

    Reply

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *