As a teenager, before I started studying to become an accountant, I was a children’s party entertainer – and I continued doing this for about 25 years. When I look back I realise that I quickly learned 2 lessons that now, many years later, inform my thinking and advice to accountants.
I was only available to perform at the weekends and I wanted to enjoy myself. That meant focusing my attention on the children most likely to enjoy my magic shows and to respond positively to my tricks, jokes and games etc. I had come to the conclusion that 2 and 3 year olds were too young to really appreciate the magic. To them, so I felt, life itself is magic. And once the children were over 7 I felt they were too bright and more likely to challenge my presentations.
So, after a few years of learning the ropes I made clear on my business cards and yellow pages adverts(!) that ‘Marks Magic’ offered “Specialised Childrens’ Party Entertainment for 4-7 year olds”. I remember that, soon after the first such advert appeared, the number of enquiries I received each week INCREASED and I was fully booked almost every weekend.
Looking back I realise this was because parents liked the idea of engaging a specialist, someone focused on entertaining children of a certain age and someone who didn’t attempt to be all things to all people/children. By definition I wasn’t doing babyish magic or anything too sophisticated.
This lesson translates across to accountants. If you are seeking more clients you will often find it easier to attract them if prospects see you as a specialist in helping people like them, rather than ‘just another accountant’ who attempts to help anyone with everything.
When I quoted a fee for my first booking at a childrens party in the 1970s(!) I asked for 25p per hour, before I learned that the party would only be 3 hours long. I quickly realised that the mother of the child wasn’t interested in my time as such. She was only interested in having her needs met: For the duration of the party the children should be occupied, entertained, happy and safe. She offered me a simple fixed fee of £1 for the afternoon.
Thereafter I always quoted a simple fixed fee for each party – with every element of my service fully covered by the fee. My ‘specialisation’ helped here as did my confidence. At some point I also learned to ask the person who called (typically the mother) what she wanted from an entertainer. The answers were all pretty similar, but the fact I asked, rather than assumed, helped me stand out. I empathised and reflected back my understanding of the mother’s objectives. Where appropriate I referenced other parties where the parents had thanked me for doing much the same as this mother was requesting. And I won almost every booking enquiry I received.
Again, this lesson translates across to accountants who charge fees for the time they spend on a client’s affairs. Few clients care how long it takes you to do their work. They are not interested in your time as such. What they want is the output that they get – the accounts, tax returns, estimates of tax payable, the peace of mind you provide as well as the confidence and trust you encourage that your advice pays for itself and that they will get what they want.
Quoting and negotiating fees with prospects is a perennial issue for accountants and one that I often address during mentoring sessions and The Inner Circle.