Written by Richard Cohn, CPA.
Small and medium-sized businesses (SMBs) have many considerations when choosing an accounting firm to partner with, but BILL's recent survey, the Accounting Firm Employment Index, shows that they are increasingly looking at the technical expertise of their accounting partners. I understand that you are considering it. As businesses become more technologically oriented, small businesses expect their accounting firms to be part of that change, including a deep understanding of accounting software and the ability to answer questions that arise about the solutions they use. 89% of small businesses report that they consider their accountants to be trusted advisors, and technology expertise can be a great way to continue building that trust.
Accounting firms are well aware of the benefits of implementing new solutions into their technology stack, including increased efficiency, automation of tedious tasks, more time for high-value work, and expanded services. . However, clients are now increasingly considering these features when choosing an accounting firm to work with, ensuring they receive full support from the small and medium-sized businesses they work with.
What small businesses want
SMBs rely on accounting firms for a variety of needs, but one area of particular focus is understanding the technology they use. According to BILL's Adoptability Study, 83% of small businesses would consider keeping a new accounting firm or switching to their current one if they had difficulty answering questions about the technology they use. It turns out I'm considering stopping referrals, or both. Furthermore, 79% said they would consider doing the same if their company was not keeping up to date with the latest technology.
Small businesses don't want their accountants to be technology leaders, but they do want their accountants to have a deep understanding of the different solutions on the market. Accounting firms that can speak knowledgeably about their technology stack and provide a thorough overview of how their clients can directly benefit from using it stand out from potential competitors. also exhibits excellent abilities.
The more an accounting firm understands what small businesses are looking for, the more it can position itself as a strong partner. This also extends to the financial software that small businesses use in their offices. Small businesses appreciate companies that find and vet vendors and provide guidance on implementing and learning how to use their chosen tools. When companies have a good understanding of not only how to use their technology stack, but how to articulate its value, it becomes easier for SMBs to jump in and learn how to use it quickly.
What would this actually look like?
Caleb Jenkins, EA, CQP is a business and accounting leader at RLJ Financial Services. He shared his firm's experience in technology expertise as part of the Accountancy Firm Employability Index. “We lead the technology conversation and let our clients know that they are going to use the technology that we are using,” Jenkins says. “Have a technology champion in your company, keep them up to date, and share that information with everyone. They are usually looking for other technologies to help you adopt and implement within your company These are the people who are there.”
How companies can improve their technology skills
Accounting firms should start by assessing the needs of the company as a whole. You need to determine which processes, procedures, and operations can be enhanced or made more efficient with technology, and then investigate what technology solutions might solve those needs. At the same time, companies need to keep their customers' needs in mind when choosing technology tools to ensure they can provide the solutions small businesses are looking for.
This is a good time for businesses to determine whether automation and AI can help streamline and assist tasks and make workflows more efficient. Just over three-quarters (76%) of small and medium-sized businesses said they would consider another company or stop referring their company if they did not use accounting automation. By making workflows more efficient through automation, companies can focus their attention on other client work and speed up processes.
Once the right solution is identified, these tools can be incorporated into your company's technology stack. If possible, find a solution that can cover multiple operational areas at once. A technology stack with too many solutions can be difficult to keep up to date, and there is a risk that components may not be compatible with each other. Companies should also note that in some cases, the technology providers they currently work with may have solutions and capabilities that meet their needs and may be easier than migrating to an entirely new tool. It is also necessary to keep in mind that
The importance of always having the latest information
Companies can also improve their technology skills through technology certifications. This goes a long way in demonstrating to small businesses your dedication to keeping your knowledge and expertise up to date. Consider identifying one or two of her employees who are “champions” for each technology solution and the go-to experts on anything and everything related to that component (or the entire technology stack).
Likewise, classes and conferences keep your knowledge fresh. Companies can invest in participating in selected training opportunities throughout the year to keep their entire team up to date on new technology developments. The conference will also provide an opportunity to see live product demos and hear from other experts about what solutions they are working on.
Once the chosen solution is adopted, businesses can work with their vendors to stay informed of changes and get the most out of their products. Many technology vendors offer training opportunities to help their clients get the most out of their products.
One of the themes running throughout BILL's employability research is that small businesses value trusting relationships with their accountants. By establishing and demonstrating strong technical expertise, accountants provide small and medium-sized business clients with the ability to not only listen to what their customers want, but also develop new tools to make their work more efficient and provide higher-value services. You can show that you are continually finding ways to do things.
When acquiring new clients and retaining existing ones, accounting firms can confidently prioritize technology expertise.
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Richard Corn, a CPA, is Bill's Director of Product Management.
