Summit Contábil Omie: Becoming a Trusted Advisor

In September, I spoke in Brazil about what it means to become a trusted advisor. Advising means you have to step outside of your comfort zone, because what comes easy is not necessarily what your business clients need.

I am so excited to get the chance to speak with you today about becoming a trusted advisor. This is something that I have been working on with accountants all around the world; in the United States, Canada, the United Kingdom, France and other parts of Europe, and Australia, so I am thrilled to be here, in Brazil, helping you understand how you can move from traditional accounting practices and towards becoming a trusted advisor to your clients.

The magic happens outside your comfort zone

The things you are comfortable doing for your clients are not necessarily the things they are in need of. You are familiar with and comfortable with tax, audit, compliance, simple financial work. But what are the things that your clients are looking for? They might be surviving with the basics, but you can provide them with things to help make them thrive.

You can provide them with business advice, and an understanding how to grow their company to make sure they are able to keep their dream alive. THAT is where the magic happens.

We can’t keep doing the same things that have always been done. The changes in the business world have created a high demand from business owners to seek financial help. Many small businesses close each year, and they have realized that the best way to keep their business afloat is to get help from experts they can trust.

It's critical for you, as an advisor, to start thinking outside of your comfort zone, and starting thinking about how you can approach these new opportunities. At first it may feel a bit daunting, but it will quickly become comfortable to you.

Are you trusted?

Your clients have to trust you – doesn’t matter what I say. Just by calling yourself a "trusted advisor," does not mean that it is true. Inherently there is a level of trust in your relationships with your clients. Money is an important, but also a private topic. You are one of the few people they feel comfortable talking to about their finances. However, trust is earned.

In the United Kingdom, 50% businesses change their accountant. Of those, a majority of them changed because they were looking for additional services that their current accountant was not providing.

Similarly In Australia, in an assessment of how the public views different professions, only 50% of people said that they believe accountants operate with high levels of honesty and ethical integrity.

And In the USA, a similar poll showed that only 42% of people believe their accountants are operating with their best interests at heart.

Now, you may look at those numbers and be thinking to yourself, that means that half my clients won’t leave me, that is not bad client retention, but it also means that half of your clients will leave, that half your clients don’t trust you, and that half your clients don’t believe that you have their best interests at heart. And if we think about this critically, the clients who stay will be the ones who are complacent. And the clients who leave will likely be the ones who are proactive, who know that they can get better help elsewhere, and are going to advocate for themselves. The proactive clients are the ones you want to keep! In order to keep them you have to match their level of proactivity and gumption..

Your clients want more!

56% of business owners said that they wanted more advice from their accountants through help with business strategy and budgeting. In order to truly become trusted you have to have honest conversations with your clients.

You should ask them questions about what is important to them

• What are their goals?

• What is their motivation for being in business?

• These seem like very simple things but they are often overlooked

For example, there is an owner of a mechanic shop. He’s a small business owner, and he recently changed his accountant. When I asked him why he made the shift he told me that his old accountant wouldn’t talk to him, that he could call and call, but his accountant never would phone him back. His new accountant? Proactively calls him when he sees things changing and is eager to have conversations. That small level of service delighted him so much that he has been telling everyone he knows to go to this new accountant, that kind of testimonial is worth its weight in gold.

There is a difference in speaking with your client, rather than at your client.

It can be easy to forget, but business owners don’t always understand the language of accountancy; you are here to explain what the numbers mean to them, and how different decisions will impact their bottom line. You need to use language that they understand!

Like I said before, asking them questions is so important. If you spend all your time talking, then you aren’t listening to them. Talking at your clients is very different than having a conversation and speaking with them.

Another simple level of service is to simply be available and respond to their needs. Answer their emails and return their calls – the very basic levels of customer service can go a long way.

Teaching is an art form

Being an expert in your field does not necessarily mean you are naturally good at teaching. It can take practice, time, and patience to become the advisor your clients need.

This reminds me of my math professor at university. He was absolutely brilliant in his field, and was very smart. But any time I had a question about even a basic math principle, he struggled to give a cohesive answer. He was so caught up in the complex understanding of how everything fit together, he couldn’t teach me the building blocks that would help me learn what I needed to know.

So it's an important reminder to speak in terms your clients understand and help them grasp the ideas you are presenting them. If your clients don’t understand the basic principles of accounting, they won’t understand why money in their bank account does not always equate profitability… You must teach them.

"Be so good they can’t ignore you"

-Steve Martin

This quote is from Steve Martin, who revolutionized the comedy industry – he spent years changing his industry and creating his dream career. The comedy industry did not know that it wanted something different, something that would progress the way we perceive comedy. But since Steve Martin did not give up, he made himself so good they could not ignore him, the whole industry changed.

This is how you need to approach services with your clients. Some of your clients will immediately understand that what you are able to provide will change their business for the better. But some will be more hesitant. So you have to be so good they can’t ignore you. Once they see the changes in their peer’s businesses, once they hear recommendations from others, they will move down this path with you. If you focus on making yourself incredibly valuable, then they will realize that your services will truly change their future.

Busy is not a badge of honor Every one is busy. Being busy is something that has become a way of life these days. The busier you are the more important you must be. But Busy is not a badge of honor; it is not something that you should be proud of. Being busy does not mean you are being effective.

You have to prioritize what is important because busy is not unique, busy is not productive. In a world of being busy, people will make time for what is important to them. If growing your advisory services is important to you, then you will find time to learn how tools will help you. Creating efficiency in the things you already do is a simple way to keep yourself out of the cycle of being busy. Because if you’re too busy to focus on your business, to focus on bringing your firm and your clients into the future, then you soon will be left behind. And the 50% of your clients that understand they need more will leave you, too.

You have your clients’ best interests at heart We know that you have your clients’ best interests at heart. You want to help your clients grow and plan for opportunities and manage against risks. And your clients will know this, too. This is the way the global world of accounting is moving; we’ve seen accountants in Australia, France, UK, USA, Canada, and more working with their clients in these ways. And we are here to support you on this journey, too.

See the interview and presentation here