Navigating Growth, Mergers, and Private Equity in Accounting w/ Gary Shamis

Welcome to this episode of “Building the Premier Accounting Firm,” where we explore the dynamic landscape of strategic growth and private equity in accounting firms. In this episode, host Roger Knecht is joined by industry expert Gary Shamis, who shares his incredible journey from an aspiring doctor to a leading accountant. 

Roger and Gary delve into strategic growth strategies, highlighting the importance of developing advisory services and targeting niche markets. Learn how technological advancements have facilitated geographic expansion and hear about the impressive evolution of a $4 million book into a $100 million firm in just 14 years.

Gary provides insights into the challenges and opportunities presented by mergers, including his experience with BDO and the founding of a new consulting firm due to cultural mismatches. He also addresses the influence of private equity on accounting firms, discussing trends, financial implications, and the impact on firm culture and management dynamics.

Key Topics Covered:

1. Gary Shamis’ Career Journey:

   • Transition from aspiring doctor to successful accountant.

   • Expansion of his father’s accounting firm and eventual merger with BDO in 2014.

   • Establishment of the largest restaurant practice among CPA firms in the U.S.

2. Strategic Growth Strategies:

   • Importance of developing advisory services and specializing in niche markets.

   • Geographic expansion facilitated by technological advancements.

   • The evolution of a $4 million book into a $100 million firm in 14 years.

3. Challenges and Opportunities in Mergers:

   • Experience of merging with BDO and founding a new consulting firm due to cultural mismatch.

   • Insights on succession planning challenges, particularly millennials’ reluctance towards ownership.

4. Private Equity Influence:

   • Trends in private equity acquisitions targeting bookkeeping and CPA firms.

   • Financial rewards and risks associated with selling to private equity, especially for senior partners.

   • Impact of private equity on firm culture and management dynamics post-sale.

5. Advisory Services and Misconceptions:

   • Advocacy for a broader approach to advisory services.

   • Addressing common misconceptions in the industry.

6. Entrepreneurial Challenges Post-Sale:

   • Emotional and operational challenges following the sale of a firm.

   • The importance of strengthening operations regardless of selling intentions.

7. Industry Trends and Recommendations:

   • Private equity firms offering equity to younger employees for talent retention.

   • Importance of maintaining strong client relationships amidst market changes.

   • Encouragement for thorough due diligence before engaging with private equity.

Join host Roger Knecht and guest Gary Shamis as they delve into the intricacies of growing an accounting firm, navigating mergers, and understanding the evolving role of private equity in the industry.

 

Sponsors:

Universal Accounting Center

• Helping accounting professionals confidently and competently offer quality accounting services to get paid what they are worth.

 

Offers:

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For more information on how you can apply these principles to start and build your accounting, bookkeeping & tax business please visit us at www.universalaccountingschool.com or call us at 8012653777