Jason On Firms Podcast 446 How This $500k/yr Tax Firm Can 2x Profit in 3 Steps
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Apr 21, 2025 A thriving accounting firm reveals three steps to double profits, focusing on effective service offerings and smart pricing structures. Delve into the complexities of long-term client relationships, with advice on annual price increases. Explore the necessity of tiered pricing to enhance profitability and client satisfaction. Discover premium offerings that elevate the client experience, overcoming resistance from cost-conscious accountants. Finally, learn about tailored tax planning strategies that attract high-quality clients through comprehensive services.
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Baseline Annual Price Increases
- Implement a baseline of at least a 15% annual price increase early in your firm's journey.
- This helps avoid legacy clients underpaying and sets the stage for sustainable profitability growth.
Legacy Clients Limit Growth
- Early-stage clients often become legacy clients that firms outgrow quickly.
- Clinging to old clients can reduce service quality and limits capacity for better clients.
Normalize Pricing Upwards
- Pricing feels different at every level; what seems expensive to one is cheap to another.
- Average pricing is meaningless; focus on creating offers that feel "unbelievable" yet justified.