2020 Dream Practice Virtual Accounting Conference May 2014 | Page 7

Keynote Speaker: Joel Sinkin Mr. Sinkin is an editorial advisor to the AICPA’s newsletter Small Firm Solution and a member of The CPA Journal Editorial Review Board. Recently Mr. Sinkin fulfilled a personal goal to create a new type of consulting firm that brings a fresh approach to the succession and growth needs of accounting firms and their owners nationally. In 2004, he joined forces with Terrence E. Putney, CPA to form Transition Advisors. Joel Sinkin In 2012 & 2013 Accounting Today named Mr. Sinkin one of the top 100 most influential people in accounting. www.transitionadvisors.com Succession planning is key to ensuring that you maximize the value of your firm should you decide to slow down or retire. In my experience, there seems to be a mystical shroud around the topic of succession and transition planning for accounting firms. I recently spoke to a group of accountants and every single participant in the room had the same plan – a younger accountant would buy their firm. Not surprisingly, not a single person in the group had identified this hypothetical younger accountant, despite most participants indicating that they intended to retire within two to five years. I have seen many accountants assume that they can successfully sell or transition their practice. Many would rather avoid paying for advice, so they adopt the do it yourself approach. I believe that it is difficult for any business owner to anticipate and respond appropriately to many of the issues that come into play in a transition scenario. I believe that it is even more difficult with an accounting firm, as the owner is personally attached to the business (and clients) and may not be objective. The accountants that I have known and worked with who sold their practices all had one primary concern – would their replacement take good care of their beloved clients? Too often, lack of planning means that the replacement is not necessarily the best candidate and the clients ultimately suffer. Joel and his team at Transition Advisors have been leading accountants through transition since 1990, completing hundreds of transactions successfully. The majority of their materials and resources discuss topics from the perspective of CPA’s in the United States. However, I have heard Joel speak many times and have always taken away something of immediate relevance to my practice in Canada. I was very happy to see them launch a Canadian office in Toronto. Joel recently published a series of articles in the Journal of Accountancy, highlighting key issues and trends in the field of succession. I highly recommend taking the time to read it (JOA Combined articles 2013 2014). Joel has also co-authored an article with Terrence Putney entitled: “Keeping it Together”. The article covers the importance of planning your transition carefully in order to retain key staff and your clients. I can’t stress enough how important key staff can be to the transition. Many practitioners ignore this aspect at their own peril. You can read the article here: Keeping it Together_Reporting_Patton_April09. If you foresee a transition in your future, you should take a look at the Transition Advisors website. I particularly recommend the articles in their resource section Jeff Borschowa (Event Organizer, Host and Speaker) I have had the pleasure of knowing Joel Sinkin from Transition Advisors for a few years. In that time, he has impressed me with his knowledge of the accounting industry and specifically his focus with mergers, acquisitions, and transitions of accounting firms. www.virtualaccountingconference.com