Many accounting firms already offer their clients valuable financial management services. This is possible thanks to digitalization and AI, as time spent on producing accounting information is freed up for interpreting the data. For staff, this new service expansion offers meaningful career prospects and deepening expertise. Especially the majority of certified accountants would already have the necessary expertise for SME controller services.
Despite its potential, starting a new service can still be slow. The most common problems in starting controller services are lack of time and courage, as well as inadequate tools. In our first blog, I'll tell you what mindset and tools will help you get through it as easily as possible.
Prepare for change by making a plan.
Success comes before planning and work only in the dictionary. Ray Dalio, founder of one of the world's largest funds, Bridgewater Associates, has listed five simple steps to achieving goals. They are excellently suited for preparing any new business or service.
As the first step, Dalio has listed that goals must be clearly defined. Secondly, he emphasizes that problems preventing the achievement of goals must be noted and listed, and they should not be tolerated. Thirdly, Dalio advises to diagnose problems accurately. This way, the root causes of problems are revealed and through correction, problems will not recur in the future. The fourth step is making a clear plan to achieve the goal, and the fifth and final step is implementing the plan in practice.
Ray dalio's 5 steps to achieving goals:
- Set a clear goal
- Identify problems
- Diagnose problems and their root causes
- Make a clear plan
- Implement the plan
Where to find time for controller-type consulting?
As I mentioned at the beginning, the most typical problems in starting controller services are related to lack of time and courage, as well as inadequate tools. When diagnosing the root cause of lack of time, it becomes clear that most often the accountant's workload has simply grown too large in the field of statutory accounting despite automation. The only way to fix the problem is to arrange time for the accountant to develop and share their expertise. Most often, arranging time is the most challenging part of the whole process.
Fixing courage problems is easier to implement. The best promoters of courage are motivation and planning. When credibly set goals are clear in your mind and are supported by a sufficiently detailed plan, you are already further ahead than most people. Courage also feeds itself: through experience, you will unknowingly become an increasingly confident financial management expert.
One of the most important uncertainty eliminators is reliable and handy tools. If your tools for producing added value for your customer are too difficult to use, too expensive, or not value-adding, your service will remain unprofitable. In the worst case, you won't get past the start when choosing the wrong tools gives an unrealistic picture of your possibilities.
The arc of development is comparable to riding a bicycle. First you ride with training wheels, then without training wheels, and at a certain point after enough practice, you can also teach others to ride. If the bicycle is not enjoyable, riding may remain minimal, and the skill of riding cannot develop.
Do what you do best
A company must be an expert in its industry and service and product areas. Accounting firms specialize in financial administration and management. One of the cornerstones of a successful company is functioning financial administration. It creates the prerequisites for understanding the state of business based on the income statement, balance sheet, KPIs, and cash flow statement. These in turn enable sustainable business planning.
The second key factor is quality financial management, which enables decision-making based on realistic budget, investment, and financing scenarios. Considering the limited resources of micro and SME companies and the theory of comparative advantage, it is natural that the financial administration of these companies and at least part of financial management is outsourced to accounting firms.
By carefully developing your business, you ensure that all your customers receive the best possible service and can focus in peace on what is essential, their own business.
Five practical tips for achieving the transition from accountant to controller:
- Make a clear change plan
- Arrange time to discuss financial management and training so that it becomes a natural part of operations
- Ensure that the software used for controller functions is user-friendly, informative, and cost-effective, so that its use becomes a pleasant and natural part of daily operations
- Ensure that the software provider trains the necessary people in using the program. This provides an opportunity for feelings of success and motivation
- Deepen expertise in financial planning, financing, and budgeting step by step
Finadeck helps with controller services
Finadeck's AI-powered SaaS software is designed to help accounting firms and businesses with consolidation, income statement and balance sheet budgets and forecasts, cash flow forecasting, and BI reporting.
