More accountants need to adapt to stay relevant
While many accountants have been proactive in restructuring their businesses to ensure they are “relevant and successful” in the future, Institute of Public Accountants Victorian Vice President, Sam Zervides, warned that “a significantly greater number” are failing to act.
The Australian Wealth Solutions principal said that, faced with industry disruption exasperated by technology, expiration of the self-managed superannuation fund (SMSF) exemption, Future of Financial Advice and the Royal Commission, the public accountant sector “has no option but to respond and adapt”.
“My greatest concern is that very good accountants with mature businesses are simply going to ‘miss the boat’. Instead of a successful exit into retirement funded from the sale of their businesses, [they] will have no option but to switch off the lights and close their doors,” Zervides said.
“However, it’s not all doom and gloom and I’m pleased to see accountants in increasing numbers are acting by restructuring, adopting new technology and processes.”
Mentor Education Group founder and principal, Mark Sinclair, said that he had seen a trend in accountants enrolling in programs with an emphasis on building productivity and operational efficiency.
Recommended for you
A Victorian accounting firm – in which Count holds a 40 per cent equity stake – has announced the acquisition of an accounting client book through a $1.4 million transaction.
Australian Ethical has reported its net profit after tax (NPAT) fell 15% to $9.6 million for the year ended 30 June, while its underlying profit after tax (UPAT) declined 7% compared with the year prior, to $10.3 million.
Insignia Financial has announced a 59% increase in its underlying net profit after tax (UNPAT) to $234.5 million in FY22.
Having completed their educational qualifications, those advisers who remain in the industry are reporting being “run off their feet” with new clients.
