Warning this is a No Bull guide to recruiting an Accountant that is World Class. And will take ownership when they need to. So dial in and read carefully. I would also trust but verify during due diligence. Always.
It’s vital for all entrepreneurs to have a close friend and advisor who is a Rockstar Sr. Partner of one of the Big 4 Accounting Firms. Or if this is not accessible to you as a Entrepreneur. Recruit from the pool of Partners at large Regional firms who are professional Business Advisors and Tax Advisors. Be mindful its good to have at least two professional accountants who are experts in Tax and Transaction Advisors. And a Tax Attorney for good measure.
Who do you look at as a Possible Partner to approach?
This post is going based on my experience since I have had to do this several times being I am a M&A Entrepreneur. The best qualifications for Partners of Accounting firms you targeting as a Entrepreneur? Don’t actually begin with fancy Degrees or Elitist College. I will say it’s nice to have a Partner Accountant who has this, but in my experience it’s not needed. But what is needed are 2 qualities. And also need at least 10 years of Transactional Experience. Interestingly Partners of big firms often are often sought after. But to me this is a huge mistake. Just simply from the life experience they possess and leadership from their life at a Big Firm. They honestly are secret weapons in Entrepreneurship. We are lucky to have two Big Firm Sr. Partners from PWC and KPMG on my team. They are named John M. And Tim O.
A. Transactional Experience. When a Partner served years as an Associate with their firm. More than likely they spent years cultivating and crafting their advisory experiences. Forming personal relationships with many Senior Executives across the world as they work closely together. Due Diligence during and before Transactions are where they will be extremely effective as you build your investment group or business foundation as a Entrepreneur. Search Funds usually have Accountants with experience mentor Search Fund entrepreneurs along their search.
Accountants are also your best friend when it comes to Business accounting practices, also it’s important to have their guidance, advice and looking at Taxes and the path forward for your venture. It’s absolutely vital an Experienced accountant be present when looking at deals and transactions. No excuses period.
B. Your accountant should have solid integrity. Meaning if he exaggerates in any way during your first 6 months of knowing him. Discard and start over with new interviews immediately. Integrity to me is the ultimate qualifier. If I can surreptitiously evaluate our conversations. Along with our advisory content while listening with my gut feeling? You will know if you can trust this Accountant and partner. Then monitor their performance as needed.
What professional experience matters when considering an Accountant?
When choosing an Accountant one of the Men who taught me how to be a super informed Entrepreneur is my fellow Navy Veteran and Naval Officer the Honorable Mr. Ross Perot. Navy Lt. Perot shared in his Book “My Life & Principals for success” Ross Perot shares in the book “Employ a First -rate accountant. Absolute loyalty and integrity is essential. They should be detail oriented. Excellent Grades in College. Both a CPA and Law Degree Specializing in Tax and corporate law. Experience with a major CPA Firm. END.” Now Ross likes accountants with Law Degrees. I would say it’s fine to have a newly retired Partner from large firm. And a TAX M&A Attorney to cover your bases. But definitely have one of Both. But for this purpose of Accountants? Definitely recruit an Experienced Accountant from a large firm. You should be safe on your journey after you heed this advice.
How a new entrepreneur can get the best Accountants to interview?
How does a entrepreneur with NO Business experience and No impressive winning Credentials or Track record for that matter. Go out in the intimidating business world and schedule interviews with super successful Accountants for your growing team? I would like to offer a solution that worked for me. Ok Now this is very personal. So I do hope you take this hard fought wisdom. And use it wisely. And pass it along to struggling entrepreneurs. But first let me tell you something about personal commitment. I went out in to the crazy big world researched for months possible candidates who would possibly be a good fit as a partner & mentor. And in the end I amazingly Recruited an American Billionaire just from a cold email and cold call. Ya that’s bragging rights right there. lol But I digress. In order for you to recruit a world class Accountant. I would hope you have some sort of track record to bring to the table. And if you don’t your not out of luck. I would first focus on partnering with a local Ultra Successful entrepreneur. So at least you have something attractive and a fraction of credibility.
What is the most important issue when interviewing the Accountant?
This will be very short. The most important issue is deciding if the Accountants natural energy and conversational flow. Compliments yours. Do you have a good feeling? And make sure your gut tells your inner voice they are a good fit. Make your decision only after 3 or 4 interviews.
What questions should you ask?
Have a list already prepared. And do look at some of the points I have previously mentioned above in this How to guide. It’s all really up to you. However if you really want to ask some deep diving questions? Have the Accountant tell you about their career progression. And ask about some of the transactions that were the most enjoyable. This should be a great start to a great relationship.
I do appreciate you reading this far into my disruptive pattern of thoughts and advice. If you received something worth your time here? Please be sure to comment, like and share the Article on Linkedin or whichever social media platform you use. I do not get paid for my Blog of growing Business experience. However I do like to write about things that I have learned. And I hope just maybe. The things I have learned the hard way will be learned and put to use by a new Entrepreneur reading this blog. That to me is giving back to my community and it’s honestly my duty.
Thank you for reading and I do hope you return to have questions answered again one day.
JS