Posted Thursday, October 27, 2022
To maintain the highest level of client satisfaction and ensure a positive client experience, WCG continuously analyzes our workflow and our firm resources. As of November 2022, WCG regrets that we are pausing new client engagements to maintain our service standards. We have some exceptions-
- Referrals from current clients or other professionals including Facebook groups and the like
- Business owners who have historically filed business tax returns as an S Corp (Form 1120S), C Corps (Form 1120) or Partnership (Form 1065).
All new engagements must be on our Business Advisory Service or Tax Patrol Service packages. Unfortunately, we cannot accept “tax-only” engagements at this time. We will re-assess WCG’s resources summer of 2023.
This might sound like a jerk thing to say… but we would definitely be jerks if we said we could, but failed to deliver.
Our limiting factor is finding the right people. According to the new Accounting Firm Operations and Technology Survey, recruiting and retention have consistently been the top concern for the last two years; 33.6% of firms citing it this year, up from 28.8% of firms in 2019. To use professional sports as an example, you can grow your team through drafting and developing, or free agency.
Supply Side Economics
At this time, entry-level positions are relatively easy to fill with college graduates and interns (draft and develop). However, mid to senior level positions of course require free agency. The problem is that free agents are not looking for new opportunities, which is a supply and demand problem. What happened to the supply?
According to AccountingToday and other sources, colleges are graduating fewer and fewer accounting students. Additionally, fewer people are taking the CPA exam as well. Why? 30 years ago, accounting was a noble profession and didn’t have a lot of competition except medical, law or engineering. Today, there are a lot more careers in technology and other developing industries. Also! There are fewer accounting professors as well.
So, accounting is no longer sexy. 20-30 years ago, students chose accounting because they either a) love it or b) it was the best thing out there considering other careers. Today, it is only because people love it.
What about hiring other experienced tax and accounting professionals? That is not easily done either. At any one time, WCG has active engagements with 5-6 recruiters. However, they are only as good as the pool of applicants, and they too are limited by the supply issues explained above.
India and Phillipines
About 2-3 times per week, we are presented with emails, letters and flyers from companies who specialize in out-sourcing and off-shoring to India or Philippines. We have researched this option extensively, but we keep coming back to the same issue. These companies can only offer entry-level experience such as data entry and basic accounting or bookkeeping. Our limiting factor as outlined above is the mid to senior level position, and India and Philippines cannot offer people with the necessary experience. If they could, we would entertain it. They cannot, so we don’t. We continue to check with several out-sourcing and off-shoring firms each year just to be sure.
What is WCG Doing?
We refuse to let the tail wag the dog, so WCG is doing a ton to get ahead of the accounting industry-
- Mail letters to CPAs. Old school, but does work.
- Develop marketing materials and flyers highlighting the benefits of joining our team.
- Recording podcasts about our culture, who we are, where we want to go.
- Partnering with local colleges (UCCS, PPCC, CU-Denver, DU among others) to speak, host open houses, networking, etc.
- Good ol’ fashion position postings on Indeed and occasionally Monster.
- Continuing to work with recruiters.
- Review existing engagements to elegantly and gracefully terminate creating vacant space on the bookshelf for replacements (this one is tough!).
What?! Really… in a professional service? Unfortunately, Yes. WCG has created waitlists in the past and for the most part they worked out well. We maintain continuous communication so you can make decisions as time demands. Again, we know it is a buzzkill.
Sorry in advance for the perceived runaround… we further apologize if we cannot offer immediate assistance or services to everyone. As entrepreneurs and small business owners ourselves, it kills us to turn away good business.
WCG is a full service consultation and tax preparation firm, and we look forward to working with you!