Cloud collaboration
they want to pay you for it, they need your
expertise!
Your clients are asking for your time, beyond
the accounting
Traditional
Online presence
Introducing automation
Connected advisor
The advisor journey• Desktop Software & Server based
• Compliance Based
• No Marketing
• Static or declining client base
• Time based billing
• Limited Services Offering
• No website or social media presence
• Paper filing system
• Hard to hire new staff
• Dabbling in cloud
• Still Desktop Software & Server based
• Some marketing
• Basic Website and no social
• Compliance heavy revenue
• Time based billing
• Client base static
• Some scanning
• New clients on Cloud
• Implementing Single Ledger
• Well built website and social presence
• Investment in Marketing
• Offering Advisory Services
• Offering Fixed fees for compliance
• Client base is starting to expand
• Internal Cloud Champion
• On the journey to full paperless
• Shifting existing clients to cloud
• Practice almost in the cloud.
• Website is interactive
• Social media is a strategy
• Fixed fees, value pricing model, advisory revenue
• Active client base in terms of referrals
• 90% paperless
• Introducing add-ons for automation
• rals
• Innovative marketing
• Proactive, real time advice for clients
• Fixed Fee Billing, Value Pricing Billing
• Virtual CFO approach
• Compliance services a by-product
• Focus on growing their client's businesses
• majority of clients in the cloud
• 100% Cloud based and Paperless
• Attracting Talent
Traditional
Online presence
Introducing automation
Connected advisor
Cloud journeyCloud
journey
Traditional
1hr – Data Entry
1hr – Review Work
1hr – Admin
1hr – Client Meetings½hr – New Business
½hr – New Technical Reading
1hr – Review WIP & Workflow
2hrs – Client Calls/Emails
½hr – Payments
½hr – Timesheets½hr – Restoring Backups01:0000:0002:0003:0004:0004:3005:0006:0008:0008:3009:0009:30
Transition - Automation frees up time
5mins – Data Entry
45mins – Review Work
30mins – Admin30mins – New Technical Reading
1½hrs – Client Calls/Emails
5mins – Payments
5mins – Timesheets
1hr – Data Entry
1hr – Review Work
1hr – Admin
1hr – Client Meetings½hr – New Business
½hr – New Technical Reading
2hrs – Client Calls/Emails
½hr – Payments
½hr – Timesheets½hr – Restoring Backups
10mins – Review WIP & Workflow1hr – Review WIP & Workflow
So where are you?
Traditional Transition Connected Advisor
Invoicing Surprise bill Bill on completion Fixed/Value pricing
Documents Paper PDF & Email Online e-sign
Client Comms Book a meeting Call Live Chat
Client Touch Points One per year 6 Month/Qualterly Anytime
Data Transposition Import/Export Real time sync
Steps to becoming a Connected Advisor
Face-time with clients evolves to virtual basis
Stay ahead of your clients on the technology curve
Lead your client rather than be dictated by them
Lead your client rather than be dictated by them
• Select the right cloud platform • Staff for success • Create efficient internal processes • Develop a strategy to stay ahead
Lead your client rather than be dictated by them
• Select the right cloud platform • Staff for success • Create efficient internal processes • Develop a strategy to stay ahead
Increased efficiencyAutomation and elimination of duplication between
all accounting functions and clients is key
Select a target market focus
Process Evaluation
Setup & Configuration
Plan Execution
Marketing Plan
Devote time to the process
Find the right solutions
Test and Refine
Practice Champion
Communication
Take the early adopters
Perfect the process
Rinse and Repeat
What makes you unique?
Who is your ideal client?
Create and live by your vision.
Am I inspired by my clients?
Are we more efficient?
Have you added value to our client engagements?
Big enough to matter
Small enough to lead
Good fit with your skills and interests
Choose the niche
Steps to create your platform
SMB Breakdown Based on Size
Most Profitable Industries
Best Fit Xero Industries
Wholesale Computer/IT Services
Design Services Internet Content Web Consulting
Media & Entertainment Transportation & Warehouse
Legal Services Nonprofit
Business Products and Services Consumer Products and Services
IT Services Energy Financial Services Human Resources
Health Logistics and Transportation
Construction Telecommunications
Micro (part-time) = 23.5M (82%) Mini (0-4 employees) = 3.5M (13%) Small (4-9 employees) = 1.2M (4%) Mid (10-19 employees) = 0.6M (2%)
Choosing your Niche
Too small to succeed Too large to matter Marketplace penetration Is their room for growth Can you make money at it
Market assessment
Your platform using the eco-system
Payment services
Invoicing
Point of sale
Website
Inventory
Social media
High Tech Health & Wellness Nonprofit
Xero
Spe
cial
izat
ion
• Require flexible reporting
• COA standardization
• Teachers/trainers often contracted on an hourly basis
• Reoccurring monthly billing
• Comfortable with cloud technology
• Understand the value of collaboration
SMB Breakdown Based on Size
• Similar workflows • Require real time
access to trust accounts
SMB Breakdown Based on Size
• Want user friendly interface
• Work provided on project basis or standard fee
SMB Breakdown Based on Size
• Multi-channel sales • Owner often works on
“back office” after hours
High TechWeb Design RetailLegal
Gather your requirements Write down your priorities Identify your top challenges Create a RFI / RFP Demo or trial from short list Calculate TCO / ROI Check references Score and select
Cloud platform selection process
Financial Statement Analysis
The connected advisor’s offerings
Virtual CFO
Process Improvement
Forecasting & Budgeting
Bookkeeping
Cashflow management
Strategic planning
Big Data for small business
Anonymous macro data for the first time uncovering the shape of small business
Unlock insights to Business Owners
Industry benchmarking • Geocode • Industry Code • Report Codes
Anonymous macro data for the first time uncovering the shape of small business
Unlock insights to Business Owners
Industry benchmarking • Geocode • Industry Code • Report Codes
Benefits
Work with your clients
Provide advice
Identify areas for improvement
Engage your clients
Manage workflow
Analyze profitability
Workpapers &Practice Studio
The Technology you use is a major factor to:
- Attract next generation talent
- Up and coming small business clients that will create longevity for your firm
Creating the next generation firm
Rapidly changing workforce
Source: Mary Meeker
GEN X (32-49) BOOMERS (50–69)MILLENNIALS (15-31)
2015
2005
US Millennials smartphone behavior 2014
Source: Mary Meeker’s internet trends 2015
My smartphone never leaves my side
When I wake up the first thing I do is reach for my smartphone
I spend more than 2 hrs every day using my phone
In the next 5 yrs I believe everything will be done on mobile devices
87%
80%
78%
60%
Xero mobile usage
IPAD
IPHONE
ANDROID TABLET
ANDROID PHONE
Global active devices that have logged in to Xero mobile at least once in the last 45 days
Connected
Human
Stronger, deeper client relationships
Social
Strategy not product
Lifestyle advisor, spending coach
Budgeting and money management at the center
Partner for success
ConnectedPractice
ConnectedPractice
Online storage
Training
Implementation
Conversions/setup
Sales Tax compliance
Online Banking/Payments
Insurance
Payroll Compliance
Financial planning
Client engagement
Reporting/benchmarking
Productivity/office
Leverage technology to achieve client collaboration
Instant results cannot be expected – it takes time
A Business Plan is key to manage to the right metrics
Overcome fear of change
How it will improve their quality of life
Create a win-win revenue model
Add value to client engagements in new ways
Staff ClientsManagement
Setting the right expectationsGETTING STARTED
Big enough to matter
Small enough to lead
Good fit with yourskills and interests
Take the early adopterswhen they are ready
Eventually end-of-life paper-based services
Paperless standard
In the cloud
Document exchanges
Other add-ons as needed
Convert existing clients
New client on-boarding
Select a target market focus
Connected Practice strategyGETTING STARTED
Own business on Xero
Businessclients on online
accounting
My Green Xero to manage clients
Manage client workflow through Xero
Workpapers
Practice workflow is managed online using Xero Practice Manager
ConnectedPractice
Running your connected practice on Xero
How would you rate yourself as a Connected Advisor?
Client accounts/payroll on Xero
All clients using online accounting
Cloud based email/office
Responsive firm website
Online filing of Sales and Payroll Tax returns
Cloud based workflow management
Cloud based document management
Clients can pay in-app via online invoicing
Certified on 3+ Xero add-ons
Online appointments available
Electronic signatures for documents
Online client collaboration portal
Video conferencing/chat offered
Next steps to a connected practice
Becoming Certified
Begin with your existing clients• Start with a few
• Choose a single platform
• Document the process
Promote your services• Host your own events
• Send Newsletters, Press Releases & Blogs
• Seamlessly integrated business software
• Numbers with business relationships
• Everything mobile
• Moving from traditional ways of doing business to connected advisors
• Big data insights for small business
• Financial web will unlock debt and equity to drive small business growth
Beyond accounting