How to package, price and promote new services for maximum impact

Key points

• Small business owners are crying out for advisory services, and accountants are ideally positioned to provide them.
• Time, resources and uncertainty about how to package advice often holds accountants back.
• Accountants can offer three tiers of advisory packages based on their clients' needs.
• Helping small business owners to boost their cash flow and achieve their business goals can be hugely rewarding.

It is a business owner's dream: a loyal client base eager for an additional service they can provide and charge for.

But for many accountants, the immense demand among their customers for business advisory services has not translated into revenue. It is not due to a lack of skill – most accountants are highly experienced in financial management and forecasting – but rather a lack of time, resources and confidence in monetising their expertise.

Brent Szalay, FCPA and Managing Director, SEIVA and Leaders in Business

"The accounting industry has struggled to move into advisory," says Brent Szalay, FCPA and Managing Director of SEIVA and Leaders in Business.

"Compliance work eats up their time. And despite having extensive knowledge when it comes to forecasting, budgeting, cash flow and profit and loss, they lack the processes to charge for advisory services."

Business coaching is a booming industry. Data from the 2023 International Coaching Federation Global Coaching Study shows the global coaching industry has grown remarkably, with practitioners increasing by 54 per cent since 2019.

"Business coaching is one of the fastest-moving industries in the world, and it's driven by small businesses struggling and needing help," says Szalay.

When starting out, many small business owners possess deep industry knowledge but may not understand business strategy, he adds.

"Transitioning from technical expert to business leader requires new skills. Business owners often realise too late that they need help and they're very willing to pay for it.

"Accountants are in a prime position to offer this guidance because they have established trust and a relationship with the client. In fact, they may already be providing them advisory services on an ad-hoc basis for free."

Szalay is passionate about teaching accountants how to become experts in business strategy. In a series of Small Business Advisory Workshops organised by the IPA, he will share how they can structure, package and price their advice. Here are his tips.

Start with a goal

First, accountants must free up space and time to build up their advisory arm, says Szalay.

"Organise your business so your team handles compliance,” he says. “Then, you can focus on advisory."

This type of service requires a different mindset - instead of offering transactional services, aim for long-term engagement.

The initial step is to align your offerings with your client's objectives and goals.

"Understand your clients' long-term ambitions, whether it's growing their business, increasing their wealth or improving their lifestyle,” Szalay says. “Then, you can say, 'let's put in a process to help you do that'."

The next step is to identify obstacles that may be slowing down your clients and develop ways to overcome these.

"Guiding your client through a structured process will not only help them develop a one-page strategic plan to fast-track their growth and achieve their goals,” he says. “It will also establish you as the key person with financial management expertise to help execute the plan, keep them accountable and monitor their progress.

"At the end of the day, we're not selling the goal, but rather the steps and action they can take towards this goal."

Package it up

How often you catch up with your client – and the package you offer – depends on the client's urgency, needs and size, Szalay says. He suggests tiering packages into quarterly, monthly or fortnightly meetings, each offering ongoing support via phone and email.

Clients should commit to an annual service fee, divided into monthly payments to ensure ongoing engagement and continued support, he adds.

Get the word out

Most accountants can immediately leverage their existing client base to introduce their new advisory service and packages.

"Send an email to your database, inviting them to discuss your new services," Szalay says.

Szalay's company SEIVA sends a free questionnaire to clients that helps establish how a client is tracking and enables SEIVA to provide feedback on areas for improvement. It's an idea accountants can copy.

"It allows you to engage clients before selling them the package."

Reap the rewards – in more ways than one

Packaging your expertise as an advisory service allows accountants to boost their profits while at the same time, helping businesses who may be struggling.

"This work is truly meaningful," Szalay says. "You're helping clients solve problems, make more money, save time and achieve a better work-life balance. For many accountants, this is hugely enjoyable and fulfilling.

"You may even decide to take a further step, training your team to create a full business advisory department."