1. Improving Your Firm’s Cash Flow Show Me the Money! ©2013 Sandra G. Johnson, CPA, PC

2. Billing  Time billing  Billing on retainer  Value added billing ©2013 Sandra G. Johnson, CPA, PC

3. Fees  Hourly rates  Minimum fees  How to determine tax preparation fees ©2013 Sandra G. Johnson, CPA, PC

4. Improving Cash Flow  Define payment expectations in advance  Have a signed engagement letter  Look at your Aged Accounts Receivable  Enforce your payment procedures  Make collections a priority  Issue invoices promptly ©2013 Sandra G. Johnson, CPA, PC

5. Improving Cash Flow  Send out monthly statements  Accept alternate forms of payment  Request money in advance  Auto-pay  Stop work  Dismiss deadbeats ©2013 Sandra G. Johnson, CPA, PC

6. Improving Cash Flow  Charge for re-runs  Charge for extensions  Charge to respond to notices  Charge for a rush job  Charge for receipt of late work ©2013 Sandra G. Johnson, CPA, PC

7. Collections  If possible, have someone else make collection calls  Stay calm  It’s not personal  Collecting for tax returns  The Satisfaction Curve ©2013 Sandra G. Johnson, CPA, PC

9. Billing Myths ©2013 Sandra G. Johnson, CPA, PC

10. Myth: Accountants should do the job first and worry about money later. ©2013 Sandra G. Johnson, CPA, PC

11. Myth: Inexperienced or inefficient staff usually causes write-downs. ©2013 Sandra G. Johnson, CPA, PC

12. Myth: All clients are very price- conscious and always think our prices are too high. If we raise prices, many clients would leave. ©2013 Sandra G. Johnson, CPA, PC

13. Myth: If you do good work, your client will appreciate the quality and will pay for it without prompting. ©2013 Sandra G. Johnson, CPA, PC

14. Myth: If you do not charge a client for all the work you did, they will be more likely to pay the bill. ©2013 Sandra G. Johnson, CPA, PC

15. Myth: Last year’s price is a good guide for this year’s price. ©2013 Sandra G. Johnson, CPA, PC

16. Myth: If you charge lower prices than the competition, you will get more clients. ©2013 Sandra G. Johnson, CPA, PC

17. Myth: Slow payment is the price of keeping clients. Asking clients to pay is unprofessional. ©2013 Sandra G. Johnson, CPA, PC

18. Myth: If you ask clients to pay, they will take their business elsewhere. ©2013 Sandra G. Johnson, CPA, PC

19. Myth: Clients will appreciate it when you delay sending them their bills. ©2013 Sandra G. Johnson, CPA, PC

20. Myth: The amount on your time- and-billing system indicates the fair price. ©2013 Sandra G. Johnson, CPA, PC

21. Myth: What you do cannot be very valuable, because it is easy for you. ©2013 Sandra G. Johnson, CPA, PC

22. Any Questions? Sandra G. Johnson, CPA, EA, CFE Sandra G. Johnson, CPA, P.C. 206 Pettit Avenue Bellmore, NY 11710 516-409-1120 www.sgjcpa.com sjohnson@sgjcpa.com