Accountants are poised to provide vital support to business owners who are feeling overwhelmed by the current cost-of-living crisis, as stated by data analyst Julia Thomson from The Benchmarking Group. The economic landscape is significantly impacting small business owners in Australia, with challenges such as cash flow issues and uncertainty about business growth prevalent among them.

Thomson highlighted that factors like cash flow, cost of living, rising wages, and reduced consumer sentiment are all contributing to the potential burnout of small business owners. She warned that a significant number of businesses might be forced to exit due to these pressures.

Accountants, being in a unique position to assist overwhelmed business owners, have an opportunity to provide valuable support to this client segment. The Benchmarking Group’s recent report indicated that high-profit firms focus on value-adding and serving fewer clients per partner compared to their lower-profit counterparts.

The Accounting and Bookkeeping Insights State of the Industry Report by Xero in 2023 revealed that an increasing number of practices are adopting value-based pricing, citing benefits for both the business and the clients. This approach has been favored for its ease of understanding, profitability, revenue growth, and perceived honesty.

Thomson is set to deliver a session at the upcoming ACE24 Accounting Conference and Expo 2024, where she will discuss the key trends shaping the accounting industry, including changing customer needs, regulatory developments, technological advancements, and the growing influence of employees. She will also address challenges such as the impending shortage of accountants due to retirements and declining enrollment in accounting programs, offering insights on how firms can mitigate these threats and gain a competitive edge.

In a recent piece for Accountants Daily, Thomson shared major insights from The Benchmarking Group’s research, emphasizing the critical role accountants can play in supporting business owners during these challenging times.