Financial Planning | Technology & Social Media

4 reasons to start your own practice NOW!

Koziel"The best way to predict the future is to create it." -- Peter Drucker

I just got back from a CPA-SEA (State Executives Association) meeting with the AICPA, where we were discussing the future of sole practitioners. The conversation centered on this question: What is the future of small practices and sole practitioners in the CPA profession, given the baby boom retirement and the recent rounds of layoffs from the recession?

Then I saw this post from Mark Koziel (pictured at right with Barry Melancon): "Small Business is the Place to Be." Here, he talked about the same thing and referenced a recent study from that shows the recession can be an incubator for new small businesses, making this the right time to start a practice if you are a CPA trying to figure out what is next.

Turns out this is exactly what AICPA CEO Barry Melancon said in our conversation.

According to the SBA, "Since the mid-1990s, small businesses have accounted for 64 percent of net net employment. Each year, they account for approximately half of the nation’s private, non-farm GDP and half of private sector employment. Small businesses are more innovative than large ones, acquiring, on average, more valuable patents at a higher rate."

So here are four reasons for laid-off CPAs and business professionals to think about:

  1. A family-friendly work environment: 56 percent
  2. More employee recognition: 49 percent
  3. A sense that you can make a difference: 48 percent
  4. An absence of corporate red tape: 46 percent

Here is a resource center from the SBA to evaluate starting your own business. The AICPA PCPS center has a great checklist. If you are frustrated by your job search, this might be good option: Create your own job as a small business entrepreneur. That is what happened in the 1970s and '80s during the last big downturn. Also, have you checked our new career center out and our six-point plan to help you through the recession (including 24 hours of free CPE)?

Want to get the latest on working in a local or small practice? COme join our Local Practitioner's community at their conference on Tuesday, Oct. 27th at Martin's West. Click here for more information

More resources about small business from CPA Success: