What Makes A Good CPA Firm?

Finding a Business Partner: What Defines a Good CPA Firm?

With the increasing rise of commoditization of services that are inherently personal, Harry Catrakilis defines what he thinks makes a good CPA firm, and what to look out for when identifying a trusted business partner.

“A few weeks ago, CKH Group named a new chairman and CEO. It’s great to see young, fresh leadership taking the helm. With AI and technology becoming increasingly integral to the industry, I believe this transition will position the firm well for the future.

Recently, I was having lunch with a fellow retiree when he asked me, “What makes a good CPA firm?” I found the question fascinating and started to reflect. More broadly, what makes a good business partner—whether it’s an accounting firm, a lawyer, or a critical vendor? Here are some initial observations from my experience:

Client Interactions

1. Expertise and Knowledge
A good CPA firm must have the requisite knowledge and expertise. I don’t mind if the firm occasionally brings in on-demand specialists, but it must be able to manage those additional resources effectively.

2. Proactive Approach
A CPA should be proactive—anticipating a client’s needs rather than just reacting to questions. When a client reaches out, the firm’s response should reflect that it has already considered and addressed the issue.

3. Genuine Concern for Clients
A great CPA demonstrates a sincere commitment to the client’s well-being. The client should feel, “My CPA worries about my affairs more than I do!” rather than, “I know I’m just one of many clients, but can you…?” A key part of this concern is the ability to say no when necessary. Whether or not the client takes the advice is up to them, but too many CPAs feel compelled to tell clients what they want to hear instead of what they need to hear.

4. Trusted Advisor Role
While the phrase trusted advisor has become somewhat of a marketing cliché, it remains at the core of a strong CPA-client relationship. A CPA doesn’t need to know everything, but from a financial perspective, the client must feel confident that the advice they receive is sound and reliable. Particularly on the tax side of a practice, clients want peace of mind—they need to sleep well at night knowing their affairs are in good hands.

Staff Interactions

A firm’s staff is its engine. In a CPA firm, both clients and employees are the business.

1. Strong Business Acumen
Client-facing accountants should not only be subject matter experts but also have a solid understanding of business processes. They must be able to grasp a client’s business model and pain points beyond just the numbers.

2. Clear Career Trajectory
In a firm that values talented employees, professional development must be a cornerstone of the staff relationship. Employees should see a clear path for growth within the firm.

3. Transparency of Mission and Culture
Poor hiring decisions can lead to cultural misalignment within a firm. Suddenly, there are team members whose priorities may be acceptable on their own but do not align with the firm’s mission and values. This leads to internal conflicts and a lack of focus. Ensuring transparency in the firm’s goals and culture is essential to maintaining a cohesive and effective team.

Final Thoughts

CPA firms are unique in that they are composed of individuals providing personal services. In today’s world, where large companies attempt to commoditize services that should be personalized, this distinction becomes even more critical.

Someone once told me that every great businessperson needs both a trusted lawyer and a trusted accountant. At the heart of a great CPA firm is trust, complemented by competency. Trust from clients—and just as importantly, trust from staff—is what truly defines a good CPA firm.” -Harry Catrakilis

The above article only intends to provide general information and reflection. It is not designed to provide specific advice or recommendations for any individual. It does not give personalized tax, financial, or other business and professional advice. Before taking any form of action, you should consult a financial professional who understands your particular situation. CKH Group will not be held liable for any harm/errors/claims arising from the blog. Whilst every effort has been taken to ensure the accuracy of the contents, we will not be held accountable for any changes that are beyond our control.