# Accountant offering 50% reduction



## Niall M (11 Aug 2011)

Hi there, I received an email from a guy offering accountancy services. He is doing an offer for first 25 customers to guarantee a 50% reduction on what your current accountant is charging. 

what do people think of this, should i meet up with him, or does it sound a bit shady


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## callybags (11 Aug 2011)

It sounds a bit shady to me.

From what I have seen, most accountants have already reduched their charges in order to stay competitive.

Has yours?

If so, then the new guy would be working for peanuts and this is never a good thing.


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## Brendan Burgess (11 Aug 2011)

Agreed.

I suspect that if you call, you will be told "hard luck, we got such a massive response that the offer was snapped up in no time. ARe you unhappy with your accountant?" 

If by any cance you do get the deal, I suspect that you would not get the service.

Brendan


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## T McGibney (11 Aug 2011)

What sort of accountant has to resort to spamming to drum up business?


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## Niall M (11 Aug 2011)

Im going to call and see what its all about. will keep ye posted. worst case i can always go back to my own accountant and make him match what this guy is offering.


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## z107 (11 Aug 2011)

Maybe it's just a new accountant trying to build a customer base.
They might even offer a better service than established accountants to get a good vibe out there.

It's inevitable that accoutancy costs are going to go down. Businesses just don't have the money any more.


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## J.Ryan (11 Aug 2011)

Niall M said:


> Hi there, I received an email from a guy offering accountancy services. He is doing an offer for first 25 customers to guarantee a 50% reduction on what your current accountant is charging.
> 
> what do people think of this, should i meet up with him, or does it sound a bit shady


 

Cold calling with offers to shave existing fees,  Ethically I'm not impressed already.

How did (s)he get your email?

How is your relationship with your accountant, if (s)he has given you reductions already over the last year or so, don't be surprised if your told to go ahead to that accountant.

I'm always surprised that this approach works,  bet you're asked for fees early on or signed onto a DD very quickly.


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## J.Ryan (11 Aug 2011)

umop3p!sdn said:


> Maybe it's just a new accountant trying to build a customer base.
> They might even offer a better service than established accountants to get a good vibe out there.
> 
> It's inevitable that accoutancy costs are going to go down. Businesses just don't have the money any more.


 

Accountancy costs are going down,  they may offer a better service, they may not,  its just an approach that I don't like, its also a possible limitation of scope on any audit assignments that they take on.


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## embassy1884 (11 Aug 2011)

may not need an accountant after today watch the news at 6pm


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## Niall M (11 Aug 2011)

Why so? I called them, he sounded very genuine on the phone, said he was looking to expand and this was one way he was going about it. I am going to meet up with him next week I think, I might give him a chance.


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## J.Ryan (11 Aug 2011)

embassy1884 said:


> may not need an accountant after today watch the news at 6pm


 Do tell


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## Tomorrow (11 Aug 2011)

I think you are right to give him a chance.

If he is qualified, has practising certificate etc etc, he might just be a young guy starting out.

I had a new client come to me recently who I quoted €600 for the year.

I asked him what his previous accountant was charging him ...€2000. When he had asked for a reduction, he was told 'I am too old to work for nothing'.


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## PaddyBloggit (11 Aug 2011)

*Government to remove SME requirement to hire external auditors*



J.Ryan said:


> Do tell



Tis all here:

[broken link removed]


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## DB74 (11 Aug 2011)

This new audit threshold will have a minimal impact IMO

It would be far better to remove the ridiculous law requiring companies whose CRO return is late being subject to an audit (they could impose a late time limit of say 12 months or something like that)

Also, small groups should be audit exempt, where all companies within the group would themselves be audit exempt but for the fact that they are in a group.

This would remove thousands of smaller companies from the audit net


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## T McGibney (11 Aug 2011)

DB74 said:


> This new audit threshold will have a minimal impact IMO
> 
> It would be far better to remove the ridiculous law requiring companies whose CRO return is late being subject to an audit (they could impose a late time limit of say 12 months or something like that)
> 
> ...



+1 on all counts.

Statutory Audits are, in general, an utter waste of time and resources, both for SME companies, and for their auditors. Not too many would shed any tears if they were scrapped entirely for private companies.


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## Paddy199 (11 Aug 2011)

Agree totally with previous posters. 

I'd imagine that more regulations will be introduced for audit exempt accounts though. Not a bad thing in some respects as some of the stuff you see is just shocking.

I blame the Instititues for allowing this to happen.


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## T McGibney (11 Aug 2011)

Paddy199 said:


> I'd imagine that more regulations will be introduced for audit exempt accounts though. Not a bad thing in some respects as some of the stuff you see is just shocking.




I don't think there's any need whatsoever for more regulations for audit exempt accounts. What is needed is basic enforcement of existing regulations (ie Companies Acts disclosure requirements)


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## Paddy199 (11 Aug 2011)

Who's going to do that? The CRO accept any sort of dirt thats lodged.


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## Bronte (12 Aug 2011)

If the guy is qualified and will work for less what is the problem, surely this is good?  Presumably it's someone starting out and hungry for work and willing to work for less.  Something to bring down the costs of doing business in Ireland is good.


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## kennyb3 (12 Aug 2011)

Paddy199 said:


> Who's going to do that? The CRO accept any sort of dirt thats lodged.


 
Agree with above posters re audits and the lack of necessity for same for SME's.

However have to agree with paddy199 re the comment above. From what i see the CRO & ODCE are so understaffed and focused on the big fish that they are essentially facilitating the rise in rogue accountants that seems to be going on.

I ve seen balance sheets that dont balance submitted to them, with no notes etc and nothing is done. You could prob hand write the abriged balance sheet on a kellogs box and get away with it at present. They are so tied up in knots with anglo et al that it will be many years before they get around to looking at SME's again properly.

Audit exemption however has the curse of some accountants taking no responsibility and using extended letters of representation rather than doing any actual verification work of any sort.

Anyway im getting off topic now, apologies.


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## capnhand (12 Aug 2011)

Hi

I would agree that since the effective deregulation of the accountancy industry there are now a lot of rogue accountants out there. Some of them arent even qualified and just dont know what they are doing or the damage that can be done by inaccurate or misguided advise or filing. The government is unwilling to act by protecting the name accountant for fear of disenfranchising a sizable number of people so we are stuck with this situation for a long time.

However on the other hand there are a number of established accountants out there who are just basically inefficient. Its as simple as that. They wont embrace technology, use outdated auditing techniques, dont supervise or train their staff properly etc. Some accountants I have come accross still use word and excel to produce their accounts....the stone age!!! 

So if you are one of those accountants who is moaning because you lost a client you previously charged €2000 to another who is dong the same job for €1000 you need to consider whether the service you are offering is worth €2000. Clients do not move because of fees, they move because of the service and the percieved value added. They are not stupid and they are aware of the ptfalls of change. The level of fee, although important is not the sole factor. If they are leaving you are doing something wrong and you need to establish what it is and you need to compete.

So to the OP, do indeed check out this guy. See what he is about and if you like the look of him (not just the price) then you should give him a chance. Especially if he is just starting off. Above all make sure he is qualified and has a cert. If he is not qualified walk away or you will be in dodo.

OK ....check body armour.....shin pads....shoulder pads.....helmet....bullit proof vest....etc.

Regards


capnhand


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## kennyb3 (12 Aug 2011)

@ capnhand, I concur no reason to shout this accountant down immediately.

Do some digging, ask him questions:

- ask to see his practising cert
- ask his background, where he worked? for how long? why he has gone out on his own?
- check where he is working from now?
- ask around whether anyone else you know has used him and can give a good account of dealing with him

You dont have to interview him but a good chat and you ll get a feeling for him straight away. Whether he is making it up or telling it straight.

Being qualified doesnt necessarily mean he is capable. Many accountants have been in industry for 10-15 might have lost there jobs and started into getting clients but not looked at a tax book in the interim 10-15 years. My father is a financial controller but would be very light on corporation tax knowledge for example.

Yes you might save 50% but if the guy isnt up to standard you never know what might not be claimed and what sort of mess you might end up in.


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## Niall M (26 Sep 2011)

I have a new accountant.....


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