Podchaser Logo Rate on Podchaser

Episode 66

full
Published on:

14th Nov 2023

CAS, what does it take? With Jan Haugo

Are you having trouble navigating the complexities of integrating Client Accounting Services (CAS) into your accounting practice? 

In this episode, Damien and Penny have on Jan Haugo to dive deep into the journey of adopting CAS. They explore how this isn't just about embracing new technology but fundamentally evolving your business model to align with the dynamic demands of CAS. From the significance of starting with robust bookkeeping practices to managing client expectations and adapting to real-time needs, this episode is packed with invaluable advice for firms ready to blend traditional knowledge with modern practices.

They discuss the broad scope of CAS, the critical role of bookkeeping as a foundation for successful implementation, and the challenges in aligning partners' visions within a firm. They also dive into the nuances of client management, the necessity of consistency in bookkeeping, and the importance of strategic client selection and verticalization. Tune in for an episode that demystifies the journey toward integrating CAS to revolutionize your accounting practice!

[00:00 - 10:48] The Challenges of Implementing CAS in Traditional Accounting Firms

  • Jan is introduced and shares her insights and passion for technology and her interest in new startups.
  • Jan describes her journey from traditional accounting to going virtual in 2010, her involvement with the Institute of Certified Bookkeepers, and her current roles, including COO and head of bookkeeping.
  • We discuss CAS in accounting and the challenges faced by firms in integrating it.
  • Traditional firms struggle to adapt CAS into their existing models and the misconception of it being a 'plug and play' addition.
  • The discussion highlights the difference between skills needed for tax returns and bookkeeping and the importance of having staff with the right skill set for CAS.
  • Converting clients to regular CAS clients is difficult due to a lack of preparation and mindset change needed in firms.
  • We discuss the complexity of offering a mix of CAS, traditional, advisory, and other services by the same team, leading to performance and scalability issues.

[10:49 - 27:30] Successful CAS Starts With Bookkeeping

  • Jan used ChatGPT to analyze the QuickBooks Connect agenda and identify sessions related to CAS and AI, highlighting the utility of AI in categorizing and defining complex topics.
  • Firms face difficulties in clearly defining CAS. This can lead to challenges in implementation and integration.
  • Successful CAS implementations often start with bookkeeping
  • Effective CAS requires control over data flow and cooperation from clients, which is not always straightforward.
  • Firms sometimes need to let go of clients who don’t comply with the necessary changes for effective CAS implementation.



[27:31 - 32:25] Navigating Change and Client Relationships in Transitioning

  • We discuss how to navigate client relationships, especially when changes in banking or technology are involved.
  • Find practical solutions like opening an operating account to maintain the client's existing banking relationships while facilitating the firm’s work.
  • Uses easy-to-follow demos to convince clients to adapt to new systems.
  • Get a good client success manager!
  • Our discussion emphasizes the need for clear communication and setting expectations with clients regarding service changes and requirements.


[32:25 - 48:37] Going Virtual Takes a Lot of Work, But It’s Worth It

  • Jan Haugo emphasizes the importance of consistency in bookkeeping and accounting services.
  • Penny and Jan discuss the challenges of transitioning from a traditional accounting practice to a virtual one.
  • Damien Greathead adds that practitioners must recognize the journey of transitioning to a virtual practice takes time and involves managing client expectations.
  • Penny highlights the challenges of bookkeeping during tax season.
  • Damien and Jan discuss the importance of hands-on technical training in the rapidly changing accounting industry.



Connect with Jan on LinkedIn!


Tweetable Quotes


“They think it's a plug-and-play model... but they don't adapt it to the workflow that is required." - Jan Haugo


"Just because someone can do a tax return doesn't mean that they can do the bookkeeping." - Jan Haugo


“Ultimately, CAS actually has to start with bookkeeping. It actually has to start with doing the bookkeeping for the client so that you can then build upon with additional.”  – Damien Greathead


"I have fired clients for not having the right bank account... if I can't get a statement, I can't get the information connected, or I can't even get bookkeeper access." - Jan Haugo


-----------------------------------------------------------------------------


Thank you for listening, Please like and share this episode with a friend!


Websites: https://moneypennyllc.com/

LinkedIn: https://www.linkedin.com/in/damiengreathead/

Twitter: @Damien_GH

LinkedIn: https://www.linkedin.com/in/penny-breslin-0228b81/

Twitter: @pennyb57

Next Episode All Episodes Previous Episode

Listen for free

Show artwork for Strategy and the Virtual Controller

About the Podcast

Strategy and the Virtual Controller
Helping accounts and bookkeepers build the firm they want, their way
Your hosts Penny Breslin and Damien Greathead have more than 30 years of combined experience in the accounting industry. This podcast is to share their experiences of working in, and consulting to accounting and bookkeeping firms of all sizes, helping them grow.

Nothing discussed will be rocket science, instead they'll be discussing 'how' firms have successfully, and not so successfully, pursued growth. Penny and Damien will be sharing their insights on how firms can be successful by focusing on their people (clients included), their technology, and their processes and systems.

Ultimately how successful an accounting business will be depends largely on how the owners manage change, which alongside taxes appears to be the only constant.

We do want to acknowledge David Maister's great read Strategy and the Fat Smoker: Doing what's obvious but not easy as the inspiration for our title. Buy it on Amazon - https://amzn.to/3dhcUFC

Subscribe today for an upbeat and practical conversation about what's working and what's not in accounting businesses around the world.

About your hosts

Penny Breslin

Profile picture for Penny Breslin
Penny Breslin is the founder of MoneyPenny, a consulting firm specializing in helping accounting firms and other businesses embrace the power of technology to simplify their operations and increase their profit margins.

Drawing on her years of experience and her knowledge of what it takes to run a successful business, Penny oversees the development of back office processes for her client firms. From the initial evaluation of the firm’s workflow, to technology selection, and assisting in the on-boarding of the firm’s clients, Penny works with her clients to maximize the benefits of a paperless and cloud-based firm.

Damien Greathead

Profile picture for Damien Greathead
Damien has been working in the accounting industry for more than 15 years. In addition to getting his hands dirty preparing tax returns and doing bookkeeping, but the bulk of his experience comes from consulting to both accounting firms and the technology companies that serve the industry.

He set up 2020 Group USA which was a membership group for small and medium sized accounting firms and then went on to set up Receipt Bank (now Dext) in North America.

He regularly speaks to industry bodies on technology, marketing and change management.