Accountants must make business decision

At the midway mark of the transition period for the Future of Financial Advice (FoFA) reforms, the Institute of Public Accountants (IPA) is urging accounting practitioners to make a clear business decision about their future. 

“The end of the transition period on 30 June 2016 will come soon enough and accountants should make decisions about the future of their businesses now to seize the opportunity to diversify and grow,” said IPA chief executive officer, Andrew Conway. 

“We know consumers see accountants as their trusted advisors and clients will seek advice from their accountants. This provides accountants with a marvellous opportunity to cement relationships with clients. 

Recent research conducted by CoreData shows accountants as the most nominated primary source of professional advice by consumers regarding money and financial matters with a high 33.9 per cent compared to 17.5 per cent for non-aligned financial advisors. 

“Demand for the one-stop-shop is on the increase and clients look to their accountants to fill this space, with the provision of financial and other business advisory services. 

“Traditional compliance work such as income tax returns is shrinking so it is an ideal time for accountants to consider their future business model. 

“It is essential for any accountant wishing to provide financial advice to be FoFA compliant; they need to be ready and to act now. 

“ Making a clear business decision about what their future practice will look like, what services they elect to offer, what licensing or referral options they will undertake and consideration of any additional education requirements, should happen now,” said Mr Conway.