063 So Many Things to Learn (feat. Ed Mendlowitz, CPA)

Episode 63 | Recorded February 22, 2022 Guest: Edward Mendlowitz, CPA Hosts: Jason Ackerman, CPA and Scott Scarano, EA Sponsor: Dark Horse CPAs - visit abetterway.cpa to learn more Hosted by Scott and Jason, Ed shares the story of his accounting life. Not familiar with who Edward Mendlowitz is? He’s an accountant who has been in practice since 1974 and is now a Partner at Withum. This episode is a collection of stories about his practice and how he was able to adapt, innovate, and take on the challenges of the accounting space. Not a minute goes to waste as he shares his personal tips and tricks in running his business so be sure to give your 101% attention or you might miss the greatest tip you’ll ever need. 2 A lot of wisdom with Ed, none with Jason, and a little with Scott Shoutout to CPA Journal 4 Ed, a legit Sons of CPA: I wanted to be a CPA like my father 5 It seemed to me that my father was a very powerful person because he had all these people who couldn't make decisions without getting his advice 7 Ed has been fixed price billing even before it was the hype 14 You gotta just look for the cracks 16 I have to charge you for what I did and it's pretty high 17 I love accounting, believe me. I love it, but it's not a hobby, it's a business and I gotta make money from it 19 Any client that paid me a fee was a good client… the fact whether I liked them or didn't like them was not relevant. I did a great job for them, they appreciated it, and they paid me my fees 24 You don't wanna put your fortune, your life at risk by dealing with people that are dishonest or out there breaking the law. That’s stupid Shoutout to Ron Saharyan, Profit First Professionals 25 HOT STUFF!: How Ed made a big company not pay taxes for 7-8 years 30 Ed’s first partnership: Siegel Mendlowitz & Rich, PC Shoutout to Seymour G. Siegel, The Wall Street Journal 32 On to the next ones: Mendlowitz Weitsen LLP and Withum Smith + Brown, PC Shoutout to Peter Weitsen, Frank Boutillette, Withum, Paul Rich 35 You wanna grow, you gotta build infrastructure, you gotta do it right 37 If I could hold onto what I got, I'm never gonna do bad. I may not do great, but I'm never gonna do bad 40 You gotta give the salary that the people are worth. Not what they were worth when you hired them, but their worth after you made your investment in them. They now own that value 45 What has changed is the things that haven’t changed. What hasn’t changed is the attitude towards staff 49 Ed’s favorite part of accounting? Every single thing he’s done, Everything! 51 Ed’s advice on starting a firm? Get a client where you could get a check every month, get that annuity business Shoutout to AICPA, Sidney Kess, Bill Hagaman 55 Ed’s parting tip for this episode? You gotta raise the fee every year. Your expenses go up every year. When you raise the fee, you're not increasing the fee, you're passing on your increased costs