Which metrics matter most in terms of practice growth? Often it can feel as though your attention is being pulled in a million different directions, but there are actually just five key numbers you need to focus on – and they might not be the ones you’d expect. Let’s take a look at the dials that really move the needle in your accounting, bookkeeping or outsourced CFO practice.
#1 – Conversations
First of all, you need to keep a close eye on the conversations you have on a daily basis. Sales stem from conversations, so without them you will never be able to build the practice that you want.
There are several effective ways of starting conversations with prospective clients, including:
- Direct outreach. It may seem intimidating, but sending out a message to introduce yourself is a surefire way to be seen by prospects and get them talking to you.
- Webinars. Hosting bi-weekly webinars allows you to deliver value and position yourself as an authority within your niche.
- Joint venture partnerships. Partnering with a business that complements your services and shares your audience is a great way to show up in front of new clients and get them talking to you.
- Content marketing. Every piece of content you create – be it a blog, a video or a social media snippet – should end with a call to action to spark those all-important conversations.
#2 – Audition Calls
An audition call is a quick, 10-minute call to see if a prospect is a good fit for your practice. This prevents you from wasting your time and helps you to weed out vampire clients early on.
Although this is not a sales call, you need to have a certain number of audition calls each week in order to get strategy sessions and sales calls booked in the diary.
You should also make a note of how many audition calls lead to sales calls. If that number is too low, then you may not be starting conversations with the right audience.
#3 – Proposals Sent
How many proposals are you sending each week, either via Zoom or in the post?
It’s a good idea to host proposal sessions via Zoom as often as you can. This allows you to talk through the proposal with your prospect in-depth to answer their questions and counter their objections. You have a greater degree of control than when you send a proposal in the post and have to wait anxiously for a “yes” or “no.”
#4 – Number of Sales
How many of your proposals are successful? In order to get clear on how fast your practice is growing, you need to be clear on the number of sales you are making each day, week and month. Onboarding three new clients per month on a subscription basis will enable your practice to grow at a steady and sustainable rate.
#5 – Monthly Recurring Revenue
How much revenue are you earning each month? How much do you want to be earning three years from now?
In order to hit your financial goals, you need to be super clear on your MRR and how it is increasing – or not as the case may be.
If you want to be turning over upwards of £500k per year within the next three years, you should aim for each new client to be paying you at least £500 per month.
If you onboard three new clients per month at this rate, your MRR will grow by almost £550k over the next three years.
Move the Needle
When it comes to growing your accounting, bookkeeping or outsourced CFO practice, forget about vanity metrics such as likes and comments online. Instead, focus on the important numbers that really move the needle and will take you to where you want to be:
- Audition calls
- Proposals sent
- Number of sales
- Monthly recurring revenue
These are the numbers that you need to focus on in order to attract better, high quality clients to your practice and scale up to achieve freedom.