Adding $2M in Accounting Services in 36 months w/ Greg O’Brien CPA, CTS

Podcast

Summary

In this episode of Growing Your Firm, host David Cristello welcomes back Greg O’Brien, Co-CEO of Anomaly CPA, for an insightful discussion about the evolution of his firm since their last conversation three years ago. 

They reflect on the growth of Anomaly CPA, including the firm’s current headcount and revenue, as well as the strategic decisions made to invest in alternative positions beyond client-facing roles, such as marketing, IT, and operations. 

Greg shares valuable lessons learned on scaling a successful accounting firm and offers advice for listeners looking to achieve similar growth. Tune in to discover the latest updates from Greg and the innovative practices that have shaped his firm’s journey.

Guest Bio

Greg O ‘Brien: A Visionary Leader in Accounting and Tax Advisory

Greg O’Brien is a distinguished figure in the accounting industry, known for his innovative approach to tax advisory and firm management. 

As the Co-CEO of Anomaly CPA, Greg has transformed the traditional accounting model into a forward-thinking, subscription-based service that prioritizes client relationships and value-driven solutions. 

His journey in the accounting world is marked by a commitment to excellence, a passion for helping businesses thrive, and a relentless pursuit of growth.

Greg’s career began in the conventional realm of public accounting, where he honed his skills and developed a deep understanding of tax strategy and compliance. 

However, he quickly recognized the limitations of the traditional model, which often left clients feeling underserved and frustrated. 

This realization sparked a desire to create a firm that not only provided exceptional accounting services but also acted as a trusted advisor to clients, guiding them through complex financial landscapes.

One of Greg’s most significant achievements is the establishment of a subscription-based pricing model that aligns the firm’s services with the evolving needs of modern businesses.

By moving away from traditional hourly billing, Greg has created a framework that fosters long-term relationships with clients, ensuring they receive ongoing support and guidance throughout the year. This approach not only enhances client satisfaction but also positions Anomaly CPA as a leader in the industry.

Greg’s philosophy centers around the idea that accounting is not just about numbers; it’s about understanding the unique challenges and opportunities that each client faces. 

He believes in the power of proactive tax planning and advisory services, which empower clients to make informed decisions that drive their businesses forward. 

This client-centric approach has resonated with a diverse range of industries, including venture-backed startups, digital businesses, and real estate investors.

In addition to his role at Anomaly CPA, Greg is a sought-after speaker and thought leader in the accounting community. He actively shares his insights on digital marketing, lead generation, and the importance of building a strong brand identity. 

His commitment to education and knowledge-sharing reflects his belief that collaboration and learning from one another are essential for success in the accounting profession.

Greg’s credentials include membership in the American Institute of Certified Tax Coaches (AICTC), where he has gained valuable insights into advanced tax strategies and advisory practices. His dedication to professional development and continuous learning has positioned him as a trusted resource for both clients and peers alike.

As Anomaly CPA approaches its sixth year in business, Greg remains focused on scaling the firm sustainably while maintaining the high standards of service that have become synonymous with its name. 

His vision for the future includes expanding the firm’s reach, enhancing its service offerings, and continuing to innovate in the ever-evolving landscape of accounting and tax advisory.

Detailed Synopsis

Anomaly CPA has experienced remarkable growth, expanding from a team of 10 to approximately 30 members over the past few years. 

This expansion is particularly impressive given the firm’s commitment to a fully remote work model, which enables them to access a diverse talent pool across various states and even internationally, with team members located in the Philippines and India.

A key strategy behind Anomaly CPA’s growth has been their willingness to invest in a range of operational roles that extend beyond traditional client services. While many accounting firms focus solely on client-facing positions, Anomaly CPA has recognized the importance of building a robust internal structure to support their growth. 

This includes hiring full-time in-house IT staff who not only manage technology needs but also contribute to development efforts. Additionally, the firm has established a dedicated marketing team, a director of operations, and an administrative team, all of which play crucial roles in ensuring the firm runs smoothly and efficiently.

By diversifying their team composition and investing in these alternative positions, Anomaly CPA has created a more sustainable business model. This approach allows them to maintain high-quality service delivery while enabling their client-facing staff to focus on building relationships and providing value to clients. 

The firm’s commitment to operational excellence has been instrumental in their ability to scale effectively, ensuring they can handle increased client demands without compromising service quality.

Moreover, the firm’s remote work model has not only facilitated hiring from a broader geographic area but has also allowed for flexibility in operations. 

This adaptability is essential in today’s fast-paced business environment, where firms must be agile to respond to changing client needs and market conditions.

Scaling an Accounting Firm: Insights from Greg O’Brien of Anomaly CPA

In a recent episode of the “Growing Your Firm” podcast, Greg O’Brien, CEO of Anomaly CPA, shared valuable insights into the growth and scaling of his accounting firm. Here are some key takeaways from the discussion:

1. Embracing a Subscription-Based Model

Greg emphasized the importance of a subscription-based pricing model, which he adopted early on. This approach allows clients to pay a monthly fee for ongoing services rather than a one-off payment for tax preparation. 

By doing so, Anomaly CPA has been able to provide consistent value to clients throughout the year, which is particularly beneficial for tax advisory services.

Pricing Structure:

• Anomaly CPA offers two main packages: Core and Concierge. The Core package serves as the base level, while the Concierge package provides additional services. Clients typically pay an onboarding fee ranging from $10,000 for tax planning, followed by a monthly subscription fee that can start at around $1,500 for comprehensive services.

2. Strategic Growth and Team Structure

Since the last interview three years ago, Anomaly CPA has grown from a team of about 10 to approximately 30 members. The firm operates fully remotely, with team members spread across 15 different states, as well as in the Philippines and India.

Departmental Structure:

• Greg transitioned from a pod model to a departmental structure, creating distinct teams for accounting and tax services. Each department has project managers who own the client relationship, ensuring that clients receive personalized attention and advocacy.

3. Marketing and Lead Generation

Greg shared how Anomaly CPA has successfully scaled its lead generation efforts through a combination of digital marketing strategies:

Digital Marketing Focus: 

• After rebranding, the firm invested heavily in digital marketing, including social media platforms like YouTube, Instagram, and Facebook. They produce weekly videos and daily content to engage potential clients and build brand awareness.

Google Ads: 

• The firm also utilizes Google Ads, spending around $2,000 to $2,500 a month on ad spend. They track metrics closely to ensure a positive return on investment.

Strategic Partnerships: 

• Anomaly CPA has formed partnerships with venture capitalists and other industry experts to tap into their networks and gain access to potential clients.

4. Client Acquisition and Sales Process

Greg highlighted the importance of qualifying leads effectively. Anomaly CPA averages about 23 qualified leads per week, with a conversion rate of around 30%. This means they close approximately six new clients each week.

Sales Philosophy: 

• The firm focuses on providing value and ensuring that clients are placed in the right service package. By offering only one recommended package during the sales process, they avoid overwhelming prospects with options and reduce the risk of clients feeling stretched financially.

5. The Importance of Branding

The decision to change the firm’s name from Greg O’Brien CPA to Anomaly CPA was driven by the desire to reduce owner dependency and create a brand that could scale independently. 

Greg noted that having his name on the door created stress and bottlenecks in the business.

Branding Process: 

• They worked with a branding agency to develop a name that reflects their unique approach to accounting and sets them apart from traditional firms. The name “Anomaly” signifies their commitment to being different and innovative in the industry.

Focus on Value Delivery

Anomaly CPA’s lead generation efforts are intricately tied to its commitment to delivering value, particularly through its tax advisory services. The firm has positioned itself as a provider of comprehensive tax advisory and compliance services, which are distinct from traditional tax preparation. This differentiation is crucial in attracting clients who are looking for more than just basic tax services.

Tax Advisory Service:

• The firm emphasizes the importance of tax advisory in its offerings, which includes proactive planning and compliance. By showcasing the tangible benefits of their advisory services—such as potential tax savings and strategic financial planning—Anomaly CPA effectively communicates its value proposition to prospective clients.
• The pricing model reflects this value, with a minimum monthly fee that ensures clients receive ongoing support and advice throughout the year, rather than just during tax season.

Results

The combination of these digital marketing strategies and a strong focus on delivering value has resulted in a steady influx of qualified leads. 

Anomaly CPA averages about 23.3 qualified leads per week, with a conversion rate of approximately 30%. This means that the firm is not only attracting a significant number of potential clients but is also successfully converting a healthy percentage of them into paying customers.

Timestamps

[00:01:47] Team growth and structure.

[00:04:53] Pricing strategy for subscription services.

[00:07:45] CFO vs. Accounting Services.

[00:10:00] Fractional CFO service perspective.

[00:12:49] Client-facing project management structure.

[00:17:10] Venture-backed startups and advisory.

[00:19:08] Name change and business scaling.

[00:22:14] One price recommendation strategy.

[00:26:28] Digital marketing transformation.

[00:27:13] Strategic partnerships for client acquisition.

[00:30:42] Marketing investment and lead flow.

[00:33:29] Pricing and client closing rates.