Key issues affecting SMPs identified

Staying up to date with new standards and regulations and attracting and retaining clients continue to top the list of challenges faced by small- and medium-sized accountancy practices (SMPs). These were the key findings of the fourth quarter SMP Quick Poll 2011 (PDF) which has been recently released by IFAC’s SMP committee. The survey asked SMPs to respond to a range of questions about the key issues which confront them and the new report includes both the fourth quarter poll results and trend data from the questions asked in each of the four polls conducted throughout 2011.

The 2400 responses received also indicated that pessimism has increased since the last poll was conducted in August, due in part to the high European response rate in the fourth quarter and deepening debt crisis across that region. Only 29 per cent reported that business was better in 2011 than 2010, but respondents are slightly more optimistic about the year to come with one-third expecting an improvement in business performance in 2012 over 2011. The poll also found that the main driver of growth is business from new clients, with the fastest growing practice area in 2011 being accounting and compilation, followed by advisory/consulting services.

Article last updated 20 February 2013