Discussion:Ethics question
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Discussion Forum Index --> Tax Questions --> Ethics question
| 10 February 2008 | |
| I have just left my present firm on something less than cordial terms. I have several clients that I recruted. Is it OK to write them a letter or make a phone call and tell them that I am no longer with that firm and that I would appreciate the opportunity to have them as clients now that I have gone out on my own. | |
| 10 February 2008 | |
| If they are personal friends with whom you have social contacts outside of work, then YES.
Otherwise, the most ethical thing to do is to publish your picture in an ad that says "I'm here" and let them find you on their own. They generally belong to the prior firm. | |
| 10 February 2008 | |
| there are the two ends, now somewhere in between is most likely | |
PostingFromWork (talk|edits) said: | 10 February 2008 |
| I'd like to point out that non-competes and non-solicitations are different, subtle but different.
For example, here in CA, non-competes are unenforceable by statute. However non-solicitation agreements could be enforced, since customer lists would be considered a trade secret.
I feel differently about clients that you brought to the firm, unless you sold your book of business. | |
| 11 February 2008 | |
| There are some of both, friends and those aquired while working for the firm. I can see that freiends and family are diffierent than others. Thanks all this gives me something to work from. | |
Ourtuition (talk|edits) said: | 11 February 2008 |
| Get clients on your own
your prior employer did why can't you in my mind it is like stealing | |
Donniecastleman (talk|edits) said: | 11 February 2008 |
| I don't think it's that big a deal in either way, I wouldn't try and take clients from the former firm because it's just not something I do. I have been on the other end of this equation and had someone lowball my fees and do or say anything to steal my client, saying (oh he's so out of the loop that he won't understand Tennessee taxation being in Nevada now.) But, if you do have contact with someone outside of tax work go ahead and tell them that if they ever felt like joining up with you that you'd welcome them, but I wouldn't go and send out a letter and actively recruit people from the former firm. If you're a good preparer and have a hard work ethic in doing returns as well as getting your name out there it won't really matter one way or the other and most of your friends that you do returns for will eventually gravitate to you, as long as you don't do any mudslinging in the process, good luck! | |
| 11 February 2008 | |
| Nice that you have the addresses. How'd you get those? For those that own preparation firms, get that No-compete, and an agreement that employee will not take employer property, employer confidential information. I'm NOT saying OP here did this. | |
| 11 February 2008 | |
| I totally agree with Ourtuition. When I started my practice 4 1/2 years ago, I didn't have one client. I would never have considered soliciting from my former employer (and now have a very good, ongoing relationship with that firm). The closest I came was sending an email to one client and simply said Hi, and I still feel guilty about that. Then, you have the other side, those who don't see anything wrong with 'stealing' clients from their former employer. I know of two individuals who did just that and sent out letters to a significant number of clients and had a wonderful first tax season. I hope they can live with themselves. I couldn't. Build it on your own and be proud of it. | |
| 11 February 2008 | |
| Go by the golden rule. If you wouldn't want it done to you, don't do it to another.
Short story. When I switched firms one time very early in my career, I knew of a large client of the firm I left that was in transition. Fees were large, over $100,000. It was a big union, so union audit, health and welfare, etc etc. The new firm I worked for also did unions. Was out on a job with one of the partners and we were at dinner and talking about my old firm and the partner was interested to know if there were any clients that might transition. I mentioned the one that I knew was in a leadership transition stage and once the new leadership came in, my od accounting firm had a chance to be tossed out the door <they weren't btw>. anyway, I had no non-compete or anything. What I told the partner was that that is not something I would do. He pressed me and so I asked him that if I left his firm would he want me to poach his clients or would he prefer I take the high road. What you would do to another, you would then do to another. I took the high road. Now, when I did leave this firm eventually <went into private>, clients actually sought me out and asked me if I would continue doing their audit. I did take that client. But that was at their request. | |
| 12 February 2008 | |
| I built my own practice. No client of mine was ever solicited by me. They left their previous accountant on their own.
I've had clients stolen from me (and I truly mean it) and I don't care for it, but there isn't much I can do about it. If a client chooses to leave for other reasons, that's different. Tom | |
Bushmaster (talk|edits) said: | 12 February 2008 |
| I only solicit the clients I BROUGHT to my old firm plus 2 others I have a social relationship with. | |
| 15 February 2008 | |
| To those who may have the wrong idea. I did not take a client list or addresses from my former employer. The clients I am talking about were the ones recruited by me. Some were personal freinds and some became friends after I recruited them. I was paid a wage and my client recruitment was on my own time. | |
| February 15, 2008 | |
| I would say generally it's okay to tell friends about what you're doing these days, but I would not sell them on switching. | |
RidenourEA (talk|edits) said: | 15 February 2008 |
| RayR,
I had the same situation 3 years ago. I had recruited clients and serviced alot of them for 15 years. At that time, I thought it OK to send letters to a few people that said I was here but now I am somewhere else. I did this out of bitterness and a "Ill show you" attitude. What I have found is this - After the bitterness is gone, you will regret sending the letters. Many clients found me on their own without a letter and I feel no remorse about these. My former employers saw a letter(which at the time was my intention). I burnt a bridge that can never be rebuilt. If I had it to do over again, I would never send the letters. By "word of mouth" advertising and getting your name out there, clients find you anyway and you feel no guilt later. | |
| 15 February 2008 | |
| If you recruited them for the firm, I see no harm in letting them know of your new whereabouts. | |
| February 15, 2008 | |
| I would check with your state board rules. Per Sec. 901.158(3) of the Texas Public Accountancy Act: CPA's in Texas may not ..."engage in an uninvited solicitation, by use of a means other than mass media advertisement, to perform professional accounting services." | |


