Discussion:Advice welcome?

I'm a CPA who currently has been employed by a regional CPA firm for the last 5 years. Prior to this, I worked at a Big 4 firm.

I'm contemplating starting my own practice but am somewhat apprehensive about taking the plunge. I make a pretty decent salary and have good benefits at my current firm.

I know that being self-employed is completely different than being an employee of a firm. The success (or failure) of my venture rests completely on my shoulders. I have seen my firm turn away many potential clients because their minimum fee is too high ($1,200 for basic 1040). I feel like I could make a pretty decent living servicing these potential clients. I have to believe that there is enough work at fair prices out there that would enable my practice to be successful. From everything I've seen in the past few years, I really feel that I could build a $200,000 practice relatively quickly (2-3 years) with very little overhead.

My only fear is giving up my guaranteed salary and benefits in the short-term in order to build my practice to profitability.

Anyone willing to share their start-up stories and successes/ (failures) with the rest of us?

Any advice that you could provide would be greatly appreciated.

Good luck- Barry

I was fired by my first CPA firm 10 days after receiving a stellar employee review. Nothing's guaranteed anymore.

My main suggestion would be to develop an alternate income stream to help with cash flow until your billings will meet your income needs.

i thought i was doing good, but i have to look at myself in the mirror and see where i'm missing the boat.

one of my main problems is i work 3 days year round for a cpa firm and as luck would have it they are the nicest people i have ever worked for (was miserable at prior cpa firms) and i have guilt issues and dont have the heart to leave them. plus of course, the 3 day steady income during nonbusy season year round is whats really pulling at me.