CAs r not talented....!!!!!

Dear Esteemed Members of my profession,

 

First let me complete the subject :  CAs ARE NOT TALENTED IN COLLECTING FEES !

 

I hope most of the members will agree with me.  After refering lots of study materials, acts, rules, regulations, circulars, notifications, practice notes, accounting standards, guidance notes................apart from our own expertise, we come up with a few pages of advice to our clients.  Many times I have spent whole nights in order to satisfy hard clients who require immediate services !  But when it comes to Fees, I feel ambarassed to charge for the time spent, especially when i get a meek "Does this paper costs this much ?"  "Think you are joking!!!"  Ok what's the ACTUAL Fee ?!!!"

 

I have many times settled for a far lesser fee than am reasonably due.  Just could not charge them.  I have found the same case with many of my Company Secretary Friends.  Whenever they are given a work, they simply start doing the work, not a mention about the fee.

 

 

THIS WAS WHEN I WAS IN THE INCEPTION OF MY PRACTICE.

 

Earlier I use to educate my clients about the work I do, what portion of their work requires a CA etc etc.  Before I come to a conclusion about the fee, they come !

 

Everything changed after a short chat with my Advocate Friend (He is Very senior to me - in age!)

 

Now I follow his ways to collect my fees!

 

Few of them:

 

1.  I do not discuss about the work that should be done only by a CA.

 

2.  I do not educate them.

 

3.  I do not reveal the nature of the work involved (simple or cumbersome)

 

4.  Whenever I have a discussion about an assignment with my client I say "Finally, the Fee could be somewhere around 15000 to       20000, excluding out of pocket expenses and grease amount (For a work which I have Calculated a Fee of 12500)

 

5.  I do not encourage them to pay their bills in a lump.

 

6.  I break the work into minor activities and roughly divide the fee by the number of activities which require the client's physical presence personally or by a representative.  Whenever the client is required to visit me my manager gives him appointment like "Sir, this is to remind your appointment with our auditor tomorrow at 11.30 AM, Please bring all those papers which he asked you to bring, also please do not forget to bring Rs. 4000 along with you when you come" 

7.  This type of call he gets around 3 times, by this time my fee is collected and receipt given and surely the assignment is complete.  During the last visit he pays the remaining amount, and goes happily with a discount in estimated fee (15000-20000)

8.  I do not give appointments the same day or the next even if i do not have any other engagements. (Except high value clients)

 

9.  I learnt - never give concurrent advice.  _If my client comes with an issue, I take note of every details, I inform him to come the next day or other.  My manager never forgets to remind the client that the advice is ready and he can come to office with Rs. ______ and collect the same.

10.  I discourage bargaining the fee in the following manner;  One client of mine for whom I charged Rs. 3000 for a project report in cma format, tried to bargain.  My manager informed it, I got the bill from my manager, struct out the fee and wrote Rs. 500 (five hundred only).  Without another word, I received 3000 !  (Either pay me or dont') 

 

 

I DO NOT CLAIM THAT THE ABOVE METHOD WILL WORK IN ALL CASES.  MY CLIENTELE CONSISTS OF NUMEROUS SMALL AND MEDIUM ENTERPRISES AND INDIVIDUALS.  FOR SUCH A DOMAIN, THIS WORKS WELL.

 

 

regards

A. Joseph Arputharaj

CA