4 Surefire Tips For Accountants And Bookkeepers To Up Their Referral Game

Key takeaways

• Prioritize your happiest, longest-standing clients, since they refer the best-fit prospects.

• Time each ask for right after a clear win, and keep the request short and personal.

• Tap your professional network, not just clients, to widen your referral pipeline.

• Thank every referrer with a small reward, while following AICPA and state rules on referral fees.

Why referrals matter for accountants and bookkeepers

Referrals are the most trusted way to grow an accounting or bookkeeping practice. A warm introduction from a happy client comes with built-in trust. That trust makes new clients easier to win and keep. In fact, 89% of CPA firms say referrals are their top source of new business. That’s why a steady stream of referrals should be a core part of how you grow.

Decide which clients to ask for referrals

The best clients to ask are your happiest, longest-standing ones. Start there, then expand. Casting the widest net possible has its appeal. That means asking all your clients for referrals. Still, it’s not necessarily the best path of action.

First, you don’t just want any new clients. You want quality clients. Second, you want to focus your efforts on approaching existing clients who have the most potential to deliver.

Pause for a moment and ask yourself which of your clients are:

• Most satisfied with your services. It almost goes without saying that clients who are appreciative of your work will be most cooperative.

• With you long enough to know and trust you, and for you to know them. Clients will be more likely to recommend you after they’ve gotten to know you and you’ve established a stable relationship.

• Gratifying to work with. Clients will most likely refer you to friends and colleagues from the same industries. Prioritize the ones you enjoy working with over clients and industries you’d rather stay away from.

How and when to ask for referrals

Ask for a referral right after you deliver a clear win, using a short, personal message. You have a carefully picked pool of clients, and you’re all but ready to start reaching out. Before you do that, you should decide on the best way to approach them:

• In-person conversation vs. email. A conversation is obviously preferable. Still, some accountants feel uncomfortable asking for referrals and prefer to send out emails. If you do opt for emails, make them personal so your clients don’t feel like they’re part of a general mailing list. Mention them by name. Add some specifics about your work together, their business, and why you’re approaching them.

• Prepare a script. Asking for feedback is a great way to start off a conversation and to test the waters. It’s an effective segue into asking for a referral. As mentioned before, it’s best to say a few words about your work together. You can mention how you’re enjoying working with them, or bring up a challenge you’ve helped them overcome.

• Timing is everything. Time your request for when it’ll have the best chances. Aim for right after you’ve finished a job to their satisfaction. Choose a moment when you know they’re not preoccupied with work or troubled with business matters.

• Make it easier for your clients. Don’t let your clients do the marketing for you. Have an email with a link to your website ready to be sent to them for forwarding. Make sure it includes all the relevant information for prospective clients in a clear and marketable presentation. Make it as easy as possible for them to refer you to other clients.

• Improve as you progress. Whether you’re approaching your clients in written form or in person, trial and error is part of the process. Learn as you go, examine what worked and what didn’t, and see what could be improved. Then tweak your approach and message for the next referral request.

Tap into colleagues and your professional network

While clients are an excellent source for referrals, they are in no way the only source. Your professional network is also a great way to get new clients. Use your connections and ties with other accounting professionals. Let them know they can refer clients they can’t take on for some reason, and that you’ll return the favor.

Offer a small perk or reward as a thank-you

Whether it’s a colleague or a client, landing a new account through their successful referral is worth celebrating. Showing your appreciation is never a bad idea. A gift card, a box of chocolates, or a flower arrangement will do the work. It also gives them an added incentive to refer more prospects.

Just be sure you conform to the relevant regulations and ethics rules on commissions and referral fees, as there are limitations on these.

Turn referrals into steady growth with Melio

Once referrals start coming in, make it easy for new clients to work with you. Melio lets accountants and bookkeepers manage bill pay and get paid for clients in one place. That way, you can spend less time on admin and more time building the relationships that drive referrals. Sign up for Melio to get started.

Accountant referral FAQs