Small firms are using AI differently than you'd expect

Ready for three big AI strategies that could actually work for you? We’re taking a look at real-life use cases in small accounting firms, the best attitude needed when approaching tech decisions and how to get buy-in across your team. Also check out a monthly business development routine you can stick to and a fresh take on asking clients for Google reviews.

But first, your daily dose of smugness comes from PwC, which has joined the rest of the Big 4 in being accused of publishing multiple reports featuring AI hallucinations.

Growth driver: Business development should be a priority for firms of all sizes–here are six activities you can measure monthly 

Trust signals: Make sure your Google reviews are working for your firm with three tips on when and what to ask clients (scroll down to strategy #2)

Under the hood: Peek at the three online platforms a $3.2 million tax consultancy firm uses to snag clients

Real talk: Are you really delegating or just giving team members busywork?

Getting buy-in: Want your team to embrace AI with a good attitude? The secret to success may be in how they perceive firm leaders

Small firms with a handful of employees (or less) use AI tools differently than larger firms–and some strategies are different from what you’d expect. One use case is to create repeatable templates and workflows for things like slide decks, road map summaries, meeting recaps and client overviews. Another tactic uses AI to build and embed a customized web form that weeds out less-than-ideal prospects.

Why this matters: The real AI opportunity for small firms is to personalize solutions for your specific pain points, rather than investing in enterprise tools built for hundreds of users. (Journal of Accountancy)

AI models can’t answer questions they’re not asked, and that’s where the accountant of the future comes in. The emerging “question economy” leverages human instinct and judgment to guide clients through opportunities and red flags they wouldn’t spot themselves. And for firms with multiple staff members, it’s time to implement coaching programs that reinforce the need for curiosity. It’s also important to ensure all client-facing staff understand all of the firm’s available services to make internal recommendations.

Why this matters: Training your entire team to ask good questions and make service recommendations turns every staff member into an internal referral engine. (CPA Practice Advisor)

Number of companies that have pivoted business decisions due to AI cost overruns (CFO Dive)

More than a third of accounting leaders are concerned about AI disruption, but new research shows which firms may be better equipped to handle the inevitable changes. Accounting leaders who view AI as an advantage rather than a threat are more likely to feel prepared. That means putting time into learning about new technology and actually identifying potential solutions sets up your firm to benefit from AI, not be replaced by it. 

Why this matters: The firms best positioned for the upcoming AI era aren’t necessarily the most tech-savvy, but they are approaching change with curiosity instead of fear. (Morningstar)

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The Net Gains is written and curated by Lauren Ward and edited by Bianca Prieto.