Page 21 - Investment Advisor April 2021

Another key reason for an CPA-FA CPAs like it if an advisor shares client. “If it’s not good for everybody,
partnership, according to Stolz: “The 7 resources and new info they it’s not good for anybody,” Slott said.
last thing an advisor wants is for their learn that may be of interest to them. “It has to be good for the accountant,
client’s CPA to tell them that your “They’ll remember you sent it to for the advisor and most importantly
investments have caused a big tax bill. them,” Slott said. the client.”
And the last thing a CPA wants” is to say
“why didn’t you call me before you made Consider visiting CPAs’ offices Avoid CPAs who are tough to work
this decision?” 8 around tax season and provide bags 4 with. Don’t continue working with
Here are some best practices for advi- of goodies including food because it’s an accountant is if he or she “shoots
sors looking to partner with CPAs: often hard for accountants to get away down every good planning idea … As
for lunch as the tax deadline approach- an advisor, you only want to work with
THE DO’S es, Slott noted. accountants that are open to new plan-
“Have — at a minimum — a work- ning ideas,” Slott said.
1 ing knowledge of the tax rules,” During tax season, CPAs often
Levine said. 9 need info from advisors on cer- Don’t reach out to CPAs for the
tain investments in a limited amount 5 first time during tax season.
“Look for somebody [you] can con- of time. As an advisor, “the faster you “It’s just annoying” to try to make
2 nect with because you’re building can respond when they need you” the an appointment in March, Slott said.
a relationship with the CPA and it’s just better, and CPAs will remember that, But Levine added: “For a lot of tax
like building a relationship with your Slott said, noting: “Clients are always pros — especially those who cater to
client,” according to Peterson. missing something and it’s usually some high-net-worth and/or high income
investment-related item that the finan- clients who are more likely to have
Make sure to “work with a CPA that cial advisor has access to.” K-1s — the periods of time leading up
3 is a good communicator, and also to the September 15 and October 15
can discuss investment topics with a “Focus on providing the CPA extended filing deadlines can be just
good level of understanding,” Stolz said. 10 value, not on getting referrals,” as busy. Other busier times can include
Levine noted. “If you do the former, the the weeks leading up to quarterly esti-
“Start with the client’s tax returns,” latter will happen naturally.” mates and around year-end.”
4 Slott said. “Any good financial advi-
sor is probably looking at their client’s
tax return and on every tax return it has 11 Don’t tell a client their CPA is
Ask CPAs “how they would pre-
fer to work with advisors, and if 6 wrong or otherwise disparage the
the name of the accountant.” You should they haven’t/don’t ask why such part- CPA, Levine said. “Differences of opin-
contact that accountant and request a nerships haven’t materialized/worked ion … are possible, but bad-mouthing the
meeting to discuss the client and ask: out in the past,” Levine added. CPA to your client — and having it get
“What can we do better?” back to the CPA — is a quick way to get
THE DON’TS on their persona non grata list.”
Say the “magic words” when you During tax season, if a CPA calls you
5 call your client’s CPA: ‘We have a 1 and says he or she needs investment Don’t expect an “instant flood of
mutual client.’” info for a mutual client, don’t wait a 7 referrals,” Levine said.
week or more to call back. By then, the
Consider inviting a CPA to speak CPA “could have done a hundred more Don’t think that getting a CPA to
6 at a conference or seminar on a returns [and may not] even remember 8 partner with you will be an easy
topic in which they are an expert. what the question was,” Slott said. or quick process. “It takes time, but
the rewards are well worth the effort,”
“CPAs love education. They love going
oatawa/stock.adobe.com where they can get free CE credits, 2 seminar who is “really a salesman enough, and eventually you get the
Levine said. “Keep the door open long
to” continuing education seminars,
Don’t invite a CPA to speak at a
Slott said. A lot of these are conducted
in disguise,” Slott said.
chance to walk through.”
online now, so you can invite CPAs
from across the U.S., he noted, suggest-
Don’t do anything not mutually
Jeff Berman can be reached at jberman@
ing you hold such events regularly.
3 beneficial to you, the CPA and the
alm.com.
APRIL 2021 INVESTMENT ADVISOR 19