Professional Services - Mazars - Ireland

Today’s professional practices work in an increasingly competitive environment and a shrinking market. Pressures from client expectations, demands for lower fees, increased regulatory framework and the high duty of care imposed by professional bodies can lead to conflicts between professional and commercial values. These conflicts can manifest themselves in downward pressure on margin, lockup and cash flow problems, which in turn can give rise to strain within practices. This is at a time when cost bases remain high following years of growth.

Management have sought to protect the future viability of the practice by making staff redundant and reducing other staff costs and overheads where possible. Theses measures have given rise to a number of serious H.R. issues particularly where partners or directors have been made redundant.

There are additional difficulties in seeking to reduce the fixed costs base in areas such as the rent payable to the landlord who is often associated with the ownership of the practice. These continuing high fixed costs allied, in some cases, to the need for high personal drawings are impacting on the firm’s ability to keep people and teams employed to manage client relationships and to meet the needs of its client base.

Mazars multidisciplinary team understand the task facing the owners of professional service firms from dealing with issues relating to the future direction of the firm to the ongoing day to day challenges, of generating income, reducing cost and the management of working capital. We can assist management with the following services:

• Tactical short and medium term business planning
• Long term strategy development
• Outsourcing of payroll and accounting function
• Business risk management
• Financial decision making support
• Business supports including HR, IT and taxation