Too many CPAs wait until they’re in the heat of a legal mess to think, “I should probably talk to a lawyer.”
In the early days of my practice, I was one of those CPAs.
By then, it’s reactive. Risk has already matured into liability. You’re scrambling, not really strategizing the way you should.
As a CPA, it is best you are proactive and not reactive with certain things.
If you’re building a practice, or even just trying to protect the one you have, you need legal counsel before the storm, not after.
A good lawyer isn’t just someone who defends you. A good lawyer helps you think differently. They catch what you overlook. They translate potential risk into clarity. They turn your engagement letters from “general templates” into enforceable, state-compliant agreements.
- If you’re still downloading contracts off the internet, you’re exposed.
- If you’re tweaking another firm’s documents without legal review, you’re exposed.
- If you’re relying on verbal clarifications instead of tightening your terms in writing, you’re exposed.
Your contracts are not just about fee structure. They are the first legal line of defense for your license, your firm, and your livelihood.
You might understand accounting risk, but most CPAs don’t understand contract risk until they’re facing a board complaint, lawsuit, or disgruntled client demanding more than you promised.
Here’s how to move differently in a proactive manner:
- Have a licensed attorney review your engagement letters annually and on some special cases.
- Make sure your terms comply with your state’s CPA board rules, not just your personal preferences.
- Clarify scope. Define limits. Insert language for unresolved disputes. Cover what happens when expectations shift.
Don’t just rely on what “everyone else is using.” Most of those CPAs haven’t been sued yet.
That’s not a model. That’s you gambling with your practice.
📌 Apply This Now:
Schedule a legal review of your core documents this quarter. Don’t wait until someone challenges your work, misreads your scope, or refuses to pay.
Let your contracts be built to stand.
Get set for lesson 7 tomorrow. Don’t miss it.
Book your free 15 minutes clarity session today: 757-977-8911 or email [email protected]
If we haven’t met,
I am Dr. Lilly Mbinglo, CPA,
❤️Daddy YONGKA’s Nyomshiliv,
💃🏾Abakwa’s FINEST and SMARTEST CPA,
💸Tax Strategist and Tax Alchemist Extraordinaire,
👩🏽💼Regent University MBA Professor,
I serve through The Ark NPS, a full-service Accounting Firm, where we provide Accounting services, Bookkeeping, Payroll, Tax Preparation, Planning, Resolution and Consulting, as well as Startup services to Individuals, Businesses and Nonprofits.
Let’s Connect!
#cpa #cpafirm #taxaccountant
