TaxCoach Briefs:    April 2, 2009

Volume 4, Number 16

• Marketing Minute: Bernie Madoff (Part Deux)
• Marketing Minute: Marketing Ideas Inspired by Rick Wagoner
• Member Event: 2009 Roundtables: Focus on Fees
• Member Q & A: Engagement Letter

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MARKETING MINUTE (EAL)
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BERNIE MADOFF, PART DEUX

Last week, we discussed how former NASDAQ chairman Bernie Madoff whored out his reputation with mainly Jewish investors and philanthropists to con them out of billions in an ongoing "affinity fraud." (Come on folks, the guy's name is pronounced "made off." How could you not see that coming?--Keith.)

We outlined how con men like Madoff use their position within their own ethnic, religious, and professional "clans" to build credibility and trust -- then suggested that you use your position within your own clans to build your (legitimate!) practices.

Madoff's fraud has also helped create another opportunity worth looking at now. He's become the poster child of today's financial collapse. And that collapse, in turn, has scared lots of us out of our traditional investments. (Me, I'm still waiting for Fidelity to open a new "Select Canned Goods and Shotguns" fund.)

We've suggested before that the lack of places to put your own money gives you the chance to invest in yourself. (See the January 18, 2008 Briefs for more.) Why not carry that concept one step further and give your clients the same opportunity to invest in themselves?

You probably have clients with extra cash they want to invest. But they have no idea where to invest it. You can give them a way to invest in themselves in the form of lower tax bills.

Let's see how that offer might play with a nervous prospect or client:

You: "Did you hear what Letterman said a couple of weeks ago about the NCAA tournament? They start with 65 teams, immediately drop to 64, then down to 32, 16, 4, 2, and finally 1. All in the span of a couple of weeks. It's just like GM stock!"

Client: "No kidding! I bought my son a couple of Hot Wheels cars last week, and I realized they cost more than a share of GM stock!"

You: "So where are you putting your money these days?"

Client: "Well, I'm thinking about helping a deposed Nigerian dictator smuggle his money out of Switzerland. But other than that, it's just sitting in the bank."

You: "Can I make a suggestion?"

Client: "Sure, if you promise I won't have to feed it, water it, or watch it tank on CNBC!"

You: "Actually, I can promise all that, along with a government guarantee!"

"Right now, a lot of my clients are sitting on excess cash. They just don't have a place to invest it! So I'm suggesting they invest in themselves, in the form of tax and financial planning. I've shown one client just like you how to restructure his practice to save employment tax, and another one how to write off his wife's LASIK surgery as a business expense. My fee is a small investment compared to what you'll save, and it's all guaranteed by the U.S. Tax Code."

Client: "Wow! Can I write you a check right now?"

Okay, it might not go exactly like that. But you get the picture.

Now is the time to position your planning service as an alternative "investment" your clients can make in themselves. Especially now that "the season" is drawing to a close. Don't thank me, thank Bernie Madoff!

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MARKETING MINUTE (EAL)
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MARKETING IDEAS INSPIRED BY RICK WAGONER

Monday morning I had a few minutes to kill before heading into the office. I plopped myself down in front of the TV, and started flipping channels (because that's what real men do). As I flipped, I caught the tail end of a discussion on the auto industry crisis. I had to laugh at President Obama firing GM chair Rick Wagoner. Obama isn't even Wagoner's boss -- yet he still gets to fire the guy? Now that's power!

What's ahead for Wagoner? What are his prospects in this job market? Sure, he's got a great resume. But do you really see him polishing his cover letter? Networking on LinkedIn, Facebook, and Twitter? "Meeting and greeting" at Detroit-area job fairs? (Nope, neither do we.)

Wagoner won't be getting another "job." He'll lick his wounds for awhile and maybe write a book to try and save his reputation. (He really has done a lot to be proud of -- and I can't wait to buy one of the first Chevy Volt electric cars that he's championed.) But then he'll set up his own shop, as a consultant or venture capitalist of some sort.

Wagoner is a good example of a new kind of client we'll see more and more often -- the "forced entrepreneur." We've seen millions of Americans lose their jobs in just the last few months. Most of those jobs aren't coming back. Lots of those getting laid off won't find employment at all. They'll be forced to start or buy their own businesses. And they'll need your help doing it.

Many of these new entrepreneurs will be mid-career, middle-management types. Smart, savvy, and still ambitious. They'll have buyouts and severance packages to finance franchises, startups, or other acquisitions. In short, they'll be ideal new business-owner clients.

So what can you do to get them in your office?

• Create a business start-up service targeted specifically to "forced entrepreneurs"? Advertise it in local publications they read?
• Draft a press release or write articles for those same publications?
• Call the HR directors and managers handling those layoffs to offer yourself as a resource?
• Host a seminar on business startups for new entrepreneurs?

Layoffs are rarely good news for anyone. But they can spell opportunity if you know where to look. And you'll be a hero if you help those newly jobless turn lemons into lemonade.

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MEMBER EVENT (EAL)
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2009 ROUNDTABLE: FOCUS ON FEES

Have you ever struggled to price your services?

Have you ever left a client meeting suspecting you've left money "on the table"?

Are you looking for a way out of the "tax season" grind?

Would it be worth 90 minutes of your time to sit with a group of your peers discussing topics like these:

• Value pricing overview and theory
• Converting annual tax-prep fees into monthly retainer fees
• How to present fees for maximum acceptance and minimum resistance
• Success stories from fellow TaxCoach members
• Actual examples of fee structures and client presentation materials

If you answered "yes" to any of those questions, you'll want to attend one of our six 2009 TaxCoach Roundtables.

If you answered "yes" to all of those questions, you really can't miss it.

TaxCoach Roundtables are intensive full-day sessions in hands-on, small-group settings -- hosted at private business clubs, not convention hotels -- dedicated to exploring TaxCoach’s unique combination of tax-planning and business development tools.

There are no outside speakers. No outside sales pitches. Just Keith and I, walking you step-by-step through getting the most from your TaxCoach membership.

For 2009, we’ve picked six convenient locations across the country and six dates from April through October. And this year, each venue offers two sessions:

• On Thursdays, we’ll host Basic Roundtables for new users. This is a reprise of last year’s agenda in case you missed it, you want a refresher, or you want to send an associate. (We're especially pleased to see that over 70% of last year's attendees who have already registered for this year's event are choosing to repeat the Basic presentation. They've all cited the networking and masterminding, as well as the value of the material, to justify the repeat.)

• On Fridays, we’ll host Advanced Roundtables for more experienced users. We suggest you attend the Basic session before joining the Advanced session, but it's not required. (These sessions include the fee discussion I outlined above.)

Come to one or come to both and put your tax-planning practice on steroids! Click here for complete details, including daily agendas, and a registration form. (All-Stars and Hall of Famers, see the Roundtables link on the left (blue) side of the All-Stars page to register for free.)

Space is limited, so reserve your seat now. And we mean it! (The Southern California event is just three weeks away, and space is filling fast.) Just choose which session best meets your needs:

Click here to register. (All-Stars and Hall of Famers, see the Roundtables link in the blue on the All-Stars page to register for free.) Keith and I look forward to meeting you at a Roundtable in 2009!

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MEMBER Q & A (KAV)
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Q: Hi -- I use an engagement letter for tax preparation, should I also use one for tax planning? Do you have a form letter that I could use? Thanks

A: It's not a bad idea, especially on a for-fee planning engagement. TaxCoach does have a sample engagement letter, in the Playbook under the Sample Letters heading. There's also a task checklist for a tax-planning engagement, at the top of the Forms & Templates folder, under the Implementation Guides heading. You get to both the Playbook and Forms & Templates from the left side of the Home Page, once you sign in to TaxCoach.

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We're happy to answer your questions on TaxCoach content, features, or marketing. While we give first priority to our All-Star and Hall of Fame members, we work to answer all questions. For best response, email support@taxcoachsoftware.com. If we think the answer will be useful to all of our members, we'll publish it (anonymously) here in the 'Member Q & A' section of TaxCoach Briefs.

Regards,

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