Cull-out sale means to sale a specific portion of your accounting practice to another practitioner. Cull-out sale is an effective strategy to improve the quality of your firm. Some accountants thought that by selling some portion of our accountant practiceto another means you are not involved in any profit related to that portion but in case of cull-out sale it’s wrong. Cull-out sale is very much effective to increase the profit of your firm because in this case you are selling a less benefit generating portion of your practice to another practitioner who is more efficient in that field. In this way the revenue generating per staff member is increases.
It’s also helpful to provide you the high quality clients. If you got high quality clients than it can increase the revenue of your firm in that portion which is not so much beneficial to you previously. But in this case you should keep in mind that the practitioner to whom you are selling your accountant practice portion should be expert in that field and he should be able to give sufficient time to your practices. If practitioner to whom you are selling your firm is not efficient in their work than this process may become very harmful to you. So, to get success in cull-out sale you should search a good practitioner.Tags: accounting, Revenue Generating