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LEARNING RESOURCE
PRACTICE MANAGEMENT

AICPA & CIMA Construction & Real Estate
Conference she said. And that doesn’t include the cost of
developing new systems that ensure accountability
This conference is dedicated to bridging the gap
between two powerful industries so you can and annual in-person gatherings to strengthen
better serve your firm and clients as a leader and company culture.
adviser. Still, she said, the benefits of the switch have
outweighed the costs, even though they can’t be
CONFERENCE
measured in quite the same way.
Be open-minded
Organizations pondering a move should not
overlook smaller cities.
For more information or to make a purchase, go to aicpa.org/cpe-learning
or call the Institute at 888-777-7077. Emily Heintz is founder and managing director
of EntryPoint, a Michigan research institution
that focuses on small business and startup envi-
ronments. She pointed out that many Midwestern
cities, for example, have a range of advantages:
They often offer proximity to nature, shorter
commutes, and lower housing and child care costs.
State business and licensing laws In addition, she said, “they might also have access
to consider to high-net-worth individuals looking to make
investments and great tight-knit communities”
where it’s easy to make connections. You can often
By James Cox
take advantage of the underutilized capital that
As your firm rethinks its physical footprint, it should also consider state exists in a smaller city.
business and licensing laws when transitioning into a remote status.
Even with the ease by which CPAs and CPA firms can practice across Know that a move doesn’t have to be all or
borders, states may have unique licensing requirements related to a firm’s nothing
principal place of business, licensees’ residency, and holding out as a CPA But what about the cachet of being a New
in the state. CPAs and CPA firms are encouraged to always contact the York- or San Francisco-based company? That’s a
board of accountancy in the states in which they are operating. rational concern, Buelow said. “In some indus-
tries, if you’re not in New York, you won’t be
— James Cox is associate director–State Regulation & Legislation at the taken seriously.”
AICPA. He can be reached at James.Cox@aicpa-cima.com. Didi Caldwell, who leads site selection
consultancy Global Location Strategies in
South Carolina, agreed. “There still is that bias
towards these marquee cities,” she said. “And
there is some value in having your peers around
you.” However, that doesn’t mean the entire
organization has to remain in a major city. “Do
money won’t necessarily enhance the organiza- you need everyone there or just a presence?”
tion’s strengths. Caldwell asked.
An organization could move its headquarters
Realize there may be costs as well as savings elsewhere but retain a branch office in the
In some cases, a move — or a choice to go remote coastal city. Or it could take a smaller step and
— can lead to unexpected costs. open a small office in another city, taking time
After Kruze’s firm moved, for instance, it had to feel out the environment before growing
to spend more on IT and security. With everyone there.
using different computers, in dozens of different And the importance of clustering on the
states, Kruze had to outsource the business’s coasts isn’t fixed: It could change dramatically
security and human resources operations in order over time, depending how employment trends
to get the expertise needed. go once the pandemic is over. It’s hard to
“IT and HR costs have gone up almost net-net predict, Caldwell said. “The dust hasn’t settled
with what we’d been spending on office [space],” yet.” ■

22 | Journal of Accountancy June 2022