Regional accounting in the midst of a boom, says major bank
Accounting firms based in regional areas have blossomed off the back of increased migration and agricultural production with two-thirds optimistic about the future.
Regional accounting firms are reporting stronger revenue growth following years of record migration and an agricultural boom, a recent NAB report has found.
The NAB 2024 Accounting and Financial Planning Report has shown that over one third rated revenue growth in the past year as good, and the other two thirds as satisfactory.
“For the year ahead, two thirds anticipate good growth and one third satisfactory growth,” the report said.
NAB state business banking executive, regional and agribusiness Naomi Stuart said that firms that have scale, skill and reputation in our regional centres are doing really well, and the outlook is very positive.
Recruitment still the most significant challenge for regional firms
The biggest challenge for regional accounting firms is finding the right staff for their firm.
This was reflected by a recent skills and recruitment survey by CA ANZ which found the highest number of vacancies were in rural areas across all states.
This is despite government population data showing that in 2021-22, regional areas saw the biggest increase in population for more than a decade, driven by high levels of internal migration.
“During COVID, people flocked to regional centres, but many kept their city job and worked remotely,” said Ms Stuart.
“However, with workplaces calling staff back to the office, we’re at the point where they must decide whether they want to move back to the city or take a job locally. It will be interesting to see whether regional firms can entice them across.”
The report said that regional accounting firms are pulling out all the stops, using recruitment agencies and actively pushing staff from big international firms.
“Anecdotally, we hear a lot about amenities such as car parking being really important in getting staff back to the office,” said Farren Smith, Business Bank Executive, Regional & Agribusiness at NAB.
“This is something regional firms can facilitate more easily. Working for a regional firms can also provide better work-life balance – you can work from the office and still get the kids to football training.”
Regional firms can also offer a pathway to partnership without the 11pm finish expectations, Ms Smith said.
Upgrading systems
Rob Donoghue, NAB Professional Services Banking Manager, Canberra, said he is seeing partners at regional firms actively upgrading or acquiring computer and IT equipment.
“A lot of firms are transitioning to cloud-based storage and investing in technology that allows more efficient in-house processes,” said Mr Donoghue.
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