AUDIT FIRMS: REGIONAL COMPANIES
Below the top 10 auditing companies in Germany (Big 4 plus Next10), there are many regional auditing companies. Their situation is usually characterised by the fact that the auditors work for a few large medium-sized companies. However, the competence in consulting often cannot keep up with the high demands and to guarantee legal and tax consulting on a high level is becoming more and more difficult due to the lack of new blood.
The goal of our consulting services is to establish a regionally dominant auditing company to ensure the viability of the whole. To achieve this, on the one hand the economic structures must be created, on the other hand the central functions must be established in order to better manage the resources. This is also the only way to make these companies attractive for young professionals.
In many audit firms, the challenge is first of all to lay a sufficient basis for the management of a joint law firm. The advantages of size and clout must be understood, but also the willingness to work together rather than in competition with each other must be addressed. This can be achieved with our moderation approach, which from a neutral perspective helps to discuss the essential issues, to reduce fears and to establish rules of play for working together.
We can name the following cases from the last 20 years of our law firm consulting, with many examples overlapping; at the core, it is always about culture change:
- In its region leading consulting MDP firm, which wants to further develop its business model in order to be able to grow, we supported in the redefinition of the strategy and the further development of the business model
- Supporting the equity partners in the process of renegotiating the takeover of the shares of the previously dominant senior partner, while at the same time increasing profitability in order to be able to redeem the shares in a short period of time.
- Reorganization of a medium-sized, regionally significant WPG with regard to the different profit pools hindering further growth