Steps to small firm success in 2026

Steps to small firm success in 2026

This is the time when firms look ahead to both busy season and the rest of the year. It’s the perfect point to engage in strategic planning that outlines key goals, success metrics, and clear responsibilities to ensure the firm remains on track. There are a few steps firms of any size can take to maximize their chances of reaching their objectives in busy season and throughout the coming year.

Consider your top challenges

The coming year presents both persistent challenges and new opportunities. This is a good time to list the firm’s chief concerns and brainstorm practical strategies to address them. In the most recent PCPS CPA Firm Top Issues Survey, almost all firm sizes listed finding qualified staffing as a leading concern. This comes at a time when the profession is working to strengthen and maintain a robust and talented stream of people into the CPA pipeline. Retaining and engaging existing talent remain top priorities for firm leaders.

Other key considerations for firms include:

• Hybrid work expectations. Firms continue to determine what variations of remote, in-office, and hybrid work are best for them and their people.

• The integration of AI. New technologies will continue to be top of mind as small firms navigate automation, efficiency, and budgeting for new tools.

• Shifting client expectations. During the pandemic, many clients turned to CPAs for help beyond compliance work. Today, they continue to expect to develop deeper advisory relationships with their firms. This is particularly true amid uncertainties about new tax laws and other personal financial and business considerations.

• Succession and leadership planning. These issues continue to dominate conversations. In the top issues survey, most firms included developing new leaders as a top five challenge.

All of these issues come at a time of continued economic and regulatory uncertainty, including inflation pressures, tariffs, and political turmoil at the federal level, as well as new deregulation issues in some states.

Determine the best steps forward

To meet these challenges, CPA firms will need to:

• Set clear, measurable goals tied to both financial and operational priorities. Alignment with strategic priorities makes it more likely that firms will stay on track in meeting their goals and will be able to pivot as circumstances change.

• Create a talent strategy that includes flexible staffing, a focus on work-life balance, and succession readiness.

• Develop a technology roadmap that aligns with firm strategy.

• Conduct a client portfolio analysis and identify high-value vs. resource-heavy engagements.

• Clearly communicate and set accountability for carrying out the strategy.

In planning ahead, making it a team experience — not just a partner exercise — can improve both the process and the success of the plan. Leadership should drive the process, but all staff should be engaged. Involving the team can help develop future leadership and ensures buy-in.

Involve the staff

Your staff are on the front lines during busy season and year-round, so it’s important to tap into their knowledge and opinions. Ask questions such as:

• What slows you down most during busy season?

• If you could change one process in 2026, what would it be?

Using that feedback in your planning shows that you value your people and their ideas.

In addition, making the process visual is one fun way to increase engagement. Encourage your people to join in on creating and adding to a firm vision board or poster. To begin on a positive note, start the planning by recognizing the wins from 2025 — this builds momentum and appreciation for diving into strategy for the next year.

Build a better season

There are also a number of approaches that firms can take to minimize stress and maximize productivity during busy season and the year ahead:

• Streamline workflows.

• Automate routine tasks before year-end.

• Review capacity to understand staff availability and client demands.

• Make changes in systems before year-end so that team members aren’t learning new tools and processes at peak times.

• Consider a 12-month action calendar to establish a timeline and set expectations.

• Build in mechanisms to review performance and celebrate wins.

• Engage in scenario planning to identify best, likely, and worst-case outcomes and response strategies.

• Diversify revenue and services to reduce dependence on any one area.

• Undertake continuous check-ins to reduce overall stress, increase team engagement, and ensure that the strategy or plan can adapt as conditions change.

• Don’t forget to add some fun to a demanding time! Check out the 2026 PCPS Busy Season Fun Calendar for great ideas.

Planning for success

Strategic planning can’t remove uncertainty, but it can help firms remain adaptable and resilient. Without a plan, firms tend to operate reactively, which can cause burnout. Having a strategy or plan aligns team members on shared goals and enables proactive decision-making about growth, client focus, and resource allocation. It also builds firm value by creating a roadmap for consistent performance and transition readiness. With all that that in mind, I wish you happy holidays and a great busy season!

Share your suggestions or feedback for the AICPA Small Firms — Collaboration.

Stephanie Otero, CPA, is the Association’s Vice President — Small Firm Advocate. Have questions for Stephanie? Contact her directly at stephanie.otero@aicpa-cima.com. Currently, Stephanie hosts two valuable webcasts: Small Firm Updates, which provides a general overview of the current financial climate for firms; and the new Small Firm Issues series, which examines hot topics like CPA Firm Top Issues, MAP Survey information, and key recent events. CPE is available for Small Firm Issues webcasts; AICPA members receive a discount, with an additional 20% off for PCPS members.