The Secret to Better Cashflow in Your Tax, Bookkeeping, or Accounting Practice

Aug 21, 2023 | Cashflow

Co-Authored by Jamie Gruol, MBA, and Jessica Smith, EA                                     🕓7 Min

Running a successful tax, accounting, or bookkeeping practice is more than just crunching the numbers. It requires a deeper understanding of the intricate financial dynamics that drive a business forward. Take cash flow, for example. Cash flow is not just a measure of the financial health of your business; it’s also a critical indicator of your operational effectiveness. Unfortunately, many tax pros struggle to maintain a healthy cash flow.

Let’s put an end to that, shall we?

In this blog post, we’re going to show you two powerful TaxDome features to ensure that you get paid for your hard work…BEFORE you ever touch a tax return! Say goodbye to chasing payments and say hello to a more relaxed and profitable tax, accounting, or bookkeeping business!

The Cash Flow Conundrum

The “old” way of rendering services before receiving payment has changed…today, it’s all about finding new and innovative ways to keep your business running smoothly.  Give yourself permission to become the catalyst of change in your practice. Take some time to re-evaluate your standard operating procedures and implement automation tools like TaxDome so that you can enjoy a more consistent cash flow without feeling stressed or overwhelmed.

The TaxDome Advantage: Boosting Cash Flow

With tools like TaxDome, you can set up systems that run like clockwork. Clients sign documents and pay online, and you don’t have to have those uncomfortable “Hey, did you get my check?” conversations.

These two TaxDome features can help you boost the cash flow in your tax practice without additional work from you or your team.

#1: Get Paid Instantly with Deposit Invoices

Think about the last time that you went to your doctor or hairstylist –they typically ask for payment at the time of service. This has become a standard operating procedure for many industries and there’s no reason why your tax practice can’t do the same, especially with the help of TaxDome.

When you initiate the tax preparation process in TaxDome, its sophisticated automation will send your clients messages like this:

When they log in to their TaxDome client portal, they’re reminded to pay their deposit invoice before uploading documents and filling out their organizer:

Mindset Tip: Confidence in Upfront Payment

Don’t be afraid to ask for an upfront payment. Remember, you’re a seasoned professional and you deserve to be paid for your expertise. Clients who understand the value you bring to the table will happily embrace this approach.

#2: Lock Invoices to Streamline Payments

Sick of following up with clients for payment? By locking documents like the 8879 to an unpaid invoice, your clients are required to make their payment before they can access their important tax documents. TaxDome seamlessly streamlines this process, saving you invaluable time and energy.

But what about clients who prefer traditional payment methods, like checks? Don’t worry—TaxDome’s flexibility allows you to accommodate exceptions like this one while maintaining a standardized payment approach for the majority of your clients.

Here’s a step-by-step breakdown of this process within TaxDome:

First, upload your own 8879 into TaxDome using the desktop app:


Next, select the option to lock the document to an unpaid invoice:


Once completed, clients receive automated emails prompting them to sign documents and make payments. Even if they attempt to bypass the payment step, TaxDome ensures they’re directed to the “Pay Invoice” screen.

To efficiency and beyond!

Implementing these TaxDome strategies means you won’t have to spend your summers chasing down accounts receivable. By embracing deposit invoices and locked invoices, you can supercharge your cash flow while saying goodbye to payment-related headaches.

You don’t need to be a TaxDome expert to enjoy the numerous benefits of automation. Our “Done With You” program guides you through the entire process of setting up and optimizing your TaxDome tool, leaving you more time to focus on what matters most…like growing your business and serving your clients!

Don’t wait until the busy season is knocking on your door! Join now and experience the newfound peace of mind and operational efficiency that will greet you next tax season.

Keep hustling, keep innovating, and keep the cash flowing!

Click here to learn more about Workflows for Tax Pros and discover how we can help you harness the full power of TaxDome.

About the authors

Jamie and Jessica are the co-founders of Workflows for Tax Pros, a 12-month “Done-With-You” program dedicated to helping Tax Professionals, Accountants, and Bookkeepers streamline their practices with TaxDome. They are passionate about empowering burnt-out and frustrated Tax Pros and showing them how to leverage TaxDome to enhance their client experience and increase profitability. With over 20 years of combined business experience in software management, workflow optimization, and practice management, they thoughtfully guide busy tax pros toward automation success.

Connect with J&J here to stay updated on the latest in TaxDome automation strategies!  Learn more about Workflows for Tax Pros and streamline your business today!

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Hey Tax Pro!

Hi! We’re Jamie and Jessica, the dynamic duo behind Workflows for Tax Pros.

With a combined 20 years in business, we’ve learned a thing or two about building successful, streamlined businesses that enable professionals like you to build lives they love.

Our goal with this blog is to provide Tax Pros like yourself resources to build a profitable, peaceful tax practice that you can scale without creating more stress!

Looking for more? Join our Workflows for Tax Pros Facebook group where you’ll be part of a community of 6000+ Tax Pros. Join us at the link below!

Have more time to do the work that matters most.

Your time shouldn't be wasted tracking down documents or struggling to keep everything organized.

You should be focusing on what you do best: designing tax-saving strategies, helping your clients save money, and building genuine 1:1 relationships with them.