Veteran
practioners have often recounted their war tales to me-of how they came to
Mumbai from mofussil places to set up their own practice. Those days, unless
you had a family history in the profession, setting up from scratch was quite
difficult. I’m not donning rose tinted glasses and saying that entry in the
profession is much simpler today. In fact, even old non Big4 firms are facing
challenges to retain their growing clients and staff aspirations. Still, the
ICAI is now doing a yeoman’s task to roll out a red carpet for its new members
in practice, and to reverse the trend of new CAs preferring practice to
service. Some examples are
·
Publications:- ICAI has published and allows
free downloading of many industry guides, audit manuals, checklists etc(http://www.icai.org/post.html?post_id=6623).
That facility allows net savvy CAs to download the manuals, read at their
leisure and purchase only the manuals they wish.
In fact, they can get entire documentation
from scratch.
·
Free Software:- This independence day(16 Aug 2011), ICAI
launched free office management software to help the firms prepare returns, ROC
work, bank projections, manage correspondence etc. While there are other commercial
solutions out there, having a free official version helps a lot
·
Subsidized software otherwise out of
reach:- Areas like
transfer pricing are not rocket science but they do require access to expensive
databases. Same holds for litigation support practices(need Excus/TIOL etc).
ICAI has arranged subsidized access to Tally ERP 9, transfer pricing software
and other initiatives.
·
CPE Programs/Training:- While many CAs send their articled
assistants to sign proxy in lieu of benefiting from it, some of these programs
by industry stalwarts are really great and informative. If people go with some
background knowledge, they can really learn a lot and also network with other
attendees. For specialized areas like IFRS, Intl Tax, IT Audit; there are
courses for Rs 15000-30000 which do seem
worth it, given the faculty profile and certification aspects of it.
·
Encourage networks:- For years, the ICAI would turn a
jaundiced eye to networks of CA firms, but now it is actively encouraging its
members to collaborate more and more, to be able to compete with the Big4.
While few have succeeded, ICAI has spared no efforts in this regard to pave
hurdles in its way.
Other
reasons not quite attributable to ICAI are
·
LLP practices permitted:- These will allow
CAs/CSs/CWAs/LLBs/consulting engineers to collaborate as individuals within a
LLP framework, and specialize in their niche to give competition to bigger
firms. While the older firms hesitate to induct other professionals, beginners
can steal the march in this front, especially in new areas like cost audit(of
which scope is now huge).
·
Increasing online governance/business:-Everything from corporate e-filing ,
tax payments, returns etc can now be done from the humble desktop. The need to
suck up to the lowly departmental officers is now lesser(no chai pani for
routine online work!) and now competition can be more on intellectual
brainpower/experience than on decades old networks and contacts within the
bureaucracy. Softwares + cheap storage
solutions allow for nearly 100% digitization, and lesser need to have huge
bulky files eating up office/godown space. Hence, if not for the image, small offices
are perfectly ok.
I’m the
first one to admit that ICAI is not perfect(far to the contrary) but we should
admire and support its good initiatives. So will all the above benefits induce me to
enter practice? Probably not, but then that would not be for want of opportunity/support
infrastructure.