I recently had the pleasure of hosting Connor Malatesta, CPA, on Episode #31, #32, and #33 of the CPA Career Paths podcast. Connor is the managing partner at Markoff and Malatesta CPAs in Michigan, a full-service public accounting firm that specializes in everything except audits. In our conversation, Connor shared his incredible journey—from his early days as an audit staff member to establishing his own accounting firm and eventually merging to create a successful practice with his business partner. Here are the key takeaways from our discussion.
1. Embracing the CPA Path Early
Connor’s journey began at Wake Forest University, where he initially considered a career in computer science. A mandatory accounting course led him to discover his knack for financial accounting, which he found logical and rewarding. “Financial accounting has a certain logic to it,” he explained, “you can reason your way through it when you understand the fundamentals.” This realization inspired him to double major in accounting and computer science.
His advice for aspiring CPAs? Commit to the process early. As Connor noted, “Get the CPA license as soon as possible because it opens doors and commands respect in the profession.”
2. The Value of Diverse Experiences
Before starting his firm, Connor gained valuable experience in audit at a regional firm. This role exposed him to a variety of clients, from small insurance companies to billion-dollar contractors, providing a well-rounded understanding of business operations. “I wanted to avoid spending my early years auditing cash for a single large client,” Connor said. “Working with diverse businesses helped me develop a broader skill set.”
For young professionals, Connor’s story underscores the importance of seeking roles that offer exposure to multiple industries and challenges. These experiences will serve as the foundation for your future career.
3. Starting a CPA Practice: Challenges and Rewards
Connor’s leap from employee to entrepreneur was both daunting and rewarding. He started freelancing in financial accounting and client advisory services after realizing that he wanted more autonomy and diversity in his work.
Top Challenges:
- Irregular Income: Transitioning to self-employment meant losing the security of a steady paycheck. “You’re playing the most competitive game on the planet—capitalism,” Connor said.
- Self-Management: He emphasized that all successes and failures fall on you as a business owner. “Every weakness in your personality becomes glaringly obvious,” he admitted.
Key Rewards:
- Creative Freedom: “You get to build something from the ground up,” Connor shared. “It’s rewarding to look at your practice and say, ‘I built this.’”
- Client Impact: Helping clients navigate their challenges and seeing their gratitude is one of the most fulfilling aspects of the work.
4. Lessons Learned from Merging Practices
Two years into running his practice, Connor merged with his current business partner, who brought tax expertise to their firm. “I’m not a tax guy,” Connor joked, “so partnering with someone who excels in that area allowed us to offer comprehensive services.”
The merger taught Connor critical lessons:
- Clear Communication: Ensure alignment on goals and responsibilities.
- Complementary Strengths: “We each stay out of each other’s lanes,” he said, emphasizing the importance of mutual trust and respect.
- Unified Branding: Operating as one cohesive firm enhanced their credibility and marketability.
5. Actionable Tips for Aspiring CPAs and Entrepreneurs
Connor’s journey is full of valuable insights for those looking to start their own CPA practice or build a successful career:
- Develop Strong Foundations: Focus on learning the fundamentals of accounting, whether through formal education or on-the-job training.
- Sell Yourself Effectively: “Don’t focus on how long you’ve been doing something; emphasize your experiences and results,” Connor advised.
- Prioritize Client Relationships: Building trust with clients is crucial for long-term success.
- Embrace Technology: Use tools like cloud-based accounting software to streamline operations and enhance cybersecurity
- Get the CPA License: With a growing shortage of CPAs, Connor emphasized the demand for licensed professionals. “It’s not just a credential; it’s a gateway to greater opportunities.”
6. The Ever-Evolving Role of CPAs
Connor’s experiences highlight how the CPA profession is evolving. From advisory services to technology integration, CPAs are increasingly taking on strategic roles in their clients’ businesses. He stressed the importance of staying adaptable and continuously learning. “You’ve got to be prepared to handle everything,” he said, “and take responsibility for your growth.”
Conclusion
Connor’s story is a testament to the incredible opportunities available in the accounting profession. Whether you’re just starting your CPA journey or considering entrepreneurship, there’s never been a better time to embrace this rewarding career path.
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