CPAmerica History

CPAmerica's first three employees still work for the network more than two decades later. Pictured above from left to right are: Gloria Jones, finance manager; Doug Thompson, president; and Barbara Cottingham, executive secretary.

Preface

During the mid-1970s, associations of CPA firms began to flourish across the country. Some firms found themselves excluded because of membership limitations set by associations on size, number and location of firms.

In Greeley, Colo., the firm of Anderson & Whitney placed an ad in the Journal of Accountancy in July 1977 that read:

“Interested in forming an association of CPA firms? We wish to establish or join an association of firms with a $200,000 to $700,000 billing range for exchange of information, practice development manuals, quality control programs, etc.”

The replies were quick and numerous. They came from New Jersey to Georgia to Illinois – about 35 replies in all. The seeds were planted for a new association.

1978 – CPAmerica is officially founded

Eight firms incorporated to become Accounting Firms Associated, inc., (AFAi) the original name of CPAmerica International. The eight original members were Haynes, Moore, Hopper & Threlkeld (Haynes & Moore, LLC); R. D. Hunter & Co. (Hunter Group); Otto Hillsman & Co., Ltd. (Mueller & Co., LLP); Sullivan, Saidman & Co.; Beal & Eilers; Sayle & Macione; Daugherty & Lowe; and Preston Morris and Co.  Anderson & Whitney had joined the Western Association but dropped out to join AFAi one month after the original eight incorporated.

M. Dwain Moore of Haynes & Moore in Rome, Ga., took a leadership role. He scheduled a meeting in Atlanta, which nine firms attended.

The initial board of directors consisted of three members – Robert D. Hunter of Paramus, N.J.; Joe Macione of Greenville, Miss.; and Dwain Moore of Rome, Ga. William Owens was the group’s first executive director.

1980 – Young association merges with Florida CPA group

The association had grown to include 13 firms by 1980 when Moore met J. Vern Williams, chairman of CPA Alliance, a Florida CPA group. The two men quickly recognized that a merger would be mutually beneficial to increase membership and financially support programs.

In the summer of 1980, the two groups unanimously agreed to merge under the name Accounting Firms Associated, inc. The Florida firms consisted of Arnold and Co., Sarasota; Caplan, Morrison, Brown & Co. (Morrison, Brown, Argiz & Farra, LLP), Miami; Davis, Monk, Farnsworth & Co. (Davis, Monk & Co.), Gainesville; Dobson, Jones, Bjerning & Hoyman (Hoyman, Dobson & Co. P.A.), Melbourne; McKelvey, Ulrich & Wilson, St. Petersburg; Nowlen, Lynch & Stewart (Nowlen, Holt & Miner, P.A.), West Palm Beach; and Williams, Cox, Weidner & Cox, Tallahassee.

Williams later became chairman of the expanded Accounting Firms Associated, inc., and Bob Hunter was named vice president. Most of these original firms are still members today.

1981 – Network establishes an international affiliation

The next major advance was to establish an international affiliation. During the association’s 1981 annual meeting in St. Thomas, Alliott Peirson International (API) was approved as a member. Later that year, at API’s annual meeting in Copenhagen, Denmark, AFAi was formally approved for admission to the international organization. The affiliation with Alliott Peirson would last for 15 years.

1982 – Doug Thompson takes over as president

By 1982, Accounting Firms Associated, inc., included 17 firms and was ready to move on to the next step. It became apparent that strong leadership of the association was essential.

That strong leader came in the person of Douglas H. Thompson, Jr., a CPA from Gainesville, Fla., and former director of the Florida Board of Accountancy.

Under Thompson’s leadership, the direction of the association’s future structure, financial standing and growth became more organized and focused. Thompson used his knowledge of the CPA profession, financial expertise, marketing savvy and organizational skills, as well as a large dose of ingenuity and hard work, to turn around the financially struggling young association that had few funds and significant debt.

Thompson established a line of credit for AFAi at his bank in Gainesville and even signed a $10,000 personal note for the association. He asked association officers to do the same. The strategy was successful. A firm foundation was established for the association to grow and flourish.

Thompson then crafted an in-depth survey of members’ needs and visions, both for their individual firms and for their association. The results of his “Give Me a Piece of Your Mind” survey set the guiding principles for the future.

1983 – Membership recruitment efforts bring rapid growth

The next step was to expand membership. In a six-week period during the fall of 1983, Thompson logged 115,000 miles, visiting prospective members in 24 cities.

Applications were received from 13 firms, and seven were accepted.

The association continued to grow rapidly and prosper during the 1980s, focusing on its primary goals of member sharing, professional training, marketing and improvement of the quality of member practices.

The association was strengthened by wide-ranging marketing and special service programs to members such as niche newsletters, advertising campaigns, peer and practice reviews, CPE programs, consulting management assistance and member networking.

1987 – Sister company CPA Mutual Insurance Co. launched

The association also branched out to sponsor a new insurance company created by Thompson, CPA Mutual Insurance Company of America Risk Retention Group. Founded on July 1, 1987, CPA Mutual is the oldest nationwide CPA-owned and directed accountants liability insurance company in the country. Today, CPA Mutual insures more than 800 CPA firms.

1990 – Membership doubles during the decade, covers U.S.

By the time the new decade rolled in, AFAi had grown to 43 firms, truly reaching every corner of the United States with the admittance of Nishihama & Kishida, CPAs, Inc., of Honolulu, Hawaii, on Jan. 1, 1990.

The ’90s proved to be a time of innovation and growth for the organization as marketing, training and special programs expanded in exciting new directions.

The association regularly held numerous national conferences around the country for its members and provided broad-based training programs for members to earn CPE credit.

In the early 1990s, the association’s marketing arm grew to include nine national newsletters, multifaceted niche marketing programs and a press release program. A plan was initiated to produce a large selection of brochures and other publications to assist firms in their marketing efforts. A national marketing consultant was hired to help firms expand their sales and marketing programs.

1994 – Association moves up in ranks; CPAConnect subsidiary network launched

By 1994, the association that would become CPAmerica International was slowly gaining stature among the nation’s top CPA organizations. With $132 million in combined firm revenues, the association ranked 11th in size among CPA firms nationwide, with Arthur Andersen & Co. and the then Big 6 firms leading the list.

In late 1994, AFAi took the bold step of launching a companion network targeted to small CPA firms and sole practitioners – CPAConnect. The smaller firms were sponsored by the larger AFAi firms and often targeted as potential future merger candidates. The new network received enthusiastic response, and membership quickly grew to more than 60 firms.

1996 – Network leads in technology; firms become interconnected

Taking a leadership role in technology, the association became one of the first to interconnect its member firms online. An office park was set up on the rapidly growing Internet for the association and its individual members. The network also began development of public and members-only Web sites, and many member publications were placed online.

1998 – Alliance with Horwath International creates one of world’s largest networks

The association celebrated its 20th birthday in style – by taking the network to a whole new level.

On Jan. 1, 1998, the network joined forces with Horwath International, a strategic alliance that created one of the world’s largest networks of independent CPA and consulting firms. Combined firm revenues of the new alliance surpassed $1 billion.

The Horwath network included 90 member firms worldwide with more than 300 offices and 10,000 professionals around the world.

Spurred by the alliance with Horwath, the network began an ambitious drive to expand the membership of the association across the United States. The campaign resulted in the addition of several new firms in 1998, raising the total membership to more than 60 firms.

The 20-year-old association was now one of the three largest CPA associations in the world, and it was time to act on an idea that had been in the works for several years – a new name.

2000 – Name of network changed to CPAmerica International

After years of consideration, the board of directors voted to change the association’s name to CPAmerica International to better reflect the national and international scope of the network. The name was phased in during 1999 and became official on Jan. 1, 2000 – a new name for a new millennium.

“The name CPAmerica was chosen to give the association a more recognizable, marketable national identification,” CEO Doug Thompson said at the time. “The board and members believe we need a name that does a better job of explaining what we do.”

A name recognition and branding campaign was begun to establish the CPAmerica name on a national and regional basis. The campaign included press releases, a redesigned Web site and a full advertising and direct mail campaign for firms to inaugurate in their markets.

2001 – CPAmerica offices move into new state-of-the-art headquarters building

As one of the largest networks of independent CPA firms in the world, CPAmerica’s programs and services expanded so broadly through the years that the network’s staff grew to more than 25 employees. It was time for a new home.

Thompson built a new 16,000-square-foot headquarters building for the network that was more than twice the size of the previous offices, featuring state-of-the-art fiber optic networking and improved computer and server facilities.

Located in Alachua, Fla., about 10 miles from the previous Gainesville location, the new $2.4 million building was designed in four quadrants – one for marketing, publications and program services, one for MIS services and executive offices, one for CPAmerica’s sister company CPA Mutual Insurance Co., and a fourth that is currently leased to another company.

In its new offices, the CPAmerica network continued to grow and expand its services. An Internet online recruiting service called CPACareerNet was launched to provide firms and CPAs with a job posting service. Many CPAmerica firms were now offering financial services to clients and CPAmerica developed products and programs to help. A new E-ssential$ Bulletin e-mail marketing program was introduced that quickly gained popularity with members as a different way of marketing to clients.

The network continues to regularly broaden it base. It enters into alliances with some of the most respected companies in America, including Duff & Phelps, LLC, 1st Global, Trusted Advisors and Stonebridge Business Partners. It retains top national experts as consultants in tax, A&A, valuations and other areas. And, a growing number of preferred pricing arrangements with vendors offer members large discounts through the collective purchasing power of the network.

2002 – CPAmerica rises to challenge as CPA profession takes a hit

As the Enron/Arthur Andersen scandals unfolded in the press, the CPA profession suffered an unprecedented drop in the public’s esteem. CPAmerica president Doug Thompson arose as a top spokesman for restoring the respect and dignity of the profession. Now a member of the American Institute of CPAs (AICPA) ethics executive committee, Thompson was quick to emphasize the need for independence in the accounting profession and push for improved disclosure standards.

CPAmerica helped its firms distinguish themselves as “the best alternative” to national firms – trustworthy, independent firms with local roots that can also offer clients global knowledge and resources through their membership in CPAmerica.

2003 – CPAmerica celebrates 25 years of growth

When the network celebrated its 25 th anniversary in 2003, CPAmerica included more than 70 members across the United States and, with Horwath, nearly 400 offices around the world. Together, the firms included nearly 15,000 employees and firm revenues surpassed $1.5 billion. On a national basis, CPAmerica ranked sixth in size, behind only the Big 4 and H&R Block.

The network and its many services were growing so rapidly that “veteran” members weren’t aware of many of the innovations. That challenge was met by initiating one-hour webcasts by staff members in which firms are acquainted, or reacquainted, with CPAmerica’s broad resources and services.

The webcasts also show members how to navigate a new Sharing Library on the members-only Web site that was developed in 2003. The Sharing Library allows firms to post mutual sharing proposals, staff policies, marketing plans, budgets, seminars and numerous other documents of interest.

By the network’s 25th anniversary, CPAmerica’s publishing end had grown to include more than 15 national client newsletters, 50 brochures, advertising campaigns, seminars and numerous directories, catalogs and other member publications.

In a particularly proud moment for the network at the end of 2003, a CPAmerica member was installed as chairman of the AICPA– S. Scott Voynich, managing partner of Robinson, Grimes & Company, P.C., in Columbus, Ga.

2005 and beyond – Just imagine how much better we can be together!

CPAmerica continues to produce services, programs and products to assist its member firms improve their profitability and stay on the cutting edge of their profession.

The network retains some of the nation’s top consultants. It partners with companies that are among the nation’s top financial leaders. It hosts conferences and training programs that are among the best in the country. It publishes hundreds of professional publications exclusively for its members. It expands its online products and Web development by the day. It creates tremendous member savings through its purchasing power. It encourages sharing for the mutual good at every turn.

Not only has CPAmerica continued to grow and mature, but the CPAConnect network, growing rapidly alongside its parent association, marked its 10-year anniversary in 2004. It celebrated by surpassing the 150-member milestone.

The challenge for the future is to continue to grow, to continue to brand the CPAmerica name and to continue to provide the best service and growing opportunities available to independent CPA firms.

CPAmerica’s mission statement, “Improving Through Sharing,” says it all. By sharing collective resources, members will continue to expand and strengthen the “CPAmerica Advantage” into the 21 st Century, using CPAmerica resources to turn today’s challenges into tomorrow’s opportunities.

CPAmerica ... just imagine how much better we can be together!