By Ricky Field, Director at Northern Accountants Hull
For a long time, scale was seen as the defining advantage in accountancy. Larger firms had the brand, the resource, and the perceived credibility. However, I have seen a notable shift across the region in the last few years. Increasingly, it’s smaller and mid-sized practices that are gaining ground and in many cases, winning work that might previously have gone elsewhere.
Put simply, the market has changed, and so have client expectations.
Consistency is key
One of the biggest advantages smaller practices have is their ability to build closer, more consistent relationships with their clients.
In many cases, clients are dealing with the same people day in, day out. There’s continuity, familiarity, and a genuine understanding of the business from its history, current challenges, and long-term goals, not just the numbers. That naturally builds trust and loyalty over time.
Smaller firms are also typically able to respond faster, make decisions quicker, and adapt their services without layers of internal sign-off. There’s less red tape, fewer hierarchical barriers, and more flexibility when it comes to pricing and service delivery.
That agility also extends to technology. While larger firms often need to navigate more complex systems and internal processes before implementing change, smaller practices can move quickly by adopting new tools, refining workflows, and improving efficiency in real time.
Ultimately, it means they can evolve alongside their clients, rather than lag behind them.
Genuine client relationships are important
Speaking from experience, clients want proactive support, clear communication, and timely, relevant advice. They want to feel like their accountant understands their business and is actively helping them make better decisions beyond just compliance.
Smaller and mid-sized practices are well placed to deliver that because of how closely they are able to work with their clients.
Each client manager typically handles a portfolio that allows for genuine engagement. It’s not just about processing work; it’s about understanding what’s happening in the business and looking towards the future – often identifying scenarios before the client has fully articulated them.
For example, if a client is considering hiring staff, investing in equipment, or exploring funding options, they don’t want to wait weeks or even days for an answer. They need clarity quickly. They need up-to-date numbers, context, and advice that’s relevant to their situation.
For many business owners, particularly those running smaller or owner-managed firms, that level of support is critical. They may not have an internal finance function to lean on – not just because it’s costly, but they might not require that either. Having an accountant should feel like an extension of your business, and having one that is responsive and commercially aware can have a significant advantage.
Facing challenges head-on
All of this isn’t to say smaller and mid-sized practices don’t face their own challenges.
Brand is one of the biggest. Larger firms still carry significant weight in the market, and as they move further into the mid-market space, competition becomes more intense. Building recognition and trust takes time, particularly in local markets is where reputation matters and is something we have noticed here in Hull.
Talent is another ongoing challenge. Larger firms often have more resources when it comes to recruitment, making it harder for smaller practices to attract and retain skilled people.
Technology and the shift from compliance to more advisory-led services also presents its challenges. Clients expect more, and firms need to evolve their service offering accordingly.
But these challenges are being met head-on. Smaller firms are investing more in their brand, becoming more visible and consistent in their marketing, and building credibility through client relationships and results over time. As trust grows, so does the quality and scale of the work they attract.
At the same time, many are developing more commercial, advisory-led service lines by moving beyond pure compliance and into areas such as outsourced finance director and chief financial officer-type support. Fixed-fee structures and clearer service offerings are helping to position these services in a way that feels accessible and relevant to clients.
On the people side, there’s a greater focus on flexibility, culture, and development. Offering flexible working, creating internal training pathways, and building a strong, supportive environment are all ways in which firms are competing for talent beyond just a salary.
Smaller and mid-sized practices are becoming sharper in how they operate by putting processes and structures in place to support growth, while still maintaining the flexibility that sets them apart.
As visibility increases and trust builds, more businesses that may not have previously considered a smaller firm are now actively choosing them.
In today’s market, it’s about offering outstanding service and having a true understanding of your clients’ business because that’s where you gain the ability to deliver real and consistent value.
Image provided by Northern Accountants
