The CA Thingy

The Subscription Model for CAs: Pricing Tiers That Work

The Subscription Model for CAs: Pricing Tiers That Work

May 13, 2025

The most profitable CA firms have moved beyond hourly billing. By packaging services into subscription tiers, they've created predictable revenue, better client retention, and higher-value engagements. Here's how to structure your offerings for maximum impact.

1. The 3-Tier Framework That Converts Clients

  • Essentials (₹15-25k/month): Basic compliance + quarterly reviews
  • Growth (₹40-60k/month): Adds CFO advisory + monthly strategy calls
  • Enterprise (₹90k+/month): Dedicated account manager + custom reporting

Example: A Bangalore firm increased ARPU by 3x within 6 months using this structure.

2. What to Include in Each Tier

Core Components Every Tier Needs:

  • Fixed deliverables (e.g., "2 GST filings/month")
  • Response time SLAs (e.g., "24-hour query resolution")
  • Clear boundaries (what's excluded)

Pro Tip: Limit Essentials tier to 5 hours of support to upsell to Growth.

3. How to Price Without Leaving Money on the Table

  • Value-based pricing: Charge 1-2% of client revenue for Growth tier
  • Anchoring effect: Show Enterprise tier first to make Growth seem reasonable
  • Annual discounts: Offer 10% off for yearly prepayment to improve cash flow

4. Transitioning Existing Clients (Without Pushback)

  • Grandfather pricing: Let current clients keep old rates for 3 months
  • Show ROI: "Your Growth plan includes tax planning that saves ₹2.4L/year"
  • Automated reminders: Use The CA Thingy to notify clients before renewals

Case Study:

A Delhi CA converted 68% of clients to subscriptions by bundling compliance with quarterly "tax health checks".

5. How The CA Thingy Supports Subscription Models

  • Recurring billing: Auto-generate invoices for subscription tiers
  • Usage tracking: Monitor if clients are over/under utilizing their plans
  • Tier templates: Pre-built service packages to clone and customize

Final Thoughts

  • Subscriptions turn compliance into relationships and time into assets
  • Start with 2 tiers (Basic/Advanced) before expanding
  • Use The CA Thingy's reporting to identify which clients to upgrade first