Mainebiz

O N T H E R E C O R D V O L . X X I I N O. X I V J U N E 2 7 , 2 0 1 6 26 I n New Hampshire, Baker Newman Noyes has offi ces in Manchester and Portsmouth. In Massachusetts, Baker Newman is in Boston, Peabody and Springfi eld. Chatto, a Rockland native, has been with the fi rm throughout its existence. He was key to last year's merger with Shatswell MacLeod & Co.'s external audit and tax practices. On Jan. 1, he became managing princi- pal, succeeding Eleanor "Ellie" Baker, who co-founded the fi rm in 1995. At the time he sat down with Mainebiz, he still had an offi ce adjacent to Baker, who stayed on through the transition but was set to retire at the end of June. An edited transcript follows. Mainebiz: In an age where you can communicate by email and Skype, why is it important to have the smaller, regional offi ces? Carl Chatto: We have video tech- nology, so the offi ces can talk to one another, but there's still a lot to be said for face-to-face communication. at holds true with clients as well. MB: One of the biggest challenges in Maine is fi nding qualifi ed employees. How do you recruit junior employees? CC: We spend a lot of time on recruit- ing. One of the programs we have is a three-day internship that we off er to sophomores and juniors. e fi rst day is devoted to the audit practice, the second day to the tax practice. e third day is for community service, they work alongside our staff . Some become full time after that. We're able to say, ' at's a great candidate.' It pro- vides interns with 'a day in the life.' MB: How did the fi rm make the transition from the leadership of Ellie Baker, who co-founded the fi rm more than two decades ago? CC: When she announced she was ready to step back, I was honored to be chosen. e transition went well. It was planned and well communicated to employees and clients. I let my own clients [in the audit practice] know. During the transition, she has pro- vided guidance and counsel. In terms of what I've learned, I have a better understanding. I had been director of the audit practice and was on the management committee. ere was a lot I needed to know. MB: What are some of the trends in the industry? CC: One of the things that's a trend for both us and our clients is the volume of changes in rules and laws. Federal tax laws, Maine tax laws. All of the states are trying to get their share of the revenue pie. ere are international tax laws. What we've done to respond is create industry and client specialization. With the regulatory issues, it gives us a better comfort level. We provide a lot of education and training to our staff . MB: Accounting fi rms increasingly seem to be adding 'consulting' as a practice area. What does that mean? CC: Our baseline is tax returns and audited fi nancial statements. We can also help clients when we can say, ' is is what I've seen [other clients] do.' We can help with estate and tax planning, succession planning. A number of families and businesses are at the point where these are realities. e sooner the planning starts, the better. MB: What's in store for the future of Baker Newman Noyes? CC: We had three mergers last year [William Steele & Associates, Shatswell MacLeod & Co. and Albert Stowe CPA]. We brought new practice areas into ours. We want to continue to bring in qualifi ed employ- ees. We want to continue to bring in clients. We want to continue to bring in key data points. THERE IS THERE IS A DIFFERENCE A DIFFERENCE THERE IS THERE IS Because Construction Management Design/Build General Contracting Engineering Construction Management Design/Build General Contracting Engineering Sheridan Sheridan Construction Construction www.sheridancorp.com www.sheridancorp.com Fairfield Fairfield Portland 207-453-9311 207-453-9311 207-774-6138 B Y P E T E R V A N A L L E N P H O T O / P E T E R VA N A L L E N Carl Chatto, who in January became managing principal of the accounting fi rm Baker Newman Noyes, took over from co-founder Eleanor "Ellie" Baker, who is retiring. Carl Chatto oversees Maine's second-largest accounting firm, Portland-based Baker Newman Noyes. In Maine, the firm has 68 CPAs and 146 employees overall. Its in-state revenue was $25.7 million last year. The fi rm is steadily increasing its footprint, expanding its offi ces outside of Maine. One of the things One of the things One of the things One of the things One of the things One of the things One of the things One of the things One of the things One of the things One of the things One of the things One of the things One of the things that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both that's a trend for both us and our clients is the volume of changes in rules and laws ... All of the states are trying to get their share of the revenue pie.

• Cover