John Heins

THE PRESIDENT’S REPORT (1889)

Abstract: This represents an extract from the handwritten minutes of the Annual General Meeting of the American Association of Public Accountants, Monday, May 27, 1889. The extract is the Report of the President John Heins. This version, in typewritten form came to the attention of researchers at the University of Florida in 1971.

To the Members of the American Association of Public Accountants. Gentlemen:

On the occasion of our first annual gathering since the organization of the Association, I have to congratulate the members on the success it has so far attained— a success which has enabled us to bring the profession of Accountancy prominently before the public as one of the necessary adjuncts of business lending to the commercial success and prosperity.

The profession of Accountancy having hitherto been but little known in the United States, and the recognized wants of a well organized body of professional and public accountants, whose ability, character, and strictly business conduct could be relied upon, being called for by the leading commercial and financial representatives of the country, led to the formation of our association—the lines being taken mainly from the older countries—notably England— in the formation of the ruling and conduct of our Order.

The object of our Association being fully laid down in our Constitution and the By-laws arranged in accordance with the powers given us in such Constitution, with which you are all conversant, have been adhered to, and acted upon, but it has been an open question whether they are not too rigid and strict in their application regarding the admission of members in the earlier stages of the Association’s career, and the Council have had under consideration the advisability of reducing the Initiation Fee, the adoption of local boards, in large cities of the Union in order to regulate its affairs in their respective districts, and with that view certain propositions to effect these objects will be submitted to you.

It is much to be regretted that our Association is not stronger in number. At the present time we have about 25 fellows and 7 associates, which I am sure you will agree is not enough to give the Association the standing and recognition we hold as our end and it is of paramount importance to the profession that some means should be adopted to increase our membership.

The final success and universal recognition of the commercial and investing citizens of the advantages of our services can only be developed slowly, by care, and by prudence in the management of its affairs and unanimity of feeling toward those engaged in the profession.

With that view we must not be too rigid in our rules and regulations for the admission of persons who are now in practice and recognized as accountants. Consideration must be given to what our objectives are, and why we are endeavoring to develop this Association. We are organized to advance the interests of our profession, and to develop the Accountancy and Auditing business, and it is apparent to my mind that by liberal treatment and somewhat elastic views we shall acquire the goodwill of a great majority and attain fewer enemies and objections to our scheme than if we adopted a stern and exacting policy.

It has repeatedly been brought to our attention that persona calling themselves Accountants, are not only unworthy of the name but bring discredit upon us who are qualified by training and experience. There are no doubt many—and it cannot be denied—who are quite incompetent to be employed in such a capacity, and should any of these be applicants for admission to our Association the Council should make such rules, regulations, and inquiries to debar them from becoming members or parading themselves as accountants under the guise of our society.

To effect such objects I have pointed out I am decidedly and strongly of [the] opinion that our door must be open to those who are now in practice as accountants under such regulations as the Council may determine as to character, ability, and competency, during the time they have practiced as accountants, and extending the time for the application of these until either 1892 or 1893.

Some such scheme as this, while increasing our numbers greatly and our profession by its being wider known, and consequently bring about interest, working to develop Accountancy, aided as it will be by a larger membership assisted by their respective friends and adherents working for a common cause.

With regard to the prospects of our profession in the country, there can be but one opinion that they undoubtedly will increase. On all sides and in all directions we hear of the advantages of Accountants, and it is universally admitted that our services are needed and necessary, and requisite, but how much more so will they become if it can be demonstrated that we are in existence, and associated together with unanimity and harmony, working to effect the highest proficiency in our business for the benefit of those employing us, and bound down by our Association in strict rules of con duct, insuring faithful and efficient work to our respective clients and the public in general.

I think the time has now arrived that energetic measures be at once adopted, and the attention of our members be given to the enlargement of our Association, and with that view I have outlined my ideas upon the subject. It is important that we lose no time in doling so, and I am confident that if all of us do our part that the Association cannot fail to be a success. Should we be unsuccessful it is possible that other associations will be formed popularizing the movement land developing the profession in a manner that we now have the opportunity of doing and should take advantage of, and receive credit for.