LBMC co-founders David Morgan and Mike Cain offer a deep dive into the leadership philosophies, values, and experiences that have shaped the company’s journey over the last four decades.
As LBMC celebrates its 40th anniversary, host Suzanne Reed sits down with LBMC co-founders David Morgan and Mike Cain to discuss their personal and professional experiences building one of the Southeast’s largest CPA and professional services firms, now with over 900 employees in five offices.
As you’ll hear, their true legacy goes beyond just the numbers—it’s rooted in the relationships, thoughtful succession planning, and a drive to constantly evolve in a competitive industry. The insights shared by our founders will serve as timeless lessons for leaders and professionals alike.
The Enduring Legacy of LBMC
Mike Cain shares the very simple mission that has driven the company since 1984. “We’d probably both like to be able to say that this is all part of some big strategic plan where we envisioned exactly the way things turned out with LBMC,” he jokes, “but it just wasn’t that.”
Their goal was to provide bookkeeping services to a small but meaningful group of clients, and still make it home in time for dinner. “40 years ago, we had young children,” David Morgan explains. “We wanted to be able to take the afternoon off and go to a sporting event and at the same time, we wanted to work on important clients.”
History has gone on to prove that mission was a success. Looking back, both founders take great pride in the firm’s impact. “I look back and I see the impact that it’s had on the profession, on our community, on our clients’ lives, on our employees’ lives,” Cain offers, “and it’s created a platform for people to have long, successful careers.”
Morgan echoes the sentiment, hoping that the firm is seen as a special place that’s different from other organizations. “I hope that people look at us and say, ‘They built a special firm here.’”
Retirement as a Journey, Not a Destination
Both Morgan and Cain highlight that retirement for them was a two-phase process, rather than a single event. Cain notes that their first major retirement came when they transitioned out of the CPA firm nine years ago, and they spent “a few years really getting ready for that because it was a big step for the firm and a big step for us too.”
“That was quite a process trying to identify future leaders and getting people to build consensus on the future direction and that sort of thing,” Cain shares.
Morgan, who is still engaged with the firm, emphasizes that he has no plans to fully retire, stating, “I am not going to retire ever. I’m going to keep an office. I’m going to be a consultant for a handful of clients that depend on me.”
Their “semi-retirement” plan has allowed them to stay involved in a consultancy capacity while planning leadership transitions from within their firm.
Leadership and Succession Planning
A major theme in the conversation is the importance of leadership succession. Both founders have spent years planning their own transitions to ensure LBMC remains in capable hands.
As Morgan points out, planning for leadership changes at every level of the company is crucial. “It’s not just succession planning for the top person,” he says. “You’ve got to be finding new leaders for every group and every division within the company.”
This commitment to fostering leadership is also evident in how they approach their service expansions. “We learned that anytime you start a new service line or a new company, make sure you have good leadership that knows what they’re doing in that business,” says Morgan. “Every time we did that, we were successful.”
Cain stresses the importance of identifying the right people in the right place. “We went and got really good leaders, people that really were great at what they did, and we just let them do that,” he says. “You need people that are good at what they do but that also fit within the culture you’re trying to bring to bear—that fit is really important.”
A Legacy Built on Relationships and Growth
When asked what sets LBMC apart, Morgan underscores their willingness to embrace new opportunities. “What’s made us different is, number one, we’re more willing to try different things, and number two, we’re willing to make investments – in our people.”
The founders attribute much of their growth to this openness, as well as to building strong relationships both internally and with clients. Morgan shares that their initial clients weren’t just business partners—they became friends, and that approach formed the backbone of their success.
“My clients were our best friends,” he recalls. “We were involved in not just their business but their lives, because what we do touches people’s entire lives, not just their business” —another example of the types of personal investments Morgan and Cain believe has made the difference.
Lessons for the Next Generation
As for the future of the accounting industry, both Morgan and Cain offer advice for young professionals.
Morgan suggests that a career in accounting provides a solid foundation for a wide range of opportunities, beyond just traditional auditing and tax roles. “It’s a great opportunity to have financial training…and they’re going to have an excellent career and make a very good living.”
Cain emphasizes two key qualities that have guided him throughout his career: “One is a high energy level, and the other is a high level of intellectual curiosity.” He encourages the next generation to embrace their profession fully and actively contribute to shaping its future.
As LBMC continues to grow, the insights shared by two of its founders will serve as timeless lessons for future leaders and professionals alike.
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