The following is an online extra from our September 2020 issue.
Photo via Getty Images
Nearing 30 years in business, tax preparer Russ McDowell of Ph Technical Services Corporation has watched the landscape of Richmond’s dining scene grow and change, helping restaurant owners prepare their taxes and make major financial decisions. Soft-spoken and humble about his role, McDowell sees himself as a part of a team, one that keeps its star players out of financial trouble, but his clients, many of whom have worked with him for decades, see him as much more than that.
Richmond magazine: How did you get started in the niche of restaurant accounting?
Russ McDowell: Thirty years ago, I answered a blind ad in a newspaper, which is what we used to do back in the day. I never would’ve gone if it was a restaurant, but it was a restaurant holding company, and they owned six places. After the owner decided to sell the places, we were doing the accounting for each location, so I formed my own accounting firm and began to do the accounting for each of the locations. I got five of the six — so I had five immediate clients coming to me over the course of a year, one at a time. And then I had friends and relationships out in the business world. It’s all been word of mouth. I’ve been very blessed.
RM: You work with many different types of food and beverage businesses around the city. Tell me a little about that.
McDowell: It’s really all word of mouth. Restaurant A trusts restaurant B, and they’re technically competitors, but Richmond’s just not that way. I’ve had restaurateurs say, “My friend is opening up a restaurant, and would you give them a call?” Everybody is always just nice about it. I worked with one brewery, and there was competition opening up, and they asked if I would be willing to work with them. I said, “Yeah, but that’s your direct competition,” and they said, “Nah, don’t worry about it, just go help them.” That’s just Richmond, it really is.
RM: Who are some of your long-term clients?
McDowell: Michelle Williams and Richmond Restaurant Group. This year was 25 spent with The Hard Shell. I’ve been with them since the very beginning, before there was a second location. I’ve been with Millie’s for 27 or 28 years. I’ve been at Legend Brewery for 20 years. I’ve been very fortunate. I’ve got a lot of wonderful, quality places that I’m proud to be associated with. I feel like I’m adding to their success. You can’t be delinquent on your taxes and be open long. So I help in that process. It’s minuscule, but it’s still there.
RM: You work with restaurants in Richmond and the surrounding counties — how do the experiences compare with each differ?
McDowell: Chesterfield and Henrico are easy to work with. City of Richmond has a few more challenges. It’s the rules and regs they have to go through and the personality of the people you’re working with. We had a problem in Chesterfield one time, and they said, “Just scan it and email it to me, and we’ll get it solved.” They called back a couple of hours later and requested more information, we sent it to them, and it was handled. Whereas the city ... emails? It’s not going to happen. Or “We’ll call back in two days, we promise,” and you never hear from them. It’s just different. They’re under a lot of stress and workload. It’s just harder. Chesterfield and Henrico are easy and responsive.
RM: What do you feel restaurant customers should better understand when it comes to the financial side of running a restaurant?
McDowell: Not all the owners are making huge salaries. They’ve got an old Honda, and their kids are in public school. I know them on the personal side somewhat, and you see the full picture. Restaurants are tough on marriages. Numerous marriages have not survived the restaurant business.
RM: What would be your advice to someone opening a restaurant for the first time?
McDowell: It’s location, and it’s concept. You’ve got to find your niche, where you belong. You have to know what you want to cook, but also what the customer wants to buy.
