08 Feb How to find the right CPA for your business

Reasons to hire a CPA

Every business must meet its financial obligations. From maintaining accurate accounts and managing your payroll to paying your taxes and being compliant with industry regulations, there are a number of accounting practices that are critical to your success.

Maximize Business Efficiency

Managing your accounts in-house can be time-consuming and stressful. Tax legislation is notoriously complicated, which means many small businesses face fines and sanctions that could have been avoided.

By working with a certified public accountant (CPA), you can outsource all of your financial and accounting needs to an experienced and qualified professional. By doing so, you’ll drastically reduce the amount of time you spend dealing with bookkeeping and accounting.

In turn, this maximizes in-house efficiency and allows you to focus on your core business areas.

Increase Commercial Success

When you’re making business decisions, it’s important to have accurate data available. Similarly, you’ll need up-to-date figures and data, if you want to make informed decisions about your company’s future.

The specialist knowledge a CPA holds enables them to provide you with the advice you need to operate successfully.

As well as meeting your financial obligations and maintaining accurate records, a CPA can help you reduce your tax liabilities and structure your business in the most tax-efficient way. As a result, you can retain a higher percentage of your profits and grow your business in the most cost-effective way.

There’s no doubt that working with a certified public accountant can enhance your overall success, streamline your operations and save you money, but how do you know who to work with? To ensure you choose the right CPA to deliver professional services to your business, take a look at these tips and find the right accountant today:

1. Check for certification

Not all accountants are CPAs, so this something you’ll want to check before you hire someone to handle your finances. Certain tasks, such as a financial statement audit, can only be undertaken by a CPA, so it’s advantageous to work with someone who has these credentials.

Furthermore, CPAs are required to pass rigorous tests and meet relevant state licensing requirements. Qualifying as a CPA is notoriously difficult, so you can be confident that any accountant who has obtained their CPA license is capable of assisting you with your company’s finances.

2. Location

Today’s global infrastructure means you don’t have to work with a CPA that’s situated close to your business location. In fact, you can choose to work with an accountant that’s based anywhere in the country or even in an international location. However, it is important that your CPA has an in-depth knowledge of the tax laws and regulations that apply in your region.

As many of these regulations vary from one state to another, you’ll want to confirm that the CPA you choose to work with is familiar with the rules where your company is based and has the relevant licensure to undertake the work.

3. Industry-Specific Knowledge

Working with an accountant who has detailed knowledge of your industry can be advantageous for a number of reasons. First, they will be familiar with the tax system as it applies to your business and be able to offer accurate and meaningful advice. Second, if your CPA is going to provide business advice, as well as other accounting services, knowledge of the industry is critical.

Similarly, you may want to choose a CPA who specializes in working with companies of a particular size. The needs of a startup or small business are different from those of a national or international organization so it’s important your appointed accountant can deliver the type of help your business needs.

4. Working Methods

The way your CPA operates will have an impact on your working relationship, so it’s worthwhile to discuss your expectations at the start. Do you want to have one point of contact, for example, or will a professional team of accountants be handling your financial matters? Similarly, check how long, on average, it takes for your accountant to respond to questions.

Many people assume an accountant will be ‘on-call’, only to be disappointed when they have to wait a few hours or days for a response. By setting out your expectations at the start, you can ensure that your CPA’s working methods align with your needs.

5. Tech Infrastructure

Like most industries, accounting firms have been revolutionized by technology. For example, the use of cloud software enables clients to upload financial information in real-time, so that it can be processed by their accountant. Although these types of tech solutions are widely used, not every accountant incorporates the latest technology into their practice. To ensure you can access the services you need, in a way that works most efficiently for your company, talk to potential CPAs about what tech they use and how it will benefit you.

6. Additional Services

Depending on the accountancy firm you choose to work with, you may be able to access additional services, such as bookkeeping, payroll, and business advisory consultancy. If you’re looking for a professional team that can manage your accounting requirements and provide tax planning advice, assistance with restructuring and helps you to grow your business, it can be helpful to choose a firm that offers a wide range of additional services.

Finding the Right CPA for Your Business

People often assume that accountants all offer the same services, but this isn’t the case. There are distinct differences between CPAs and accountants while every accounting firm has its own specialties and working methods. By taking the time to talk to accounting professionals, you can determine which firm or individual is best suited to assist your business.

As a business owner, meeting your financial responsibilities is essential, which is why it is well worth outsourcing your needs to a CPA. Their professional expertise, in-depth knowledge, and advanced skills can help you to reduce your costs, guarantee compliance and enhance your profitability.