You’re operating a prosperous small business outside. Your consumers appreciate your service and repay you by giving you the one thing every business needs to succeed: cash.
You might be making so much money, and your company is expanding so quickly that it’s time to hire someone to help you manage that cash. Perhaps now is the right time to engage a Certified Public Accountant (CPA).
Why is a Small-Business CPA Necessary?
An accountant is a specialist who handles all the intricate and crucial math activities associated with running a business, including bookkeeping, financial planning, and preparing tax returns and profit-and-loss statements. An accountant who has passed their state’s Uniform CPA Exam and satisfies their home state’s educational and experience criteria is called a Certified Public Accountant (CPA). To put it another way, not all accountants are CPAs, but all are accountants.
Tasks of CPA.
● Tax planning and advice: Assist your company in reducing taxes now and make arrangements for upcoming tax circumstances.
● Audit and assurance: Identify any issues with your tax returns before the IRS does with the help of audit and assurance.
● Management and consulting: Assist in budgeting, risk management, and creating financial statements for shareholders. Act as your company’s chief financial officer (CFO).
● Forensic Accounting: Investigate the financial records to help you stop or find theft or fraud using forensic accounting.
● Payroll administration: Ensure that everyone is paid promptly and that all payroll deductions are correctly processed.
● Bookkeeping: Take care of invoices and accounts receivable, see that the bills—such as rent and utilities—are paid promptly, and promptly pay your suppliers.
As you can see, a CPA can assist you with much more than just tax preparation and bookkeeping. These are some of the services in which a CPA can help you.
Finding the Right CPA for Your Small Business: How to Do It
Determine the services you require from a CPA before you begin your search. Will they only manage payroll and accounting? Once that is resolved, you can start looking. Here are some methods for choosing the ideal CPA:
1) Browse online, but verify the sources’ credentials.
Make sure the person you locate is indeed a Certified Public Accountant during your search. Your state has granted them a license if they pass the test. CPAs must pass continuing education requirements in addition to the exam to maintain their licenses and stay current on all federal, state, and local tax regulations. Check if the person preparing your taxes has a Preparer Tax Identification Number (PTIN).
2) Meet them face to face.
A face-to-face meeting with the individual handling your money is always a brilliant idea. You want to be sure you can trust your CPA because you will be responsible for paying for it if something goes wrong. Phone someone else if they are awkward about meeting in person when you call them. If possible, bring a trusted friend or colleague to the meeting.