How to Choose a CPA
CPA or Certified Public Accountant is something that is very important to a business. They are the people that have met the requirements for the state to get a license in accounting. Many times these requirements include a bachelor’s degree in accounting, experience requirements and passing an exam. Keep in mind that the IRS does not require anyone to have a CPA to do their taxes. In fact, there are all kinds of ways people do their taxes. However, if you have a business, having a good CPA could make a world of difference. Their job and their only job is to follow the rules of the IRS. These rules are things such as what can be deducted, what is the amount allowed for a deduction and all the rules of business taxes. They also work with individuals for personal taxes as well but this is less common.
Taxes can get very complex with a business. If you have your business out of your home, then it further complicates things. However, your CPA will know what to do, making is smooth sailing. So, let’s take a look at how to choose the perfect CPA for your business.
Two Types of Accountants
There are two types of accountants, those that are CPA’s and those that are not. The ones that are CPA’s can help with financial planning and have additional licensing they have trained for. Others do not have this training. So, if you are going to need help in that area, then you should consider finding one that offers what you think you will need in the future.
Ask questions of the CPA firm. Do they work with businesses of your size? Do they work with your industry? Meaning, some work with just a very specific industry while others work with people in a very specific location. Speak with them and find out if it is a good fit for you. Ask if you are going to be working directly with the accountant or another staff member. How long does it take for them to respond typically? How big is the firm? Some are just a one man band and others are a large group.
Be sure to ask how they set fees or for a quote for your business tax preparation. Some firms set fees as a % of the return, while others set the fees on how complex the return is. There are a variety of ways they can charge you, however, a good CPA is worth the bill. CPA’s can save a business owner lots of money. They are trained in working with finances. They typically save the company far more money than they charge. So, do not fear to call up a CPA, it may not be as expensive as you think!
Check out the CPA’s Reviews
If you are thinking about hiring a CPA firm, take a look at their online presence and reviews and see what people have to say about their services. Do some due diligence on your part to ensure they are a real company as well. People around tax time love to run quick ads to get clients but only do this during the tax season and not year-round. Those are people that you should avoid as they are not as up to date on the tax laws as a CPA that works year-round.