Certified Public Accountants (CPAs) are trusted financial advisers who help individuals, businesses, and other organizations plan and achieve their financial goals. They often act as consultants on a variety of different issues, including taxes and accounting. In order to become a CPA, there are education requirements that need to be fulfilled as well as the uniform CPA exam that you must pass. Becoming a certified public accountant distinguishes you from other business professionals and accountants, as the CPA credential is a symbol of both trust and professionalism in the world of business.
For small business owners who are just starting out, hiring a CPA can be incredibly beneficial for several different reasons. They perform a variety of different tasks, such as bookkeeping, preparing financial documents like tax returns and profit-and-loss statements, doing financial planning, and more, which we will be discussing in today’s post.
If you are a small business owner and are looking to hire a trusted, experienced CPA, contact Innovative Accounting today to learn more and see if we could be a good fit for you and your company.
THEY TAKE CARE OF YOUR BOOKKEEPING
As a company who earns and spends money, bookkeepers are the ones who help you to keep track of all of it. This is extremely beneficial for new business owners who are focused on getting their business off the ground running, as they help with preparing your accounts, documenting any daily financial transactions, and offer a literal look at where you stand financially. What makes a CPA more beneficial than hiring someone who only does bookkeeping, though, is the fact that your CPA uses the information that is gathered to produce financial models and help you see the bigger picture and the path that your business is on. This is what makes Innovative Accounting so special — not only are we skilled in bookkeeping, but we know exactly what to do with that information in order to help you achieve your financial goals.
THEY ASSIST WITH TAX STRATEGY
Because starting a business involves a great deal of planning and preparation, it can be easy to forget about tax strategizing. But when this task is not performed properly, it can result in your business paying thousands of dollars in additional taxes. CPAs help you step by step through the tax strategy process and then file and prepare all of the paperwork in order to make sure that your business is registered with the federal, state, and local governments. Experienced CPAs will also keep an eye out for any obvious problems or inconsistencies that could indicate an issue with your finances and help you through those as well.
THEY WILL HELP ANALYZE YOUR FINANCES
If you are a business wonder and want to know what is going on with your business’s finances and where you can make improvements, or what your break-even point is to be profitable, then hiring a CPA will be incredibly beneficial for you. They will even work with you to let you know what your current performance looks like regarding profitability, efficiency, activity, asset usage, cash flow, and liquidity. By giving you an in-depth knowledge of the financial performance of your business, you are able to stay in the know and rest assured that your business is on the right track. Certified Public Accountants from firms like Innovative Accounting even add in KPIs for non-financial activity that you will want to track, and find changes that you need to make in order to reach your goals and see your trends/overall performance over time.
THEY ASSIST WITH QUICKBOOKS
When starting a new business, you will want to be sure that you have a correct QuickBooks set up specifically for your type of business. Not only will experienced CPA firms provide online training on all things QuickBooks, but can also help you set it/clean it up and provide you with continual guidance as well.
THEY TAKE THE BURDEN OF FINANCES OFF YOUR SHOULDERS
In sum, hiring a CPA can be beneficial for business owners who would like the freedom to be more focused on running the business itself without the burden of payroll, tax strategy, bookkeeping, and financial analysis. Just be sure to do your research in order to ensure that the Certified Public Accountant you are hiring is experienced and can perform each task you are looking for. Innovative Accounting works with clients across North America, providing them with integrated services that take into consideration what each and every individual business needs, when they need it. From the time they are a start-up to when they are a thriving, multi-million dollar entity, Innovative Accounting is here to help you every step of the way. Give us a call today to see what we can do for your business.
Thanks for explaining that accountants will have an in-depth knowledge of a business’s financial performance. My cousin mentioned he wants to improve operations at his small retail business in the next city over. I’ll have to share this article so he can understand why it’d be smart to work with a local accounting service.
Thanks for pointing out that an accountant will help analyze finances. I am a small business owner and I think this would be extremely helpful for me. I should find an accountant in my area that can help me improve my bottom line.