A Guide to Services Offered by Accountants and CPAs
How a Good Accountant Can Help Your Small Business
A good CPA does a lot more than just push numbers around and help with filing taxes. In fact, an accountant is one of the most vital partners that you will have in helping your business become a success. Your CPA will also be your financial advisor, your business planner and your best networking contact. Here are five ways in which your accounting professional will help your small business, from start to finish.
1. Your Accountant Will Set Up Your Business Tax Structure So you've got a great idea for a small business. You know just what you want to do, how to attract customers, and how to set your company apart from your competitors. But do you know whether you should be a Corporation, an LLC, or a Sole Proprietorship?
Do you know the guidelines that you should follow to protect your personal assets if something goes wrong with your company? Do you know the legal obligations of each company type?
This is where your accountant comes in. A CPA not only provides help filing taxes, but also helps you select the right tax structure, and can ensure that you follow the rules to avoid trouble with the IRS.
2. Your Accountant Will Give Advice on How to Grow and Manage Your Business From management structure to planning how much you can spend on your advertising campaigns, your accounting professional will be a big help in expanding and managing your business. As an experienced business financial advisor, your CPA should have a wealth of experience dealing with businesses like yours, and will be able to help you plot the best path to a bustling company.
3. Your Accountant Will Give Personal Finance Advice As a small business owner, your personal finances are irrevocably connected to your company's finances, making filing taxes much more complex. Your accountant will be able to act as your personal financial advisor as well, with advice ranging from how much of a salary you can pay yourself to how to plan your retirement.
4. Your Accountant Will Be a Networking Contact Networking is a key element of running a successful small business, and your accountant will be one of your most important contacts. A CPA deals with a large number of businesses, putting him or her in the position to make recommendations ranging from reliable lawyers to successful advertising partners. Furthermore, when another client is looking for services that your company provides, your accountant will be sure to recommend you.
5. Your Accountant Will Help you Sell or Franchise Your Business When your company makes it into the big time, your accountant will still be there to help you. Your financial advisor will be able to give you advice about the technicalities of selling or franchising your company, including IRS guidelines, filing taxes, and evaluating assets.
Selling and franchising a business is a complicated affair, and any small mistake can be extremely costly. Having a certified accountant to act as your financial advisor could save you a lot of money.
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