A good CPA can be invaluable regardless of whether they are made to handle corporate or personal finances. Most entrepreneurs don't begin their journey with a detailed understanding of how to maintain and organize their company's finances, which makes professional tax advice worth its weight in gold, especially from those with the right expertise.
Therefore, the right CPA can help you and your company achieve financial success by identifying areas where it might be struggling financially, giving you expert insight. Below, we share some of our tips on how to choose the right CPA for your business needs.
Understanding How to Choose the Best CPA for Your Business
Not All Finances Are Created Equal
All businesses are affected by a variety of factors, which is why it is important to know what your specific financial needs are to make the first step in finding the right CPA for your business.
Consider the size of your company, the number of staff, and your budget. You should choose a CPA who can handle your accounts without overcharging you.
To start, you can start by gathering your financial records and reviewing your finances to determine current issues so that you can gauge the kind of financial assistance your business needs.
Look For a Specialist with The Relevant Industry Experience
Finding a competent CPA is difficult enough, but your true aim should be finding a specialist CPA that is knowledgeable about your specific industry.
If you need guidance with corporate tax strategies, someone who specializes in individual tax returns would not be the right fit for you. A CPA with the right knowledge will allow you to trust them to handle specific financial issues that are common within your field while being more up to date with tax regulations and benefits that are advantageous to your business.
You Want a Tax Planner, not a Preparer
Regardless of what reason you eventually hire your CPA, you want a tax planner, not a tax preparer.
Preparers will usually only meet up with businesses after the year is done to arrange their tax filing. The lack of steady communication means that most businesses will usually be unaware of any consistent problems in their tax situation, making it difficult to improve their finances over the year itself.
Therefore, you'll want a proactive tax planner that will meet with you as needed to discuss your finances and tax situation. Make sure you've lined up the correct CPA to assess and sign off on the results of your financial improvements—someone who can translate financial research into sound business advice.
Being Up to Date with The Times
Check to see whether your CPA is up to date on the most recent developments in tax law and technology. While software cannot replace a trained professional, having a working grasp of technology may help a CPA stand out as someone who can deliver highly relevant advice to both businesses and individuals that might still be struggling to navigate our digital economy.