A certified public account(CPA) can provide a wealth of services to your company, including businessadvice and technical assistance. And with the right CPA, you can save money andbecome more profitable. The key, of course, is selecting the right one.
Talk to colleagues atsimilarly sized businesses. A small single-store operation doesn’t need thebiggest accounting firm in town. Ask colleagues about their CPA experiences,good and bad, and ask for referrals.
You can also contact yourstate’s CPA society, the local Chamber of Commerce or look in the Yellow Pages.Make a list of prospective CPAs in your area and contact them. Here are somequestions that will help narrow the field:
• Level of experience? Howmany years in practice?
• Educational background andany additional training attained?
• Expertise in your field?Does the prospect know the applicable business tax laws and their frequentchanges?
• Names of current clientsfor references?
These questions arenecessary to determine the integrity and competence of each potential CPA. Ifyou can’t get it from the candidate, move on to the next one.
Determine which firm is theright size for you. You might be most comfortable with a sole practitioner. Ifyour company is a little larger with diverse operations, a bigger firm withmany CPAs might be more appropriate.
A CPA should have sufficientstaff to allow work to be done without demanding all of his or her attention.Remember that a large staff adds up to higher fees.
Once you’ve decided on anaccountant, establish what services you can expect to receive. The options mayinclude:
• Auditing financialstatements
• Tax compilation,preparation and review for individuals, corporations, partnerships and otherbusiness entities
• Bookkeeping services
• Cash flow and tax planning
• General business adviceand consulting
• Estate planning
• Insurance services
• Portfolio assistance
• Establishing relationshipswith financing resources
• Small business retirementplans
Keep your budget in mind,and evaluate which services are essential. The ones you choose will affect howmuch you pay, and you don’t want to pay for something you’re not getting.
The fee will be contingentupon what services are provided, what your business requires, and howsophisticated your accountant’s services are. Know if the CPA charges by thehour (and at what rate), the frequency of the billing, and what you will becharged for specific services (preparing tax forms, management reports, etc.).You can expect higher fees if your CPA has a staff working on your account.
When working with a CPA,communications and trust are keys. If either of those are missing, you’ve gotmore shopping to do.
– Source: Tire ReviewBusiness Toolbox
