When is an Accounting Firm needed?

The label “Accounting Firm” applies to three different service companies: 1) CPA Firm, 2) Tax Preparation Firm, and 3) Bookkeeping Firm. Each is important in the right conditions, and in some cases legally required. For instance, publicly traded companies must seek the services of a CPA accounting firm for financial audits.

Let’s look at each type of accounting firm separately and understand when they are most critical.

CPA Firm

As noted above, publicly traded companies are required to have annual audits by a CPA accounting firm. For the largest CPA firms, audits are their bread-and-butter income. In some companies and organizations, licensed auditors might spend thousands of billable hours sampling and testing the company’s accounting system to ensure proper controls are in place and that their financial records represent the company fairly. The CPA firm turns out an audit report at the end of the process that is
then included in the company’s annual report.

There are relatively few large CPA firms. Most CPA Accounting firms are smaller one-office firms led by one to three CPA’s that provide services to smaller companies. These services might include audits of small publicly traded companies, management consulting, and business tax preparation services.

Typically, they will not do bookkeeping and tax preparation, except for their business clients. In those cases where they do offer tax preparation for individuals, they charge a premium in my experience.

Tax Preparation Firm

Although tax preparation is often thought of as a CPA skill, most Certified Public Accountants do not prepare taxes, other than their own, perhaps. Likewise, very few tax preparers are CPA’s. Instead, most tax preparers start by doing their own taxes, enjoying it, then doing taxes for friends and family. Eventually, they decided to start offering it for a fee and either join up with a tax preparation firm or hang out their own shingle.

There are several large tax preparation firms, the largest being H&R Block. These firms hire seasonal workers and will provide some training at the beginning of the year. Nevertheless, most tax prep firms are small single practitioner accounting firms that specialize in income tax preparation for individuals. Most tax professionals work during tax season. If they are successful and watch their spending, they may earn enough during those few short months (January to April) to enjoy vacationing the rest of the year. Some tax preparers will offer bookkeeping during their slow seasons.

Bookkeeping Firm

These are typically small, privately owned accounting firms that provide bookkeeping and payroll services to small businesses (less than 50 employees). Often, they operate from the accountant’s home, and they may serve up to a dozen clients. They will pick up transaction detail from the client monthly or quarterly and provide financial statements on the same schedule. Nearly every bookkeeping firm will also provide full payroll servicing.

A full-service bookkeeping firm will also provide management consulting including helping the owner interpret the financial statements and provide suggestions for improving financial wealth and profitability. If trained in business tax forms, these professionals will offer tax preparation services in addition to their writeup services.

Learn more about what you can do to have your own successful accounting firm and the opportunities available in your area HERE.

If you also listen to podcasts, consider “Building the Premier Accounting Firm”!

How to Market and Brand Your Start-Up Accounting Business for Free Online

Starting up an accounting business can seem like an excellent idea, you understand the market and you have something in you that wants to push this forwards and make your idea a reality. The best advice we have is to not let go of that feeling. It can be hard in the current market to do, but if you do, you have a wealth of opportunity right in front of you (pardon the pun). We are here to show you exactly how to market and brand your start-up accounting business for free online.

 

Website

 

The biggest deal for a new accounting business is their website. You have to be on point with everything otherwise customers will not trust you and go with a different server. Ensure that your links work, your pages load and that your instructions are clear. Have a no-nonsense voice for your brand that gets right to the point and answers the questions of people visiting your site before they even ask them.

 

If you can be ahead of the game with your website then you are halfway there. If you need a solution to be online, consider these template websites for accounting professionals. Ensure that everything on your website is cohesive. The colors, your business name, and your logo. Every page needs to be professional and relevant.

 

Ensure that the usability of your website is second to none. People want to understand the site without instruction. Setting up an account and using the site comes secondary, though is still supremely important. But first, you need to get your branding on point.

 

Branding

Create a brand that is professional, all-knowing, and approachable. Have a huge FAQ section with relevant questions and a brand voice that people can rely on. 

 

Create a name for your business that evokes heartfelt trust while at the same time being strong and dependable.

 

Create a logo for your business that works in the world of finance. Choose colors that evoke trust, dependability, power, and thoughts of money. Use elements like triangles to show power and squares to show dependability. Make your logo so rich that it gets customers feeling like they can get wealthy just by clicking on it. Then use it everywhere.

 

We have access to an excellent logo creator with many templates and elements you can use; check it out at www.logocreator.io

 

Be Active

 

Be active in publishing your accounting business. Use social network sites as a springboard to gather people who are interested in the world of finance or small businesses that might want to use your services. Join Facebook groups and trawl LinkedIn for possible customs. Get Tweeting and try to get famous people responding to your tweets.

 

On your social pages, post content daily. You can create brilliant Infographics here, which can give information on finance and accounting to get more people interested in your business. 

 

You should also get making videos. These can be a great way to access as many people as possible. Create short videos that capture people’s attention in the first two seconds. Brand them with your logo and keep them interesting, informative, and dependable.

 

Self-Care

 

Starting an accounting business will be stressful. It can mean a lot of hours on the computer feeling like you are getting nowhere. There is a lot of competition out there too, it can be a struggle to get yourself seen.

 

Do not give up. You can do this. But take breaks. Running a small business can take over and before you know it you are working longer hours than you did in the office. This is great short-term and you will probably love it, but after a while, it can take its toll.

 

Ensure you have days off per week and hours off each day to spend eating, exploring, and doing the things that made you want to set out on your own in the first place. This will shine through in your business management and is important.

 

Don’t go it alone

 

Always remember, with Universal Accounting you can also be in business for yourself but not by yourself.  Check out how and meet the Universal Accounting team here!

Steve Chase, Who knew and now I have a successful accounting business

From a supportive spouse to now running a successful accounting business Steve Chase has a journey to share. Reflecting back to his youth he remembers as a Boy Scout enjoying the personal finance merit badge, who knew this was in his future.

Listen to Roger Knecht and Steve Chase as they discuss starting and building a bookkeeping business. Great advice, some tips, and tricks you don’t want to miss.

Hear what Steve feels we all need to know regarding our future roles in accounting.

Enjoy and remember this, if it’s about accounting, it’s Universal.

Your Turnkey Business Plan

Start Your Own Accounting Business

Build The Premier Accounting Firm

Get Certified – programs and training for accounting professionals

Erin Engelbrecht, it’s time to give back

Imagine early in high school being told you would be great in business, you start taking classes and find yourself in love with accounting. You enjoy the homework and are good with the numbers.

Let me introduce you to Erin Engelbrecht, CPA. With her successful career in accounting, building her business (Organized Piggy) she is now ready to share her story and “give back”. Listen to her advice and insights to also have a successful accounting business. Get a notepad and get ready.

To help, here’s the turnkey business plan you need to have the premier accounting business in your area

See what you can do to also become an Accountrepreneur

From a Dare to Running a Successful CPA Firm

So often our choices in life lead us in directions we couldn’t imagine. This is true for Veronica Wasek, CPA, as she entered the accounting profession and letter built a successful accounting firm. (Founder & CEO of VM Wasek)

Listen to what Veronica shares to start and build your own successful firm offers quality accounting, bookkeeping, and tax services.

Everyone has their own journey but after hearing what Veronica says you’ll have the confidence to keep moving and build your own business.

Find out more about how you can start and build your own accounting business (Your Turnkey Business Plan) 

The Virtual Bookkeeper’s Roadmap

Building the Premier Accounting Firm

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