PHILADELPHIA PA – Many small businesses aren’t sure if they have enough work to warrant hiring a certified public accountant or other financial professional. Experts at the Philadelphia-based Pennsylvania Institute of Certified Public Accountants have created a list of common business scenarios that would benefit from the expertise of a financial professional.
Starting Out. Starting a business is more involved than just hanging a sign over the door. Entrepreneurs must gather funds, create a business plan, choose a business type (sole proprietorship, corporation, LLC partnership), ensure they are properly licensed, and are on track to pay all appropriate fees and taxes. A financial professional can offer advice to help you make the best decisions to create a successful business and avoid costly penalties if a business is not in compliance.
Continued Business Success. Tax credits and deductions for your business can be confusing and missing opportunities could be costly. A CPA can help you make tax-savvy business decisions every day of the year and identify long- and short-term tax considerations. He or she can also help ensure your financial reporting is accurate. CPAs can also offer audit and attest services, should your business need them.
Staying Compliant. Tax laws are constantly evolving, and CPAs can help you keep up with the changes. These professionals will alert you to expiring or temporary regulations, and can help you review your taxes to determine the “big picture” in terms of your business’s health and success.
Employee Obligations. Sometimes small business owners or sole proprietors find they must reclassify workers from contractors to employees. This change results in payroll tax, health insurance plan, and state tax consequences, just to name a few. Employees themselves also must deal with tax consequences of being reclassified. Other human resources considerations include health care, retirement plan obligations, and insurance.
What Can a CPA Do for My Business?
The CPA license carries enormous credibility in business and financial circles. CPAs must hold a college degree, pass a rigorous exam, and have professional experience. To keep their license, CPAs in Pennsylvania must complete 80 hours of continuing education every two years and comply with a strict code of ethics. CPAs adhere to a high standard of independence, integrity, objectivity, and professional compliance.
CPAs can help you establish effective business operations that save you both money and time. They can also help you stay current with ever-changing laws and regulations so you can avoid back taxes, an audit, or worse.
There are a number of ways to find a well-respected, local CPA. Asking for recommendations from friends, family, clients, or other professionals are options.