What Can A CPA Advisor Do For Your Business?
As you build your business, it will soon become clear (if it hasn’t already) that it’s necessary to bring in help, hiring or outsourcing to people whose expertise is to do things that aren’t your primary skills. One of the most prominent areas this will come up is in finances and accounting. A growing business must stay on top of its accounting in order to thrive, but every hour you spend in the books is an hour you could have been spending building your business and focusing on the main product or service.
So, if you are at that point, you may have considered hiring an accountant or a CPA advisor. But what exactly is a CPA advisor? And how can hiring or contracting one help with your business?
The Role of a CPA Advisor
To start with the basics, CPA stands for Certified Public Accountant, which means they have been professionally trained and officially certified to be an accountant. The main area that CPA advisors are able to assist you with is related to your taxes (both personal taxes and business taxes, and importantly the intersection of the two).
While you may be used to using an online software tool or some similar solution for your personal taxes, business tax needs are inherently more complicated. You want to know how and when to pre-pay your taxes, you want to factor in complicated equations for equipment depreciation, you want to ensure you’re maximizing your deductions, and, most importantly, you want to be certain that the taxes you’re submitting are wholly and completely accurate and legal. The role of a CPA advisor is to ensure all of this is the case.
How Can a CPA Advisor Help Your Business?
There is no legal requirement that you hire a CPA advisor and business owners are certainly free to calculate and submit their own tax documents. However, when you make the smart decision to hire a CPA advisor rather than venture into the complicated web of tax law on your own, you gain a number of invaluable benefits:
- Save Time & Money: As your business is growing, chances are that you’ll pay less for your CPA advisor than you would in lost personal time spent on your business. If you’re billing clients or building a business, your time is valuable and there can be a specific dollar value on it. By hiring a CPA advisor, you’re not only saving time and stress, but you’re helping the bottom line.
- Don’t Miss a Thing: CPA advisors are trained in tax law and they keep up with the year to year changes in taxes. This means that they are able to more comprehensively find valid deductions that you might have missed, therefore lessening your tax burden.
- Be Prepared: When you complete your business’s taxes on your own and you get the dreaded notification that you’re being audited, you’ll be on your own. But when you have the foresight to hire a CPA advisor, they will ensure your taxes are accurate and be with you every step of the way should you get flagged for an audit.
- Outside Tax Season: CPA advisors can be useful outside of tax season as well. They know the tax law well enough to help you find ways to minimize the amount of taxes you owe throughout the year, and they can even provide financial and business advice based on this training and experience.