A Certified Public Accountant (CPA) is a significant addition to any business, and a company should look to hire a CPA as soon as possible. There are a lot of reasons why having a CPA is a major concern for business, not least of all because it allows a business to operate more efficiently.
Many small and medium businesses don’t understand why having a CPA is such a big deal, but there are a lot of motives for hiring one.
Why Hire a CPA?
1. Company Assets
Assets, in the lingo of an accountant, is anything that the business owns that brings value to the table and can be used as collateral to borrow against. A CPA can precisely categorize a company’s assets so that the owners and managers are able to have an understanding of how much the business is worth at a glance.
In some situations, this can be very useful, such as using the company itself as collateral for a loan.
2. Technical Accounting Knowledge
Even though you might have an idea what a debit and a credit is in accounting terms, you’re probably be hopelessly lost if you had to utilize this knowledge in the framework of a modern software suite. A CPA is skilled in using and manipulating data within the confines of current accounting software in order to make it intelligible to the layman.
An experienced CPA knows the most modern accounting suites inside out.
The thing with how the IRS does audits is that it seems as though the way they choose the companies to review are incredibly random. The truth of the matter is that the IRS would only consider a company for auditing if the information they have about the company doesn’t add up.
Although in a lot of cases it’s simply a matter of accidentally not calculating correctly, even accidents can carry a hefty fine if a company is found in breach of the law. A CPA ensures that this doesn’t happen and even lessens the chance of an audit even occurring through thorough record-keeping.
4. Operate More Efficiently
Some small businesses contend that the amount that would be paid on a CPA would be too expensive for them to even consider it. The fact is, a CPA on staff almost pays for themselves, and even managed to save the company money in the long run. Overall, having a CPA can enable a business to be more profitable by ensuring that cash and assets are used to grow the business more efficiently.
To do this properly, however, you’d need someone like a skilled CPA to show you the way.
5. Plan the Future
Businesses don’t stay small forever. However, some grow a lot more than others. The growth of a business is almost always directly linked to its management of capital and assets. A skilled CPA can help a business to plot where it should be over a series of years and even plan a route that would utilize the existing assets and capital to get there.
Having a roadmap for anything helps to navigate and for a business, this is even more important.
The Road to Growth and Prosperity is Through a CPA
Normally, tax season is something a lot of businesses and individuals dread. With a CPA on staff, you can rest easy knowing that your financial obligations are already going to be managed professionally. If your company needs to hire a CPA, then you should look into getting one that is both professional and efficient in the job they do.
Contact Larry L. Bertsch today to find out how a CPA can make tax season seem exciting for once!