Accounting
Small businesses may require services that go beyond the normal debit and credit functions. They may need advice on pricing, growth, and financing. Large firms can provide these services, usually at large-firm prices. Small accounting firms specialize in small businesses, providing these businesses with the hand-holding they may need. Also, small business owners need to be focused on their business. They probably don’t have time to prepare financial statements, analyze them, and determine if they should increase their price, cut expenses, or maybe a combination of the two.
Most businesses, at some point in time, will need some type of financing. The financing may be used for growth, personnel, capital improvements, etc. Your CPA can assist you in preparing financial statements and other data required by banks and other financial lending institutions.
Planning for the future of your business is important, and one facet of that planning is budgeting. Budgeting makes it easier for business owners, regardless of business size, to make conscious decisions about the future of their business. CPAs can assist you in preparing a budget, and helping you determine how to get where you want to go.
CPAs can also assist you in setting up an accounting system appropriate for your business. All businesses must maintain proper records. This may not only be required by IRS, but also other regulatory agencies. In addition, in the infancy stage of a business, it is very important that the owner know exactly how much money is coming in the door, and how much is going out. A proper accounting system not only tracks all of this information and can generate proper and accurate financial statements, but it also can assist in substantiating expenses in case of an IRS audit.
You may feel you can’t afford a CPA, but the question is can you afford not to?