Small business owners in Christiansburg often find it practical and economical to hire accounting services in an outsourced manner. Besides the fact that accounting firms charge a lot less than an in-house team, there is also limited stress to deal with, considering managing people on the payroll is more complicated. If you have decided to get an outsourced accountant in Christiansburg, VA, you need to be smart enough with the selection process. In this comprehensive guide, we have shared five mistakes that you need to avoid.
- Not looking for specific expertise: There are all kinds of accounting services. Some just handle bookkeeping and essential accounts-related work, while others may offer comprehensive services, including payroll and tax planning. Start by evaluating what you exactly need, and based on those parameters, you can compare options in a much better way.
- Not checking qualifications: A bookkeeper is an expert in recording and organizing financial transactions, while an accountant can accurately prepare financial reports. A Certified Public Accountant, or CPA, on the other hand, is way more versatile and can advise on tax issues, compliance, and saving taxes. As a small business owner, you have to understand these differences and choose a service that aligns with your requirements. That said, it is always a smart decision to choose an accounting firm that’s led by a CPA and has other experts, as that means having access to comprehensive experience.
- Not asking enough questions: With limited resources, you have to be sure that the CPA or accounting firm is worth the money spent. Small business owners are often enamored by advertisements and fail to ask relevant questions when choosing a service. Try asking questions like – How long have you been working in the field? What percentage of your clients are small businesses? Do you have exposure in our domain? Can you help me with tax planning? Do you offer other solutions, such as payroll? Knowing the service allows you to gauge what to expect from them.
- Not thinking beyond the price: Many small businesses and startups will choose to call an accountant when they need something, which is not the ideal practice. The team you choose should be there to offer ongoing support and must establish clear ways of communication. The cost of hiring an accounting service in Christiansburg depends on the work they do, and most firms charge a monthly fee. You may have a quarterly payment term, which you should discuss in detail. In short, price shouldn’t be the first aspect of comparing choices.
- Hiring during the tax season: While you have to file personal and business taxes on time, it is never a wise idea to wait until the last minute to call a CPA. There are ways to save taxes, including using available deductions and other strategies, and only when the accounting firm is involved from the start of the year can you expect that kind of bespoke support.
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Final takeaway
It is important to know the value of long-term association with an accounting firm in Christiansburg. You will need them repeatedly whether you are facing an IRS audit or want to find discrepancies in your accounts. A CPA-led team can also offer business consulting services for a much lower cost, especially when you are making major financial decisions. There is also peace in knowing that an extended group of professionals is at your disposal and the work is being done with accuracy and transparency. If this is the first time you are outsourcing, make sure to choose a firm that leverages the latest tech and offers support for setting up an accounting tool, like QuickBooks.
