Guidelines For Accounting And Cpas For A New Business
Posted on September 24, 2009
Filed Under Taxes | Leave a Comment
Are you thinking about hiring someone new for your business? If so, t then if you are looking to hire accounting and cpas, then there are some aspects that you need to pay close attention to. Specific guidelines should be followed when looking for an accountant/cpa in a new business. Are you interested in learning more about this subject? If you answered yes to this question, then we highly recommend you reading the following article as we will be giving you some information that you can use for that new business as far as accounting and cpas go.
Knowledge of QuickBooks is an essential skill that cpas should possess. Certification and licensure exams, including the QuickBooks ProAdvisor License and the QuickBooks Certified User exam, are available to help assess the level of skill in this area.
Being able to effectively use spreadsheet software is also something you will need to pay close attention to. Microsoft Excel is most commonly used for spreadsheet tasks. Asking a question during the interview process regarding how to use this software can help assess this skill. Folks, no matter who you are, asking questions will never hurt, it will show that you are more interested.
Having general account knowledge is also something important that you should pay close attention to. An accountant should be able to immediately tell you the difference between terms such as regular business expenses and a capital expenditure is necessary.
Having general business knowledge is also necessary for a cpa. Asking questions that pertain to the product as far as the profability goes and new marketing strategies should be asked during the interview process in order to assess knowledge level in this area.
A few suggestions, including not incorporating, having a simple account system, having a separate business account, filing taxes on a quarterly basis, and having a personal and business assets kept separate, should be followed in order to maximize the effectiveness of a new business’s accounting system.
By not incorporating, a new business can simplify the accounting system. An incorporated business must file payroll taxes on a quarterly or annual basis, which requires much more paperwork that can increase the complexity of the accounting system.
A simple accounting system should be used. Software packages, such as Quickbooks, are available to help simplify this process.
A separate business account should exist. This helps prevent potential problems that can occur when trying to assess the profitability of a business as well as trying to write off personal expenses that should not be written off on the business account.
Quarterly estimated tax payments should be made. This can help prevent a crisis situation where it is discovered that a large amount of taxes must be paid on April fifteenth.
The above suggestions can help greatly simplify the process of hiring a cpa and implementing a new accounting system. This can significantly help a new business succeed.
Comments
Leave a Reply