Acronyms are used in every walk and aspect of human life and dealings, especially in education, business, and trade. However, we repeatedly gloss over these acronyms most times because we don't need the fullness of its representation yet, or the significance of these professional designations. When people are taking a closer look at their finances or thinking about hiring a tax professional, only then will the acronym, CPA or CPA firm become very familiar and make tangible sense. Accounting terms can be somewhat complicated and confusing for the layman and uninitiated.
Let's start by knowing what a CPA firm is.
What is a CPA firm?
A Certified Public Accountant firm is a financial institution made up of certified and professional accountants or at least one. It is licensed to provide accounting services to the public. It analyzes, advises, manages and controls the financial activities of an organization.
Top 5 attributes of a valid CPA firm.
Over the years, the number of CPA firms keeps increasing and adding up, leaving clients and prospective clients more worried. Nevertheless, worry less because I have got you really covered!
Here are tips on how you can identify a valid CPA firm. Five top attributes to look out for before choosing a CPA firm:
The very first thing to be confident about or suspicious of in a certified public accountant firm in the presence or absence of a CPA respectively. A standard CPA firm should have at least, one CPA. However, it may contain more, who have undergone training and are licensed in the state where the company operates.
Valid CPA firms are known not just by the services they offer, they stand out by the quality of services they provide to their clients. They help you scale your business, create projection and detailed budgets to take your business to the the next and desired level.
A valid CPA firm offers proactive accounting and assurance services, tax services advising, financial advising and wealth management. In the fickle world of tax and unpredictable economy, a valid CPA advises on how to avoid and manage your company and be able to storm the weather during economic crisis and downturns.
Be sure to be dealing with a CPA firm that has a practice permit in the state of practice. The American Institute of CPAs(AICPA) and the National society of Accountants both produce searchable directories of licensed CPA firms. Same is applicable for other countries. Although, it differs from one country to another.
A valid CPA has a impeccable and impressive records. It is well respected and has good antecedents. Their client base might not be massive, but their clients, both former and current can vouch for their validity and qualitative services always.
Beware of CPA firms that promise you more than they can deliver. With their sugar sugar-coated, they can sweep you off your feet. Choose a highly qualified, educated and experienced CPA firm to handle your finances. You can also refer to the online guide the IRS produces on how to choose a tax professional and how to confirm their credentials.