Hello. You should ask if the CPA will be doing the actual work or if it will be done by someone else in the office. And what is the nature of the work you are having done? If it is tax work, not all CPAs specialize in tax. In fact, they all take a four part test to become a CPA and only one part covers tax, and it's corporate tax. An Enrolled Agent, on the other hand, is another designation in the tax industry and it's given by the IRS. An Enrolled Agent takes a three part exam to become an EA but all three parts cover tax (individual, business, IRS rules and regs). Just something to think about.
We heard another day from a client, that his prior CPA told him that if he pays him enough money, he will not have to pay taxes.... be aware, no cpa can ever tell you that! You can do tax planning, but if there is a profit after you have taken advantage of all legal deductions, you will pay taxes. Remember, cpa is only Responsible for the numbers they put on a paper but they can always claims that you gave him those numbers. You are always the responsible party when it comes to IRS, not your CPA, unless they made a mistake.
Great question. Check their certifications, their experience working with business taxes and the types of businesses they do business with. Ask them what their top tax strategies are for lowering taxes. Be weary of people who say itemize everything and pay zero taxes. You have to pay taxes, you just don’t want to pay tons of taxes. Ask them what the average % that the businesses they work for have to pay. Ask them what their tax speciality is.
Those are are just a few questions to ask. Also find out what their ideal client looks like and see if your businesses are compatible.
What is your hiring purpose? Do you need consultation or bookkeeping or payroll, taxes etc. For bookkeeping are they a certified ProAdvisor for QuickBooks? Do they know what version of QuickBooks you need for your type of business? Can they relate to you and your business needs?
You can understand them. If you're confused after a conversation with a CPA, keep interviewing until you can find someone who doesn't speak jargon, who can explain the numbers and tax laws at a level you comprehend and is a pleasant conversationalist. A CPA should be a partner in your entrepreneurial dreams. You don't want to dread a trip to the CPA like you dread a trip to the dentist.
Responsiveness, knowledge, willingness to help, customize service to your needs, rather than just cookie cutter services and willing to listen and understand your business . Those are the most complaints we hear when clients talk about their prior cpa’s.
Interview several and make sure they have worked with other businesses like yours. How long they have worked with them and how many. Make sure they are black and white, meaning there are no gray area's they tend to cross or "overlook". How long have they been in business and pay attention to the office staff meaning how do they treat other clients. Ask the clients in the waiting area how long they have worked with them. Strangers will generally tell you details you didn't ask for and that's a good thing.
I agree with all the technical things everyone says to check for, but the thing that you need to make sure is that you can take when that person tells you that you made a mistake. As business owners we sometimes hate rejection. But making a mistake is not rejection it is just an action that we have to learn from. If you don't respect the person you are considering enough to have them tell you that you are wrong and you be able to get excited to hear that something can be fixed, they are probably not the right CPA for you.
Also, they should be friends with as many people at the IRS as possible. After just completing my 9th audit it does make a difference. Just advice from a Dumbass Kansas Dairy Farmer
I would encourage, to assure to meet with your CPA quarterly for the accounting portion and to be educated in your business finance. It’s important this person is well educated in Tax law so that they can advise and provide you will all credits and/or permissible opportunities to help you low your Tax liabilities.
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Those are are just a few questions to ask. Also find out what their ideal client looks like and see if your businesses are compatible.
For bookkeeping are they a certified ProAdvisor for QuickBooks? Do they know what version of QuickBooks you need for your type of business? Can they relate to you and your business needs?
This is where I would start.
You can understand them. If you're confused after a conversation with a CPA, keep interviewing until you can find someone who doesn't speak jargon, who can explain the numbers and tax laws at a level you comprehend and is a pleasant conversationalist. A CPA should be a partner in your entrepreneurial dreams. You don't want to dread a trip to the CPA like you dread a trip to the dentist.
How long have they been in business and pay attention to the office staff meaning how do they treat other clients.
Ask the clients in the waiting area how long they have worked with them. Strangers will generally tell you details you didn't ask for and that's a good thing.
Also, they should be friends with as many people at the IRS as possible. After just completing my 9th audit it does make a difference. Just advice from a Dumbass Kansas Dairy Farmer
I would encourage, to assure to meet with your CPA quarterly for the accounting portion and to be educated in your business finance. It’s important this person is well educated in Tax law so that they can advise and provide you will all credits and/or permissible opportunities to help you low your Tax liabilities.