A Simple Guide to Starting an Accounting Firm
Becoming an accountant: what could be more exciting? The answer is starting your own accounting firm.
Demand for accountants is expected to keep growing steadily at 7 percent from 2020 to 2030. If you’re interested in starting an accounting firm, the effort can be well worth it. However, starting an accounting firm is hard work, so you need to make sure to take it one step at a time.
In this simple guide, we’ll tell you how to start an accounting firm.
Plan It Out
The first step to starting an accounting business is to plan it out carefully. You need to think about all the important factors when launching your business.
Be sure to determine what your startup and ongoing costs will be, who your target market is, and how much you’ll plan to charge customers. The more you can plan out your business ahead of time, the easier time you’ll have when launching and running it.
It’s a good idea to create a thorough business plan. This will help you develop a clear path for success that you can follow as you build your business.
Meet Legal Requirements
Another important step to take when opening an accounting firm is to meet all necessary legal requirements.
You need to be sure that you register your accounting business for taxes and form a legal entity. You’ll need to choose between the common business structures including a sole proprietorship, partnership, limited liability company (LLC), or a corporation.
Additionally, you’ll need to have a CPA certification in order to open an accounting business. You may also need to get other state and local licenses and permits for doing business in your area as well.
Set Up Your Finances
When opening your business, you should also make sure to have all of your finances planned out and all of the necessary technology in place.
It’s important to open a business bank account so that you’ll have better personal asset protection. You should also be sure to set up business accounting and start recording income and various expenses.
In addition to this, be sure you’re well-equipped with technology and prepared to manage it effectively. Be sure to look here to learn how managed IT services can help your CPA firm.
Market Your Firm
After you open your CPA firm, you need to make sure that you have a way to get clients. Make sure that you’ve created a professional website for your accounting firm and that you have a marketing plan in place.
Using traditional advertising methods such as running radio and TV commercials and magazine ads can be helpful. However, you should also make use of digital marketing techniques such as search engine optimization (SEO), content marketing, and online pay-per-click (PPC) advertising as well.
Starting an Accounting Firm With These Tips
If you’re interested in starting an accounting firm, take it one step at a time. Be sure to start with a great plan and meet all legal requirements before opening your business.
Searching for more information on accounting careers and small businesses? Read through our blog now to find more interesting articles.
