You have finally decided to outsource the financial affairs of your small business in Shreveport to a CPA. It’s that time when you must launch a search and select one that aligns with your requirements. With numerous local accounting firms, how do you choose one? What are the services you can expect? This post talks in detail about the things to expect from a Shreveport accountant.
Table of Contents
An initial free consultation
Even before a CPA or accountant takes over the accounting work, they need to understand what you need and how they can serve your business better. The initial consultation doesn’t have to cost anything, and while meeting in person is always preferable, you can even have a virtual session. They will go through what your company has been doing until now, what difficulties you are facing, and how to address those concerns. The CPA will also explain their services and set the tone for the collaboration.
Accounting setup & management
If you don’t have an accounting system in place yet, there is no better time to start. Your CPA will discuss the accounting software options, such as QuickBooks, which are ideal for smaller companies and startups. They will help with the installation process and ensure the system is secure and easy to manage. They will take care of the bookkeeping work or may teach your team how to record transactions and update the financial details, and that depends on the kind of contract you have.
Bank reconciliation
Reconciling your bank accounts is highly beneficial, and the practice should happen every month or quarter. Bank reconciliation helps understand all transactions, whether checks or payments were lost or missed, and identify issues like excess bank charges. The process also comes in handy to identify and prevent internal fraud and embezzlement of funds. You also get a get sneak peek of how your business is performing and whether there are cash flow issues that must be addressed to avoid operational disruptions.
Preparation of profit and loss statements
There is no better way to evaluate the overall income and losses of your company than creating a detailed statement. A profit and loss statement gives you all the details, including expenses you have incurred and revenues you have earned. You will know whether the spending is within budget, and if not, the CPA and their team will help you get back on track. Well-prepared profit and loss statements are also a great way to understand tax liability.
Preparation of balance sheets
Besides profit and loss statements, a balance sheet also allows you to understand the financial health of the company. You can also check the assets and liabilities in detail to know whether your business is in a position to expand, whether there is a need to work on the cash flow and financial influx, and if there are other issues that must be addressed. Balance sheets are critical for financial reporting and show the profitability of your company to lenders, banks, and suppliers. Your CPA will handle the complex work and ensure accuracy.
Handling tax matters
Your CPA may handle your tax planning and preparation work. They will take care of every aspect, including the identification of tax-saving strategies and deductions, preparing your taxes on time, and ensuring your business responds to all IRS queries. If your company is facing an IRS audit, they will take care of the compliance process and simplify things for your team.
Finally, your accounting firm in Shreveport is also responsible for offering financial advice on an ongoing basis. They will offer insights when you are making financial decisions or wish to expand, diversify, acquire, or merge.