Choosing a New CPA - Question Tips on What to Ask to Find a Good CPA

Ok, so you are looking for a new or different CPA.OR, one lump sum for designated services
Maybe you had a great CPA in the past, maybe you(contracted)?
are just looking for someone new and differentDo you require a retainer? Is the retainer applied to my
because you want to or your feeling as if you couldbalance or is additional money due?
do better if you switched. Whatever your reasons,Often people with a small business require the help of
there are a few things to keep in mind when you area CPA who knows more than tax prep. They need a
choosing a new CPA. Tax filing season is upon us andperson who is willing to also give them business advise.
ideally, your search has begun long before this time ofNot just their business, but their lives in relation to their
the year. The bottom line is that the sooner you getbusiness - vacations (for instance) that can be taken
started, the better, because good relationships have aas business trips. Those kinds of business owners
chance to develop before it's crunch time!need quarterly tax help, business projections, tax
Overwhelmed Accountants are hard pressed in Marchprojections, and generally want a comptroller type of
or April to help a client who is completely new. if youaccountant to watch over them. If you are that kind of
decide to show up at a CPA's office on April 1, hopingbusiness person then another question you need to
to be put first in line for completion of your Schedule Cask is if that accountant is willing to work with you in
and your Corporate tax filing (plus your payroll andthat capacity and what percentage of their client base
1099/1096 filings) - think again. You are more than likelymakes up those kinds of clients. For example, you'll
to be put at the end of the waiting list and will probablywant to know if you can get the numbers you need
have to file an extension.for projections in time for your year-end meetings.
There are important issues that matter beyond yourAnd some business owners want even more help yet
tax preparation. You will need (and want) to find a- they want a CPA who will also do their bookkeeping.
professional who understands - specifically - your typeWatch out for this for the simple reason that a
of business and may understand your personalbookkeeper AND a CPA can work together and a
financial situation too. You'll also want someone youbookkeeper will - in general - charge less than a CPA
feel comfortable with. I have found that it is one of theto do the same work, plus you have the added bonus
most important choices you will make. You are trustingof two set of eyes cross-checking the work of the
someone else with the information that makes up yourother, therefore your chances of theft are lowered.
business, your assets, and your problems. CompleteTheft is big business these days.
confidentiality.Other questions you want to ask include:
Choose a CPA carefully. Most people start looking byIf I am audited by the IRS will you handle the audit for
asking like-minded business owners for referrals,me?
especially if they are in the same industry. For instance,Do you provide correcting general journal entries to my
a restaurant owner is going to want an accountantbookkeeper at the end of the year when my taxes
with experience in restaurants and an auto repairare filed or do you charge extra for that?
business will want someone with experience in autoDo you do on-site visits for tax 'health checkups?'
repair... because their experience in that area isComing from the side of the accountant you want to
important.hear them asking YOU these questions:
Once you have some names to call, make anWhat areas do you need help in? (Corporate taxes,
interview appointment with that person. Do not be shyindividual taxes, business succession, estate planning,
when it comes to asking probing questions about astrategic planning are just a few of the things they
CPA's experience and background. They will beshould be asking you about).
handling all of your issues regarding your financialThe best question will be saved for last by any good
security. It's not out of the ordinary to ask theseaccountant:
questions.Why are you changing accountants? Have a good
Here are some good questions to ask -answer ready because if you answer this one with, "I
Has anyone ever sued you for malpractice?didn't want to pay them," you'll be told by the person
Have you ever been reported for malpractice?you are talking to that they aren't accepting any new
Do you have references? May I have three?clients right now. It's a small community and
When you call the references ask them: (1)How thataccountants call each other.
accountant works with them and (2) Whether or notFinding a good CPA and bookkeeper can be scary, so
they are satisfied with the service they are getting.use these simple tips to get yourself started.
Do I pay by the hour as I go along?