Do you want to start an accounting consulting company? Or you need a sample accounting consulting business plan template? If YES, then i advice you read on. Have you ever dreamt of becoming your own boss? Did you by chance study Accountancy and are finding it difficult to get your ideal job? You don’t need to worry because your dream of becoming your own boss and still work as an accountant can be fulfilled with little or no start-up capital.

In case you didn’t know, there are loads of small businesses, mom and pop businesses, amongst a few without the faintest idea of any accounting skills. These businesses struggle with their books a lot. Research shows that one of the reasons why many small businesses remain small and sometimes close shop is not because they don’t have clients or capital to run the business but because they fail to keep their books properly. If you are an accountant, then you can leverage on this read to start your own Accounting Business.

You can be sure that your services would always be in demand by those small businesses that can’t afford to hire a full time accountant. They know that it would save them cost and the good thing is that you can handle up to 20 clients per time depending on how organized and hard working you are. Follow these 6 quick steps and you would be able to start and run your own Accounting Consulting Business from home:

Starting an Accounting Consulting Firm – Sample Business Plan Template

1. Study Accountancy

You are required to qualify as an accountant before you can legally practice as one. You become qualified as an account by studying and graduating as an accountant from a college or university. You can also qualify as an account by writing some professional exams and becoming a certified professional.

You must become a certified public account or a certified management accountant so that you command more respect when you talk to your potential client. Sincerely before anybody can take you serious or be willing to hand over their books to you, they would want to know your qualifications.

2. Register Your Business

You would be required to register your business before you can operate in this kind of business or else you stand the chance of being clamped down by regulatory bodies. For the fact that you might be helping small businesses run their books; you would be required to register your business, because that’s the ideal way to do business in the corporate world.

Plus the fact that sometimes most of the government agencies like internal revenue agencies make it mandatory that only registered firm to handle the books of the business they deal with.

3. Conduct Your Feasibility Studies

The wise thing for any business person to do before venturing into any form of business is to conduct a comprehensive feasibility studies. When you do this, you would be able to identify the people that need your services and where you could possibly locate them. You would also get an idea of how much you can charge for your services and how much you can make as profits. With the information gathered, you can proceed to prepare an accounting firm business plan.

4. Set up Your Office

It is important to know that if you are starting your Accounting Consulting business from your house, you should be able to set-up your office unit in a part of your house that is devoid of noise and distraction. You must let your family members know when to come into your office space so that you would be able to do all you need to do and be productive.

If you permit family and friends to take advantage of the fact that you are at home and come in to see you whenever they like, they might affect the quality of your work and you would be prone to mistakes which might make you struggle to meet up with deadlines.

In setting up your office at home, you would need a comfortable office furniture (A Table, 2 or 3 Chairs), Computer (Laptop or Desktop) and Good Accounting Software, Printer, Fax Machine, Trash Can, Telephone, File rack and cabin.

5. Open a Website

If your intention is to reach out to a larger portion of small businesses that operates in your area, then it might be wise to open a website for your business. The good thing about setting up a website is that it would position your business in such a way that people from far and wide would know about you and the kind of business you do.

Good enough people these days run to the internet to get solutions to any of their challenges; and you would be shocked to know the number of people that might click your site to see whether they could get solutions to their business challenges.

Much more than going about to help small business keep their book, you can also consult for small business online. With email transaction and web chat, you will be able to achieve much more for your Accounting Consulting Business.

6. Market and Advertise Your Business

If you drive around your area, you would see loads of mom and pop businesses that are in dire need of an account consultant. What you need to do is to print your handbills and state in clear terms the kind of services you render.

You can distribute your handbills to owners of small businesses and at the same time spend time to talk to them on how they could benefit from your services. You might also decide to organize a free or a highly subsidized seminar or workshop for owners of mom and pop business and take the advantage to market your services them.

No doubt starting your own accounting consulting firm from your home might be a little bit challenging because you would have to motivate and remind yourself that you are supposed to be working rather than watching TV or doing some other stuff around the house.

However, the fact still remains that if you are focused and hand working you would become highly successful and still fulfill your family obligation. Another benefit is that you would save yourself the money that you ought to be paying as rent for an office space annually.

Frequently Asked Questions

  1. How Do You Start Your Own CPA Firm?
  • Conduct your market survey and feasibility studies
  • Learn everything you need to learn about owning and operating a CPA firm
  • Choose a name and register the business
  • Draft a detailed Business Plan and market strategy
  • Secure the needed licenses and permits
  • Apply for an EIN (Employer Identification Number)/Federal Tax ID Number.
  • Open a corporate bank account
  • Lease or rent and equip an office facility
  • Hire employees
  • Promote and Market your CPA firm
  1. Can A CPA Open Their Own Business?

Yes, — being a CPA already gives you a head start on some business basics.

  1. What Are The Kinds Of Services Offered By CPAs In The Practice Of Public Accounting?
  • Audits and reviews.
  • Consulting services.
  • Taxation services.
  • Forensic accounting.
  • Financial planning.
  • Litigation services.
  1. What Is The Difference Between A CPA And A Public Accountant?

A CPA is not the same as an accountant. Typically, an accountant has achieved a bachelor’s degree in accounting. A CPA, or Certified Public Accountant, is a designation earned after completing specific educational and work requirements, and passing an exam.

  1. What Skills Do You Need As An Accountant?

Basic Soft Skills for Accountants are;

  • Strong written and oral communication.
  • Organization and attention to detail.
  • Analytical and problem solving skills.
  • Time management.
  • Systems analysis.
  • Mathematical and deductive reasoning.
  • Critical thinking.
  • Active learning.
  1. What Can A CPA Help Me With?

CPAs can prepare tax documents, file tax returns and provide tax planning advice to help you strategize how you can minimize your tax liability for next year. Also, as mentioned above, CPAs can represent you if the IRS has questions about your tax return.

  1. How Much Does It Cost To Start A CPA Firm?

The start-up costs can range from $2,500 to $25,000. Your location and your goals will determine cost in several ways, including whether you want to start a traditional brick and mortar firm or are looking to create a virtual office environment.

  1. How Much Does A Self Employed CPA Make?

A self employed CPA make an average of $80,702 per year and $6,725 per month.

  1. Can An Accounting Firm Be An S Corp?

Most state laws permit accounting firms (and law firms, engineering firms, medical practices and other professional services) to be S corporations and LLPs; not all state laws permit these firms to be organized as LLCs.

  1. What Are The Biggest Challenges When You’re Running Your Own CPA Firm?

Fighting in the ever-growing competitive environment. Staying updated with technology. Retiring employees. Pressure to remain cost-effective. Meeting clients’ expectations. Standing out and making a difference. Add high-value services beyond tax and audit.

  1. What Happens If You Fail CPA Exam?

If you just failed a section of the CPA exam, you can sit for it in the next month or two. You only need 2-6 weeks to study for this retake assuming you can put in around 15-20 hours per week of CPA exam study time.

  1. How Many Clients Can An Accountant Handle?

An average accountant can work on 30 clients simultaneously.

  1. Is Bookkeeping A Dying Profession?

Although digitalization and modern information technology will continue to transform the bookkeeping profession, at this time, we cannot say that bookkeeping is a dying profession.

  1. What Are The Costs Involved In Opening An Accounting Firm?
  • The cost of registering the business
  • Legal expenses for obtaining licenses and permits
  • The cost of purchasing insurance
  • The cost of renting, equipping and furnishing the office facility
  • The cost of installing signpost and promoting the business
  • The cost of launching a website
  • The cost required to take care of miscellaneous et al
  1. Can A CPA Perform Bookkeeping Services?

Typically, this service is performed in conjunction with bookkeeping or transaction processing services and can be monthly, quarterly or annually. The financial statements are prepared in accordance with an acceptable financial reporting framework.

  1. Can I Work As An Accountant Without Being A CPA?

Yes, an accountant can get a job without being a CPA. If you have an accounting degree, there are opportunities in corporate accounting and finance departments. Nearly all first- year staff at CPA firms are not CPA. They are hired with a degree in accounting and with the expectation that they will take the CPA exam.

  1. Is It Worth Getting A CPA Anymore?

The CPA designation is 100% worth the investment for those who plan to have long-term careers in accounting. Although the CFA designation is more distinguished in the finance and investment community, the CPA credential can still be valuable for those who have aspirations in finance.

  1. Do You Need A CPA For Your Small Business?

Generally, a small business is not required to have a CPA or certified public accountant.

  1. Can CPAs Work From Home?

Yes

  1. Can A Non CPA Own An Accounting Firm?

The Uniform Accountancy Act (UAA) Section 7(c) (1) and (2) allows for non-CPA ownership of firms by requiring that only a simple majority of firm ownership be by licensees. There is 1 state that allows for non-CPA ownership, but has a higher bar than simple majority CPA ownership.

  1. How Much Of A CPA Firm Can A Non-CPA Own?

The AICPA allows a CPA firm to be owned by non-CPAs if the form of ownership is sanctioned by the particular state and if the following guidelines are observed: Fifty-one percent of the ownership (as measured by financial interest and voting rights) must be held by CPAs.

  1. What Services Are Included In The Feedbackwrench Outsourced Accounting Business Model?

Bookkeeping software, Bookkeeping Services, Payroll, Payroll Administration, Pro-active tax planning, personal tax returns, corporate tax returns and financial administration.

  1. How Much Does An Accountant Without A CPA Make?

The Smart Pro salary survey of accountant salaries shows that accountants without a CPA designation earned $53,402 per year on average. This shows a $40,000 difference per year when compared to accountants with a CPA credential.

  1. What Can A CPA Do That No One Else Can Legally Do?

A CPA can do two things which can’t be performed by any other accountant: Preparing reviewed or audited financial statements and then filing a report for the SEC. Representing the clients in front of the IRS.

  1. How Long Does It Take To Pass The CPA Exam?

The average CPA candidate may need 6-12 months to pass the entire CPA Exam.

  1. Is The CPA Exam Difficult?

With national CPA Exam pass rates hovering around 50%, the Uniform CPA Examination is one of the most difficult professional credentialing exams.

  1. Can You Be An Accountant Remotely?

Yes, you can be an accountant remotely. As a remote accountant, you work via the internet as part of an accounting firm or in a freelance capacity, providing services like accounts receivable or accounts payable management to businesses.

  1. Can CPAs Make Over 200k?

Sure, CPA can make 200K if you enter Big 4 and stay 10 years until you become a very experienced senior.

  1. Does Every Business Need An Accountant?

Every business, no matter how small, needs a financial and tax advisor. But your business needs a Certified Public Accountant (CPA), not just an accountant or enrolled agent.

  1. How Much Should I Pay An Accountant For My Small Business?

According to the National Federation of Independent Businesses, there are three common fee structures accountants use: hourly, proposal-based, and fixed-fee structure. With an hourly pricing structure, the accountant charges an hourly rate for their work. This rate could range from $150 – $400 or more per hour.

  1. How Much Should I Charge Someone To Do Their Taxes?

The average cost of hiring a tax professional ranges from $146 to $457. Purchasing tax accounting software can be a less expensive option; it can be free (for simple returns) and for more complex filing options, it will generally cost less than $130.

  1. Is A CPA Better Than An Accountant?

While CPA is more about accounting, CFA is all about finance. Well, to sum up in a matter of few words, CPA offers you opportunities in auditing and accounting. CFA on the other hand is more about investment banking, hedge funds and portfolio management.

  1. How Much Does A CPA Charge For Bookkeeping?

At current market rates, you’ll find a range of hourly rates: Bookkeepers charge between $25/hr and $90/hr. In an accounting work completed by a CPA, you’ll find a range of $150/hr to $450/hr.

  1. What Are Some Insider Tips For Jump Starting An Accounting Firm?
  • Choose a good location and shop facility to launch the business
  • Be deliberate with your marketing sales approach
  • Encourage the use of work of mouth to promote your accounting firm
  • Leverage on all available online and offline platforms to promote your accounting firm
  • Make sure you hire the right set of employees with winning mentality to help you kick start the business.
  1. What Are Some Skills And Experiences That Will Help You Build A Successful Accounting Firm?
  • Customer services skills
  • Interpersonal skill
  • Accounting and bookkeeping skills
  • Business management skills
  • Bargaining skill
  • Business management skills
  • Basic computer skills
  1. What Are The California State Laws That CPA Firms Must Abide By?

According to Corporate Code Section 17375, accountants cannot practice accountancy as an LLC and must form a professional corporation, based on underlying Corporate Code concerning Professional Corporations.

The educational requirements for California CPAs include a minimum of 150 semester hours of undergraduate work that culminate in a bachelor’s degree. As part of these 150 hours, you must have 24 hours of accounting subjects, 24 hours of business subjects, 20 hours of accounting study subjects, and 10 units of ethics.

  1. Who Earns More CPA Or CFA?

CPAs earn anywhere between $40,000 and $120,000 or more, whereas CFA salaries typically fall between $70,000 and $150,000 or more. Overall, the CPA is the more widely recognized, safer, and more traditional path for those interested in a career in finance or accounting.

  1. How Much Should A CPA Charge Per Hour?

Staff and bookkeepers usually cost $50 to $70 per hour while accountants usually bill at $70 to $85 per hour. At those rates, it may seem that hiring a CPA is the way to go! But, consider that a CPA will cost you between $20 and $55 per hour, full-time, with benefits!

  1. What Do Prospective Clients Consider When Deciding How To Choose An Accountant?
  • Ask for a Preparer Tax Identification Number (PTIN)
  • Require a CPA, law license or Enrolled Agent designation.
  • Compare fees.
  • Reconsider tax advisors who don’t e-file.
  • What kinds of clients do you work with?
  • Are you available year round?
  • What’s your experience with the IRS?
  1. Can An Enrolled Agent Own A CPA Firm?

Enrolled agents usually don’t work for a firm. Many CPAs start out in audit firms, but as they accumulate experience, they can launch their own CPA firms and have their own clients.

  1. Where Do CPAs Make The Most Money?

San Francisco, California. Median Annual Salary: $96,099.

  1. How Many Small CPA Firms Are There?

There are around 46,000 CPA firms in the United States and the 500th largest firm has about 20 people and $3 million in revenue. That means 45,500 firms could be considered small businesses.

  1. Do CPAs Make More Than Regular Accountants?

Certified public accountants make more money than accountants without the CPA designation.

  1. Can Accountants Make 6 Figures?

It’s difficult without a CPA license, but not impossible. With a CPA license, it’s by no means assured but well within reach. Talent, hard work, and interpersonal skills play a role, just like with any career – no one just hands out six figure jobs in any field.

  1. Can An Accountant Become A Millionaire?

Accountants don’t usually become millionaires, but it is possible. Generally, to do that, you would need to either work your way up to CFO of a very large company, work your way up to partner of a large accounting firm, or open your own accounting firm and do very well over the years.

  1. Do You Need A CPA To Be A Controller?

Every controller job is unique, but there are universal skills and qualifications that any serious candidate should possess. It starts with a college degree in finance or accounting. Most openings also require a master’s of business administration (MBA) or a certified public accountant (CPA) designation, or both.

  1. What Is The Target Market For Accounting Firms?

Established businesses of more than 50 employees that value an accounting firm that offers comprehensive business planning services, particularly those in the medical/health, dental, and lodging industries amongst others.

  1. How Much Money Can You Make With A Masters In Accounting?

If you get your master’s degree in accounting and earn your CPA, you can also expect higher than average salaries. According to EMSI, the median advertised salary for a CPA with a master’s degree is $82.8K, which is $11.3K higher than the government-recorded median salary for accountants and auditors.

  1. Who Makes More Money CPA Or Lawyer?

On average, lawyers make more money than accountants, particularly right out of school. Attorneys require a broad base of skills that can vary depending on the field they enter.

50. If A CPA License Expired Several Years Ago, How Can It Be Reinstated?
  • Contact the Board’s office for reinstatement information, forms, and fees.
  • Complete 120 hours of relevant CPE, including Professional Ethics. Only CPE hours earned in the three years prior to the application will be accepted.
  • Provide a completed Experience Verification Form (EVF) or letter(s) confirming one year of qualifying experience verified by a licensed CPA. The one year of experience must be within the past four years prior to receipt of the application.
  • The EVF or letter(s) must include the exact dates of employment being verified, a description of job duties and accounting-related experience, and the relationship of the licensed CPA to the applicant. The EVF or letter must include an original signature by the licensed CPA.
  • An individual employed in industry or government who does not have a licensed CPA able to verify the accounting-related experience may submit verification from an outside CPA Firm that has audited or reviewed the financial statements of the company or the agency. In this situation, the individual must submit the following:

(1) a letter from the company or agency that includes the exact dates of employment being verified, a description of responsibilities, and,

(2) a letter from the CPA Firm confirming which years the Firm has audited or reviewed the financial statements and a statement by the CPA Firm as to the individual’s interaction with the auditors.

  • Complete and return the reinstatement application. Your application cannot be processed until all items are included:
  • Payment of the reinstatement fee.
  • Report 120 hours of CPE, including Professional Ethics, on the CPE Report Form sent to you. Attach certificates of completion for all CPE courses listed on the CPE Report Form.
  • Provide the necessary experience verification.
Ajaero Tony Martins