Can CPA Start a Successful Bookkeeping Business?

Yes, a Certified Public Accountant can start a bookkeeping business, in today's time, many people ask for consultation from a professional accounting firm, making it the most profitable business. A bookkeeping business focuses on managing the income and the expenses, also it practices processing payroll and prepares tax returns for clients, and a person with the knowledge and who comes from the tax background would be familiar with bookkeeping and accounting business.

A CPA is very well known with the principles of accounting, financial and business concepts, tax, law, etc. Many organizations hire CPA as a finance manager, financial analyst, financial officer, and many different roles. Because CPAs are known for the accounting fundamentals, they can easily start a successful bookkeeping business.

Before starting a business, the most common question that arises is how to start? How can one be successful by starting an accounting firm? While starting a CPA firm from scratch, few points should be kept in mind, such as creating a business plan, getting the right accounting software, and market your bookkeeping business.

1. Create a Business Plan 

 To start a full-time accounting firm, one should visualize and bring down to action the business plan. A perfect plan would help you by obtaining funds for the business. Every aspect should be covered while planning your accounting business, such as what services would be provided, what would be the marketing strategies for the services, the location where you are planning to set up your CPA office, and is it covering the area of your target customers and always keep an eye on the competition in the field.

You should also practice creating yearly profit and loss projections, a cash flow statement, and a balance sheet.

2.  Getting the Right Accounting Software

 The world is now moving towards technology, so one should aim to work efficiently and quickly. While starting a CPA business, the primary investment should be made into the computer software to make the work a lot easier. Some software includes – Bookkeeping/accounting software, practice management software, electronic file-sharing/management.

 3. Market your Bookkeeping Business

 If you start a CPA firm from scratch, then marketing the accounting business and making people aware of the accounting firm should be on your must-to-do list. You can create a website where you can provide services online and charge for the same.

Starting any accounting firm from scratch is similar to starting any small business, it demands a lot of hard work. The purpose, goal, and market should be planned. No business can run alone, similarly, while starting a CPA business, one needs to hire employees, develop internal policies and rules, create a business bank account, and along with it, fulfill some requirements and documentations.

Starting any business firm from scratch is not a cakewalk, but if a person is well known with the skills required for starting an accounting business and can work harder to achieve the desired targets, it would provide an excellent opportunity ahead.