From tax planning to payroll processing, streamlined accounting is a crucial component of any successful business. While some companies may opt to keep these financial services in-house, there are many advantages to hiring a third-party accountant. If you’re looking for a way to improve your organization’s fiscal health, here are five reasons why you should outsource a CPA.

5 Benefits of Hiring a Third-Party Accountant for Your Business

1. Lower Costs  

Hiring in-house can be expensive. Rather than paying for full-time salaries, benefits, and onboarding costs, you can use a portion of those funds to hire a third-party CPA. Knowing a certified professional is tending to your financial matters will also let you focus on other aspects of your business for greater productivity.

2. Regulatory Compliance

Tax codes and financial laws change often. Certified public accountants keep up-to-date with these regulations to ensure your taxes are fully compliant, helping you avoid penalties and other charges that may arise from mistakes. CPAs are also qualified to represent your company if you’re audited by the IRS.

3. Tax Planning

In addition to helping you avoid penalties, third-party accountants will help you develop a solid tax planning process. As professionals who are aware of new opportunities—such as tax credits and deductions—CPAs can reduce the amount you owe to the IRS while remaining compliant. If you’re uncertain about financial moves, they can also provide insight into how these strategies may impact your future tax expenses.

4. Fraud Prevention

When your accounting is kept in-house, a lack of internal controls can result in a higher risk of fraud. Putting accounting into the hands of third-party professionals can minimize the potential for employee fraud and catch concerns early on before they escalate.

5. Strategic Business Growth

With a comprehensive knowledge of business development and economic trends, third-party CPAs can act as financial consultants to help you navigate growth opportunities and avoid risks. After becoming familiar with your organization’s performance, they can detail your organization’s fiscal trajectory and determine if certain business decisions are appropriate given current market conditions, such as opening a new location or launching a new product.

Whether you’re looking to boost your company’s strategic growth or eliminate extraneous costs, Daren Katayama CPA will help improve and protect your business finances. Serving clients throughout the Big Island has earned this Kailua-Kona, HI, accountant an A+ rating from the Better Business Bureau®. He provides custom solutions to fit your business needs, including bookkeeping, tax planning, and financial consulting. To learn more about these services, visit the CPA online or call (808) 329-6635.