As the 2011 tax season gets underway, many small business owners will be seeking the assistance of professional tax preparers to help them through the process. But in an effort to save money, they may end up shortchanging themselves. Here are three reasons why a long-term financial adviser may more adequately fulfill the needs of your small business as opposed to a tax preparer:
- Lack of familiarity with your industry or your location. Many qualified tax preparers may be limited in their knowledge of various industries as well as the legal requirements across state lines. Many qualified accountants, CPA’s and tax attorneys on the other hand are more likely to have this knowledge and to have worked with a wide range of clients.
- Limited, long-term financial advice. Those business owners who solely opt for a tax preparer miss out on all the financial advise that an experienced accountant, CPA, or tax attorney can offer.
- Less commitment. While choosing to use the services of a qualified tax preparer may help you come tax time, there is no relationship beyond that. By using a financial adviser year round, that person will be more involved in your business and is thus more likely to be committed to helping your business out.
In short, while using the service of a professional tax preparer can help take the off burden of filing your business’ tax return, by choosing a more long-term arrangement with a qualified financial adviser you’ll end up getting so much more.