Businesses rely on multiple service providers to operate. Finding the right service providers can make the difference between building an excellent reputation and attracting new clients or failing to attract customers and closing their doors.
Financial service providers include bankers, investors, insurance agents, and accountants. Accounting firms may offer international or domestic services, and finding the right firm is crucial. Read on to learn about what accountants do, the difference between international and domestic accounting, and why every company should invest in the best accounting firm.
What is an accountant?
Accountants are highly trained financial experts. Individuals must have a bachelor’s degree in a relevant discipline, such as accounting or business, to become accountants. Accountants in the U.S. must also be licensed Certified Public Accountants (CPAs) if they file with the Securities and Exchange Commission (SEC). After passing the national CPA examination, CPAs receive a license from their state. CPAs must take continuing education courses to retain their CPA license.
Accountants may work for large companies, firms, or small businesses. These financial experts prepare financial reports for clients. They also review existing financial documents to ensure their accuracy. Accountants may complete business taxes to determine how much money a company owes. Some accountants review expense reports to identify ways companies can reduce their expenses or generate more revenue.
Accountants also ensure their clients comply with applicable financial regulations. They may review ledgers kept by bookkeepers, including payroll reports, to ensure accuracy and determine if the company complied with local, state, and federal regulations. All the work performed by an accountant can be subject to an audit to ensure accuracy.
What is domestic accounting?
Domestic accounting refers to accounting for companies primarily operating in one country. Companies that operate in the U.S. and have U.S. investors and clients must comply with U.S. accounting regulations. Domestic accounting firms ensure public companies comply with Securities and Exchange Commission (SEC) guidelines. They’re responsible for upholding the Generally Accepted Accounting Principles (GAAP) in the United States. They also apply Internal Revenue Service (IRS) guidelines to U.S. business taxes to ensure taxes are filed correctly.
When choosing from outsourced accounting firms, ensure they offer the services your business needs. Outsourced accounting services include daily bookkeeping, account reconciliation, budgeting, expense forecasting, cash flow management, and growth planning. With eCommerce accounting services, a group of accounting experts will craft strategies to help your business grow. Reputable outsourced firms also provide strategic tax planning services, ensuring you enjoy the peace of mind that comes from knowing your company capitalizes on all the tax benefits available.
What is international accounting?
The International Financial Reporting Standards (IFRS) Foundation and International Accounting Standards Board maintain standards for international accounting practices. These standards facilitate international trade and make it easier for companies to expand beyond their national borders.
Accounting companies such as MarcumBP.com, for example, make it possible for Chinese companies to operate in the United States. Marcum BP complies with SEC regulations. They also offer forensic accounting services for international clients who want to invest in China and expand their company and launch operations in China. Clients receive expert guidance about international taxes and applicable regulations, ensuring business owners make informed financial decisions. They have expert international staff teams, with offices in major cities across the U.S., like New York City, and China, like Tianjin or Guangzhou.
How can using an accounting firm benefit your company?
Accounting firms hire qualified accounting and bookkeeping professionals, ensuring their clients receive expert accounting services at affordable rates. Hiring an external firm ensures continuity of care because you don’t have to worry about tasks backing up when your company’s accountant goes on vacation. Outsourced firms ensure team members step in to maintain continuity of services.
You can also save money hiring a firm instead of a staff accountant because you don’t have to provide staff benefits to your firm.
Domestic and international accounting companies provide accounting services to clients and ensure accounts comply with national and international accounting regulations. Accounting firms offer various services, including tax planning and preparation services, bookkeeping services, and account reconciliation services. Companies benefit from contracting firms for their accounting needs because they can save money while ensuring they maintain continuity of services.