How Much Does a CPA Cost for a Small Business?

When most people think about hiring a CPA, the first thing that comes to mind is that it will be expensive to hire such a critical member of your team. Though thinking about hiring a CPA can be overwhelming, it doesn’t have to be. Here are a few things to which factor in to how much a CPA is likely to cost a small business:

What Will You Need Your CPA to Do?

CPAs are qualified to help you in a plethora of ways, including business growth, increasing access to capital, filing taxes and so much more. Because of this, you will want to determine what you will need your CPA to do prior to hiring them. Establishing these guidelines will help your CPA determine how much he or she will charge you for his services.

Will They Be Full-Time, Part-Time or Contracted?

Just because you hire a CPA doesn’t mean you have to hire them as a full-time employee. It’s possible to bring on a CPA in a variety of ways. Because of this fact, you should determine immediately what type of employee he or she will be. This will not only help you once tax season arrives, but it will also help you in establishing your working relationship.

Will They Be Hired Only To Do Your Taxes?

Will your CPA be hired only during tax season? If so, your CPA may charge you an hourly fee or a flat rate. Again, you will want to establish ground rules before beginning a business relationship with him or her.

What City/State You Live In?

As with anything else, where you live plays a critical role in how much services will cost for you. For example, a CPA in Little Rock, Arkansas may not be even half as expensive as a CPA in Los Angeles, California.

Image credit: Mark Moz