| The process of SELECTING
A CPA requires careful consideration of several criteria. As a trusted financial advisor,
your CPA will work closely with you or your company on a variety of issues, so you want to
be sure you are confident in your selection. The information contained in this section is
intended to assist you as you make a critically important decision for your future or that
of your company. Among the most
important criteria you should evaluate in selecting a CPA are:
EXPERIENCE
How many years has the CPA been practicing?
What did he or she do before becoming a CPA? Whether you would prefer to select someone
just out of college, or one who has 25 years of experience, you must be comfortable with
the level of experience in the CPA you select.
EDUCATION
Where did the CPA attend college? When did
he/she graduate? What degree was conferred? Any graduate-level education? Although all
CPAs must pass an intense four-part exam before becoming a certified public accountant,
regardless of schooling, it still may be useful for you to learn more about the
educational background.
TRAINING
A college education and passing the CPA exam
are only the beginning steps in an accountant's career. What additional training has the
CPA undergone? In what areas? Most states require that CPAs undergo regular
"continuing professional education" (CPE) in order to retain a license. How many
hours of CPE credit has the CPA earned during the last year? What classes does he/she
attend to receive the continuing education?
RESOURCES
No two clients are alike, and specific
questions are bound to develop as the CPA handles your financial matters. What resources
are available to the CPA when he/she has questions which need to be researched? To whom
does he/she turn for advice?
AREA OF CONCENTRATION
Depending upon your needs, you may want to
select a CPA who concentrates his/her practice in a particular area. If you own several
franchises, you may want to select a CPA who primarily services the franchising industry.
If you are in the health care industry, you may be more confident in SELECTING A CPA who
has dedicated his/her practice to providing the highest quality of financial and
consulting services to your industry. Does the CPA concentrate his/her practice in any
particular area? What percentage of his/her business is in that area? How does he/she stay
abreast of trends and developments in that industry? Does he/she belong to any related
trade organizations?
SIZE OF
FIRM
There is no "perfect" size firm in
the accounting industry. You may feel more comfortable working with a sole practitioner,
or you may prefer an international accounting firm with offices around the world and
thousands of CPAs on staff. Try to interview CPAs in different size firms, and make the
choice best for you.
PROFESSIONAL AND COMMUNITY
INVOLVEMENT
What professional associations does he/she
belong to? Why? Is he/she involved in any leadership capacity in the association(s)? Is
he/she involved in the community? In what way? These questions will be more important to
some clients than others, but they will elicit helpful information you might use in making
your selection.
PRICE
Although some prospective clients may be
hesitant to ask questions about pricing, any responsible CPA will welcome an opportunity
during the selection process to explain the billing fees and procedures. Will the work be
charged on an hourly basis? If so, at what rate? What if a support-staff person performs
work? Will that be billed at a different rate? How frequent is the billing?
CHEMISTRY
All CPAs must meet rigid professional
standards in order to maintain their license, and the accounting industry as a whole
adheres to a strong ethical code. But as no two clients are alike, not all CPAs are
exactly alike. After you have learned about experience, education, etc., take the time to
learn about the person you will be trusting with your financial matters. Subjective as
this may sound, pay attention to your instinct.
REFERENCES
If you did not first learn about the CPA from
a referral, you might want to ask for a list of references. Take a few moments to contact
current clients to gauge their level of satisfaction.
SELECTION
METHOD
There are literally hundreds of thousands of
CPAs in the United States, so how do you go about identifying those you might consider
retaining? Person-to-person referrals are probably the most common means, but you might
also consider contacting your state's CPA society.
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