FOUR KINDS OF ACCOUNTING FIRMS – WHICH KIND IS RIGHT FOR YOU?
BY JAMES A. SHERMAN, CPA
ADVOCATE ACCOUNTING 7 BUSINESS SERVICES


Did you know that only about 10 percent of accounting firms specialize in businesses with less than 200 employees?  Or that the average accounting firm has less than five years of business experience? 

The other 90% tend to fall into one of three categories – the giant organizations, like the Big Four, that specialize in NYSE and other publicly held firms, and that frankly aren’t interested in your business; or the smaller big firms that serve the middle market, and define the middle market as $100 million annual sales or over, or the small shops that deal primarily with individuals rather than with businesses.

I’ve been working in the Naperville area long enough to know that 90% of the companies here ought to be working with accounting firms in the first category I discussed --  firms that specialize in smaller businesses, that are owner-operated, and that need service and counsel beyond the preparation of tax returns.

Here are some of the things you ought to look at when you go to select an accounting firm:

  • Experience not just at accounting paperwork, but in business and financial decision-making
  • Knowledge of what works for the Fortune 500, and which of their methods are applicable to  entrepreneurs in new and expanding companies 
  • Ability to go beyond the financial statement and provide strategic planning support, reality-based guidance, and a focus on your sustainable growth
  • For new companies, a firm that can advise on and help with  proper incorporation and the development and implementation of appropriate financial systems
  • A commitment to work as part of your team, so you and your staff can focus on your own core competencies, while your accounting firm relieves you of the financial details  

The right kind of accounting firm will help you move your business into fast forward.  Don’t underestimate the contribution the right CPA firm can make to your growth and profits.  If you have any questions about any of these points, don’t hesitate to contact us at 630-778-7333, or This email address is being protected from spam bots, you need Javascript enabled to view it