Free consult & free copy of book

E-Myth – “Why most small businesses don’t work & what to do about it”

Contact Us


Most 5 star CPA Google reviews in Canada

Read Reviews

Chartered Professional Accountants E Myth

1 Fixed Monthly Fee - Planning | Accounting | Taxes | Consulting

Helping Canadian businesses beat the odds!

Edmonton Accountant | Are Multi-person Accounting Firms Better

Entrepreneurs often do not know how to hire an Edmonton accountant for their business, and make several mistakes in the process. However, hiring the right accountant early on in a business is extremely important. The reason for this is because you are such a high failure rate of small businesses in Canada. Industry Canada says that 15% of all entrepreneurs will fail in their first year of business, and 30% will fail in their second. Therefore entrepreneurs need to understand how extremely important it is to have a great accountant early on in their business. If they wait until there in business for one or two years before finding the best accountant, the put their business at risk of failing before they can get to that point.

When entrepreneurs are looking for an Edmonton accountant to hire, they should hire based on service first. What is going to help entrepreneurs avoid failing in business is having a great business plan. Not only can entrepreneurs use this business plan to avoid some of the most common reasons why businesses fail such as running out of money or not being able to find a market for their product, but business plans are also going to help them create a plan of growth to help their business become successful. Therefore, business owners should be looking for and accounting firm that does business plans, and does them consistently and effectively.

By hiring a single person accounting firm, entrepreneurs are going to be less likely to be able end up with a great business plan that is going to help them grow. The reason for this is because smaller single person accounting firms tend to get extremely busy doing all of the administrative work of the firm, instead of working on the higher level activities. Instead, if entrepreneurs look for in Edmonton accountant that has more than one accountant on staff, chances are hire that they are going to be able to do business plans very efficiently. One of the reasons this is true, is because larger accounting firms will be able to hire accounting students. Accounting students typically have already completed their four-year degree, but just need three years of apprenticing with an accountant in order to complete their designation. Therefore their extremely knowledgeable and talented, and can very efficiently and effectively do all of the administrative tasks of the firm. When they do this, it frees up the tenured chartered professional accountants to work on business plans for entrepreneurs. Therefore, entrepreneurs should understand that a larger accounting firm will be more likely to be able to consistently do the business plans.

The hiring an Edmonton accountant based on how well they do their business plans can ensure that an entrepreneur ends up with the business plan early on other business that can help them stay in business longer and beat the odds. Doing this as early as possible in their business can be a huge benefit to entrepreneurs.

Edmonton Accountant | Are Multi-person Accounting Firms Better

As a small business owner, entrepreneurs need to know how to be very frugal with their money and cut costs wherever possible, however the last place that entrepreneurs should try to save money is when they hire their Edmonton accountant. Cost minimization is extremely important, but the reason why entrepreneurs should not do that with an accountant, is because the importance of accounting services. Many entrepreneurs believe that all their accountant does is file their year-end taxes. However, a great accountant will be able to help entrepreneurs create a business plan to grow their business, and help them with their tax planning to help them reduce the taxes that they pay. Growing a business and minimizing the taxes is more important than saving accounting fees. And besides, a great accountant is going to be able to save an entrepreneur more in taxes and help them grow their business to a degree that therefore the is not going to make a big difference to an entrepreneurs bottom line.

Larger multi-person accounting firms typically hire students, which allows these accounting firms to be able to hand off their administrative duties to the students who are extremely knowledgeable and capable, while the more experienced accountants work on business plan and tax minimization plans. If an entrepreneur hires a single person Edmonton accountant to work on their accounting, they may end up not getting the services that they need, because the single person accountant has no one to help them with their administrative duties. These duties are not just important, their mandatory as part of the accounting firm, therefore a small company may get extremely backlogged with these necessary tasks. A multiperson accounting firm can avoid this issue by using students, meaning that they can consistently do business plans for business owners.

Another way that a larger Edmonton accountant firm is able to help entrepreneurs is through problem-solving and troubleshooting. By having more than one accountant on staff, they are more likely to be able to have seen more problems as well as more businesses and can offer more solutions regardless of what the problem that the entrepreneurs facing. Chances are even high that one of those accountants has seen a business is similar to the entrepreneurs before, meaning that they are extremely well-equipped to help entrepreneurs figure out solutions to their problems. Even if they do not already have a solution from a problem that they saw that similar, a larger number of accountants working in a firm mean that they can work together to solve a problem. By hiring a single person accounting firm, that accountant might struggle with trying to find the solution to a problem because they have no one to help them with it.

Hiring the right accountant is extremely important to entrepreneurs, it can help them become successful and grow their business while minimizing the taxes that they pay. They should hire a firm based on level of service and not based on expense.