Being a business owner can be difficult at times and it takes specific people to get it done correctly. Below are 4 reasons that CPAs make great business owners.
Weather you just received your accounting degree, or you are still in the process, rest assured you are picking a career path that translates into great business owners.
Here is why:
1. Business is Complex
When you work as a CPA, you will find that you are involved in many facets of the day to day operations of the businesses that you have been employed by. You will learn the skills needed to be an excellent decision maker and will learn how to keep the financials of a business healthy.
You will also learn how the decisions that are made daily by business leaders effect the company’s reputation and the requirements that the government has set in place for the industry in which you are involved.
Another strong characteristic of a CPA is a strong multi-tasking capability. Usually, you will have many things on your plate, both as a CPA or as a business leader. By beginning your career as a CPA, you will be learning how to manage your time and make quick and sound decisions based on the financial security of your company.
2. Excellent at Complex Decision Making
There is quite a bit of decision making involved when it comes to running a business. One field that understands this unique decision making process is the CPA industry. CPAs are faced with decisions each day that are challenging and grow their skills in the decision making department.
They will see the implications that certain decision make on a business. For example, a CPA may understand how to build budgets and delegate funds between departments because they have done so in the past. They will also understand how specific pricing models benefit companies and will be able to make the best decisions in this area as well.
Depending on the specific role that a CPA has played, there are many areas that they may have been a part of throughout their career. They will be able to make decisions based upon compliance and experience and will know the best direction to drive their business towards.
3. They Understand the Language
As a CPA works with different businesses and individuals, they will learn many things about a variety of industries. It is likely that during this time they will not focus on one specific industry to work with, but may find them working with all sizes and types of businesses as they build their portfolio of clients.
Because of this wide variety of knowledge, a CPA will be able to understand the language spoken by a large variety of business owners and will therefore be able to gain quite a bit of knowledge in these different industries.
Understanding a wide range of businesses will be extremely helpful when it comes to opening a business of your own. You will be able to rely on the knowledge that you have gained amongst the industries that you have worked with and will be able to fully understand what you need to do to build your business.
You will also be able to have a wide range of options when it comes time to opening your own business. Many business leaders are forced to stick with one type of industry because their knowledge is limited. However, as a CPA, you will have specific knowledge related to a variety of industries and will therefore be able to vary the type of business that you do choose to open.
4. Are flexible to the changes
Changes are part of everyday life for business owners. This is also something that a CPA must be easily adaptable to because in their industry rules are constantly changing and regulations are being put in place each year that make changes unavoidable.
For example, a CPA may focus a great deal of their time each year preparing tax returns for both individuals and companies. They will understand that there are many tax laws that must be considered each year and will be able to keep informed of these changes as they begin preparation for the next year.
It is typical for rules and regulations to change throughout the year, which makes adaptability important for a CPA. Without keeping informed as to these changes and being prepared to make the required adjustments to the work that they do, a CPA can easily find themselves in trouble when it comes to remaining compliant with the government.
If you are looking for more information regarding just what it takes to become a CPA or about what is involved on a day to day basis, check out the AICPA site (http://www.aicpa.org/Pages/default.aspx ). You will be able to learn these things and much more about the industry.