PROACTIVE vs. REACTIVE: How Does Your Tax & Accounting Professional Measure Up?

One of the very first traits learned by every new hire in public accounting is the mantra of “Same As Last Year” (i.e. “SALY”). Why is it that our Tax & Accounting Professionals are taught to be so focused on historical figures? Yes, history serves a purpose. We can analyze trends, learn from mistakes, and improve performance based on historical facts. However, with today’s economic challenges, we need Tax & Accounting Professionals that are PROACTIVE not REACTIVE.

With tax season upon us, many business owners await the dreaded news and the fate of their current year cash flow. Many business owners end up robbing current year profits to pay for last year’s tax bill. There is a better way of life and success for your business. It is critical to find a Tax & Accounting Professional that is PROACTIVE and has the following traits:

• VISION: Your Tax & Accounting Professional should know you personally and have a clear understanding of your path to success. Do you know what that path is? Are you both on the same page and working together as business partners? A famous proverb reads “where this is no vision, the people perish”.
• COMMUNICATION: When business economics change or new legislation is passed, does your Tax & Accounting Professional contact you immediately to discuss the impact on your business, or do you find out next year during tax season after it is too late to do anything about it? Does your Tax & Accounting Professional clearly communicate the necessary steps for you to reach your financial goals?
• EXPERIENCE: Does your Tax & Accounting Professional know how to do more than prepare a tax return or a financial statement? You want professionals that understand business. You want professionals that can navigate through the rapidly changing business environment. Look for professionals that come to the table with deep experience in more than just preparing tax returns and accounting reports.