Most people have hired an accountant at some point, whether for taxes or some more complex financial issue. For most businesses, accountants are vital, keeping corporate finances under control.
Of course, not all accounting firms are created equal. There’s a world of difference between big accounting firms and smaller ones, but it’s not always clear what advantages big accounting firms can offer.
A big accounting firm is able to offer more services and can usually guarantee a higher caliber of accountants. While smaller firms may be serviceable for some companies, they can’t compare to large firms.
Read on to learn five qualities of big accounting firms–starting with the so-called big four accounting firms.
1. What Are the Big Four Accounting Firms?
It’s impossible to talk about big accounting firms without discussing the big four. The big four accounting firms are titans of the industry: Deloitte, PricewaterhouseCoopers, Ernst & Young, and KPMG.
Each company is built out of several smaller corporations, networked together under a single banner. Together, these four giant firms audit the majority of all public companies in America.
2. They Only Hire the Best
One of the biggest benefits of hiring a large accounting firm is that they have high standards for hiring people. There’s a difference between a CPA and an accountant–big firms can offer the former.
CPA stands for chartered professional accountant. Anyone can claim to be an accountant; a CPA license proves that an accountant actually knows what they’re doing. There’s no guarantee a non-CPA is qualified for the job.
3. They Can Handle Your Tax Needs
When people think about accounting firms, taxes are the first thing that comes to mind. Many people and businesses turn to accounting firms to help file their annual tax returns.
Big accounting firms can offer a suite of tax-related services. Not only can they file taxes, but they can also perform audits and other corporate finance services that make your taxes more accurate.
4. They Offer Consulting Services
While tax help can be invaluable, big accounting firms are more prized for their highly useful consultation. There are many fields that an accounting firm can offer advice about.
Financial advice in the form of assurance services and actuarial work is common, but many accounting firms offer other forms of consultation, too. Management consulting is a keystone of many large firms.
5. They Provide Legal Assistance
While these services are less pronounced, the big four accounting firms do offer legal aid in many areas. The integration of legal networks and big accounting firms has been slowly growing for the last few decades.
It’s a sensible combination; companies work closely with accounting firms in the complex fields of finance and taxation. Why not hire a trusted law firm for help in the courtroom, too?
The Benefits of Big Accounting Firms
Big accounting firms offer a wide array of benefits compared to smaller firms. They can provide you with a licensed and experienced CPA, on top of services like consultation and legal aid.
Hiring the right CPA firm is key if you want to safely manage finances, either for business or for yourself. For more advice on money management, investment, and more, visit our finance blog!