Accountant for your Business

By Debby Winters

As tax time has approached us, my clients have asked me to recommend a business accountant for them. I always give out a list with more than one accountant on it as each business has different needs.  In writing this blog on things to look for in a business accountant, I should say that while there are many aspects of your business that you can handle on your own, accounting is one worth turning over to a professional. Accounting goes far beyond simply sending invoices and tracking expenses; a good accountant can and should also help you with your taxes, as well as find ways to keep cash flowing.

What are your needs and who can meet them?

In addition to accountants, there are also bookkeepers and Certified Public Accountants that provide slightly different services from one another. A bookkeeper will set up your accounting software and enter receipts and invoices into the system weekly or monthly. A bookkeeper can also handle payroll data and quarterly taxes, as well as create monthly financial statements like balance sheets and cash flow statements. If your needs are simple and you don’t need help preparing your tax return, a bookkeeper may fit the bill.

An accountant, on the other hand, takes on more of the day-to-day bookkeeping needs of your company. An accountant can do everything that a bookkeeper can, with the addition of being able to prepare business taxes. Accountants are typically trained to interpret and analyze financial data, and you’ll pay more for the privilege.

And finally, a Certified Public Accountant (CPA) is an accountant who has passed a rigorous state exam. They’re the only one of the bunch that can certify an audit. They also provide tax planning, and are highly qualified experts. Naturally, they’re the most expensive option.

Ideally, the accountant or bookkeeper you end up working with will have experience with both small businesses and your industry. If you are unfamiliar with accounting terms like depreciation, chart of accounts, and cost of goods sold, you’ll want an accountant who will be patient at explaining it all to you. Remember: even if you hand your finances over to a professional, you still need to understand them. A good accounting partner will be communicative about the process, and will be willing to teach you.

You can hire an individual that works for several companies as a consultant, a smaller accounting firm, or a larger practice. One of the first two options, the individual or small firm usually offer more affordable service that tend to be more one-on-one, so you might want to start there. Keep in mind your needs include your budget so if you are trying to stay lean, hire the less expensive option.

Questions to ask before hiring

Some of the questions you should ask each provider or firm include:

  • What accounting software do you use?
  • Do you provide software setup?
  • Do you provide monthly bookkeeping?
  • What is your hourly rate?
  • Can you provide three small business references?
  • Do you work onsite at the client location?
  • What industries do you specialize in?
  • Do you also prepare business taxes?

You want to find an accountant who you can trust with your finances, and who will be with you for years to come. Don’t overlook how important the selection process is, and spend enough time on it to find the best fit for your company. Good luck finding the right person to meet the needs of your business!

Basketball Madness!

By Debby Winters

You may be wondering if your business can make money off the Basketball Madness, referred to as “March Madness” that ends tonight with the final game. I don’t recommend it!

The NCAA is serious about registering trademarks. It has not only trademarked the phrase March Madness® but has also filed for Elite Eight, NCAA Sweet Sixteen, March Mayhem, and The Big Dance. Therefore proceed with caution when making reference to the NCAA tournament in any way. It is also recommend that you avoid blatant basketball imagery such as basketballs and hoops, since these might be argued to imply an association with the NCAA event. Basketball Madness is BIG Business!

Just to be on the safe side, you can always pursue a license to use the phrases protected by trademark registration. The NCAA’s trademarks (like many NCAA teams) are managed by a company called the Collegiate Licensing Company. The fees just to apply for a license will cost anywhere from $4,500 to $21,000 or more, and this doesn’t include the royalties you’ll be paying! For sure it isn’t cheap!  The better way to go is to avoid using these trademarked phrases all together.

AND don’t think that you can use the terms and they won’t notice. In recent years, the NCAA has ramped up its trademark enforcement efforts, sending hundreds of cease-and-desist letters to those who use its trademarks in even the most innocuous ways. According to the NCAA, it does not matter that an accused infringer’s business has absolutely nothing to do with athletics. Indeed, the NCAA has demanded that travel booking websites take down offerings that advertise Final Four trips. The NCAA was also successful in a trademark dispute with an adult website that displayed a bracket featuring porn stars alongside naughty plays-on-words utilizing the NCAA’s trademarks. The NCAA doesn’t let anyone use their trademarked phrases!

My advice is to stay away from these entirely. Instead, think about the other intellectual property that surrounds basketball. The basket ball itself was patented in 1929 U.S. Patent 1718305.  Then there’s the patent for the basketball basket U.S. Patent 2061152 and the basketball shoe U.S. Patent 1962526. If the final game between the Blue Devils of Duke and the Wisconsin Badgers isn’t exciting enough tonight, read some of these original patents for fun!

May the best team win!

Michael Jackson’s Magic Shoes Patent

By Debby Winters

Ever wonder how Michael Jackson was able to defy gravity and perform his famous moon walk? Although there was a slot in the heel of the original shoes that engaged with a peg and was used to raise and protrude through the stage floor when activated, he did in fact receive a patent for the shoes that he later went on to wear for live performances. To learn more about these “magic shoes,” read the blog post “Michael Jackson’s “anti-gravity” patent” where you also can view the drawings from the patent.