How to Open a Payroll & Tax Business

Starting a payroll and tax service business can prove to be a rewarding venture. Many companies now outsource all of their payroll and tax needs to an independent service to cut costs and avoid lawsuits. Most individuals would rather hire a professional to file their taxes than take on the task alone to prevent errors and missed deductions. Accurate accounting is absolutely essential for financial success, whether it be on a business or individual level.

Instructions

1. Determine the nature of your business. Decide which services you will offer. Will you handle only payroll and taxes for businesses, or are you going to offer tax preparation to individuals as well?

2. Obtain any necessary licenses to legally operate your business. Check with your local municipalities to ensure your business is operating legally. This may include filing an LLC or DBA or incorporating, depending on your business.

3. Hire qualified professionals. Employ certified accountants to maintain the integrity of your company and facilitate client trust. If you will be the only employee in your business, then you must be a certified accountant.

4. Choose software that is appropriate for your business needs. You can find a large selection of accounting software online at the Find Accounting Software website (see Resources below).

5. Advertise your services. There are avenues of advertising to fit any budget. For a large budget, consider radio or television advertisements. For a smaller budget, pass out business cards everywhere you go and network for word-of-mouth advertising. Placing classified ads also tends to be an economical way to advertise.

Resources

• Find Accounting Software