CPA Practices

CPA Practices

Overview

The 52,900 CPA practices in the US provide accounting, tax preparation, and auditing services to businesses, non-profit organizations, and individuals. Tax preparation and tax planning work for organizations and individuals comprise about one-third of overall CPA client fees, but are typically over half of client fees for smaller firms. Tax work is about evenly split between individuals and organizations. About 41% of firms are single CPA practices with no employees. CPAs are licensed by their State Board of Accountancy.

Client Retention

As the economy improves, CPA firms are focusing on attracting new clients, but client retention remains a concern for many practices.

Changing Tax Laws and Accounting Standards

Keeping up with changes in complex tax laws and accounting rules is a major challenge for CPA practices, particularly smaller ones.