Whether you’re a grad studying for a credit mark above 120/Msc/MBA or trying to acquire your CPA or have worked 3-5years at a Big 4 company and are tired of climbing the ladder. Becoming a boss is everyone’s biggest dream.
Unfortunately, even when accounting is considered the language of business, it takes more than understanding PNL and auditing to excel as an entrepreneur.
However, there are some businesses that do not make accounting entrepreneurship a far-fetched dream. And that’s what you’re about to discover in the next few minutes.
On this page, uncover;
- 5 most profitable business ideas for accountants.
- Answers to the frequently asked questions about accountant entrepreneurship.
Let’s get started with the discovery list. Also, check out some cool business ideas here.
Uncovering The 3 Most Profitable And Scalable, Easy-Start Businesses For Accountants
1; Starting A Credit Repair Business; Right From Your Home
According to Amazon, credit repair professionals earn an average of $10, 000-$20, 000 every month. These are real numbers backed by the fact that;
- Credit is key in the business world (every day)
- The credit repair business is scalable with credit repair software
- This is a recurring revenue-generating venture.
So, what’s it about?
Well, as a credit score repairer, your job is to achieve the best credit score for your clients by implementing practices that are approved by the Credit Repair Organization Act (CROA). Follow the steps below to start your own credit repair business at home and now.
- Understanding The Laws And Protecting Your Clients
You must abide by the laws set down by the Fair Credit Reporting Act (FCRA) and Credit Repair Organization Act (CROA) in order to run a compliance business. Some of these laws include that you must not ask for an upfront payment and a written contract must be signed by you and your client before the commencement of any work. Also, understand that this business comes with risks that can be hedged by purchasing a credit repair surety bond to protect you and your clients.
- (Optional) Getting Trained And Educated
If you’re a senior auditor for Big 4 companies, this step may not be needed. But for the undergrads, it’s important to get educated on how to create banking and merchant accounts, how to analyze reports and generate leads, how to create and send dispute letters, how to help clients to save money, and more. Though certification is not a part of the requirements, getting certified (even through an online course) will help to build credibility.
- Register Your Business And Create A Billing Plan
The purpose of business registration is to acquire a business account and position yourself as an official service provider. So, go ahead, find out the business registration procedure that’s peculiar to the state you want to operate in. After that, create a pricing plan bearing in mind that most of your competitors charge $80-$135 per month.
- Automating + Scaling + Advertising = Cashing Out
Scaling and automating your credit repair LLC/sole proprietor is achievable through efficient credit software. A typical credit software allows you to automate lead capturing, events and contacts management, emailing, sending of dispute letters, and more. CreditRepairCloud is one of these apps. Anyway, after putting your automation and scaling process in place, use mediums like social media platforms and a website to advertise your business for brand awareness and client acquisition.
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2; Operating A Tax Preparation Business
Now, though, studies show that a lot of tax preparation experts earn an average of $30, 000-$80, 000 every 90 days or less. The truth is, your profitability depends on how good you are at attracting and retaining clients. This is a skill that you need to learn outside of accounting.
And though you’re getting paid for preparing taxes for your clients, however according to the IRS (Internal Revenue Services) you do not need to have a degree in accounting or any educational achievement of any kind to be granted legal approval to operate.
All you need is an IRS Prepare Tax Identification Number to get approved. So, if you’re still in college as an aspiring accountant, this may be one of the best business ideas for accountants like you. Anyway, follow the step-by-step guide below to start your tax preparation business at home.
- Get Your PTIN + Obtain The Technical Know-How + Choose A Business Name
You can easily apply for your PTIN here while you get the necessary education and training from a community college, the IRS, The National Association Of Tax Professionals, A tax preparation company, or an online university. After that, choose a business name that sounds professional and embodies your services.
- Register Your Business + Acquire An EIN + Open A Business Account
If you’re in the united states, CorpNET takes charge of your business registration online. But remember to choose your business structure wisely. In some states, the IRS does not compel LLCs and partnerships to register their businesses but instead to file a DBA. Anyway, after registration, you’re required to acquire an EIN (Employer Identification Number), especially if you’re employing workers for your operations. Another importance of an EIN is that it’s needed during the process of opening a business account. Remember that a business account protects your personal tax and financial records from those of your business.
- Obtaining Licence/Permit + Acquiring EFIN + Purchasing Tax Preparation Software + Marketing
A local license and a permit must be obtained if you’re a non-credentialed tax preparer. And you can acquire them on the official website of the IRS. However, whether credentialed or not, you must also acquire an Electronic Filing Identification Number from the IRS if you want to include filing tax refunds in your services. This process takes a maximum of 45days after submitting an application on the IRS e-provider page. Also, depending on the states you’ll be filing for, the type of clients you’ll be serving, and the kinds of forms you’ll be working with, you need to purchase professional tax preparation software. Finally, promote and market your business and services to build the volume of clients you’ve projected.
See this discovery post on the most profitable business manufacturing ideas.
3; Start A Blog And Monetize Through Selling Accountancy Books, Courses, And Products
Business, finance, and accounting are some of the most profitable niches in the world of blogging. And the good thing is, you don’t need to be a programmer or a software engineer to start. Follow the steps below to get started.
- Choose And Purchase A Domain Name
Your domain name is your business name and the address of your online location. Therefore, it must be easy to remember and be descriptive about your niche. For instance, the domain name TheAccountantDotCom is simpler and accounting-related compared to CookingYourPNLRightDotCom. Once you’ve come up with a name, you can register it for $3-$25 with a host like GoDaddy, DreamHost, NameCheap, or HostGator.
- Build Your Blog With Templates
Now that you have an address, the next thing is to build your online business facility, your blog. While most bloggers prefer WordPress, other pieces of website-building software you can use are SquareSpace, Blogger, WebFlow, and Wix. All of these blog building/managing software equips you with templates and drag-and-drop tools for the fast and easy creation of your blog without any technical knowledge.
- Create Content + Publish + Monetize
Your content can be a series of eBooks, video tutorials, audios, podcasts, and clips that visitors pay to have access to. Another way to monetize your blog as an accountant is to render accounting services like auditing and bookkeeping to businesses online.
See these hottest technology business ideas.
4; Design And Sell Accounting Software
In 2020, the global software development market was valued at $390 billion, and the average software developer earns a minimum salary of $110, 140. What does this mean for an accountant like you? Well, considering that 64.4% of small businesses use accounting software and almost all big businesses use these apps, designing and selling accounting software can be one of the most profitable business ideas for accountants. And the good side is, you don’t need to learn how to code or handle anything technical. Follow the 5-steps guide below.
- Find A Problem
There are over 150 software development ideas out there that you can start with. But, while most of them are highly saturated, others are not in high demand. Therefore, in order to develop pieces of software that will bring you a lot of money without the need to compete in a tight market, market research is important. Ideally, the first step to this is to choose from the 7 main markets; financial management software, project management tool, storage software, CRM software, website and eCommerce software development, and people management software. After that comes reviewing the top-selling pieces in your chosen market to uncover the problems most users experience using them.
- Locate The Best Solutions
As an accountant, you’re expected to combine your knowledge, experience, creativity, and innovation skills to come up with the best solutions for the problems discovered in step 1 above. Now, your innovative solutions could either be the birth of completely new software that’s meant to integrate with and improve the existing faulty ones found in step 1. Or it could be a standalone software that competes with the existing faulty ones. Now, understand that integration software will sell faster because you’re actually riding on the back of a list of established and popular software.
- Get A Designer
After creating the architecture of your software, the next step is to connect with a programmer or developer to convert your ideas into consumable products. Places to look at when hiring a freelance developer are Toptal, CodeMentorX, Github, LinkedIn, DevTeam, Working Nomads, YouTeam, Pilot, MoonLightWork, Fiverr, and Upwork.
- Launch, Promote, And Sell
The 3 final steps. Now, there are hundreds of platforms to launch your accounting software. However, if you want 100% control over your products, create a website for the launching and promotion parts. Make outreaches, campaigns, and promotions on social media platforms too. Now, remember there are lots of ways to sell your software. You can sell as a SaaS (software as a service) that is based on time-limited subscriptions or one-time purchases.
5; Become An Online Tutor And Trainer
The need for financial and accounting knowledge, skills, ideas, operations, and experience is ever on high. As an accounting tutor, you train both employees and employers on how to use accounting software while also infusing school children and undergraduates with financial knowledge. But how do you start? Easy, follow the 3 steps below.
- Perform Market Research And Create Content
Equip yourself with keyword research tools like Ahrefs, SEMRush, or KWFinder to discover high-demand skills, tools, and knowledge. With that info, create video tutorials, audios, eBooks, and or podcasts that are to be sold for cash or use your content to create a subscription-based program that becomes your passive income-generating machine.
- Choose A Platform
Now, choose a platform for the launching and selling of your tutorials. To sell recorded videos via subscription, you can join online course platforms like Udemy, Coursera, or Skillshare. Likewise, you can start a podcast with free apps like Google Podcast, Podcast Addict, TuneIn, Apple Podcast, Stitcher, Audible, and Spotify. And if you’d rather sell live training, Preply and SuperProf are the best places to start.
- Promote And Sell
Finally, start promoting and selling your services. You can promote yourself on Pinterest, LinkedIn, Facebook, and Instagram. Other ways to promote yourself as an online tutor as an accountant is to buy ads through viral blogs in the accounting and finance niche or reach out to influencers and YouTubers for shoutouts.
And that’s it.
Answering The Frequently Asked Questions About Business Ideas For Accountants
How Do Accountants Find Clients?
The first big step is to understand your target client. After that, you can find them through social media platforms, discussion groups, and communities. Also, by building a network with other qualified and professional experts or doing business with like-minds, you can build and grow your client base.
Can I Start My Own Business As An Accountant?
Yes. You just need to realize that possessing entrepreneurship skills like marketing, customer service, analytical and problem solving, leadership and teamwork, and business management skills.
Can An Accountant Work From Home?
Yes. In fact, you can start all of the 3 small business ideas for accountants I have recommended so far from the comfort of your home to start earning over $5, 000 every month.
How Do I Start An Accountant Business?
Well, that depends on the category of services you want to render. Anyway, the 4 fundamental steps to starting an accountant business are to understand your business, create a structure and register your business, get the necessary licenses and get a business account, and finally get business insurance and promote your ventures.
And there you have them. The 3 unique business development ideas for accounting firms and individuals. Remember that profitability is decided by your consistency, entrepreneurship skills, and your ability to scale limitlessly.
Check also: Ultimate Guide To Small Business Ideas