The job of chartered accountants (CAs) is challenging as well as a rewarding one. It involves extracting meaningful information from tons of financial data that help organisations undertake critical business decisions. The job also requires logical thinking and reasoning.
To cater to a larger clientele and remain competitive, here are some essential things a practising CA must keep in mind.
Tip 1: Effective management of audit
Auditing is an important aspect of CA's job. It plays an essential role in preventing frauds that can hurt the image of an organisation and erode its revenues. For effective management of audit, every CA must:
- Prepare a well-thought audit plan considering the nature, timing, and extent of the audit procedure
- Develop a structure allowing timely sharing of information with every team member
- Balance assignment to team members according to their knowledge and skills
- Develop policies to delegate the audit work among the audit team effectively and establish accountability
Tip 2: Investment in technology
Adopting technology in practice helps CAs analyse large data volumes precisely with minimal chances of error. It helps boost productivity as well. For example, deploying AI tools to analyse lease accounting data can bring down the time to file a report. These tools can themselves analyse a good percentage of data, leaving the rest for humans.
Similarly, practice management software helps CAs store data on a single-hosted platform. Doing so leads to better visibility. Depending on the features, the price of such software can go well above Rs. 1.5 lakh.
You can make investments in technology with a customised loan for CAs. The loan offers funds up to Rs. 55 lakh.
Tip 3: Knowledge of effective tax management for diverse clients
Individuals, as well as companies, depend on CAs to manage their taxes better. Income tax is a vast domain. It includes various sections defining the provisions of income and the calculations for the collection of tax amounts.
CAs cater to diverse clients. They should know the provisions of effective tax management for clients in various sectors. A practising CA must be proficient in all the provisions of the Income Tax Act 1961. The CA should be aware of various exemptions, deductions, and tax holidays. Also, CAs need to know how to manage clients' taxes and save them in the best possible manner.
To access and manage data for effective tax management, CAs may need to make some investments. Business loans for CAs help you cater to the accounts-related problems of your clients faster. You can use the funds to invest in technology or implement a CRM system. The funds also can help to meet immediate and unexpected cash needs, and much more.
Tip 4: Focus on employee training
Employee training improves audit quality and personnel satisfaction, thus helping CAs to increase their income per employee. It also reduces employee turnover costs that can financially pinch a CA. In addition, employee training programs act as a source of motivation for employees. Finally, it also leads to lower attrition that contributes to better productivity and robust customer service.
Additional read: How to use a Chartered Accountant loan to strengthen your practice
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