As a freelancer, our tribe is most important. We’ve discussed in our latest blog Building and Finding Your Freelance Tribe the importance of building your tribe and what “tribers” should be included in your circle. One of the members that is absolutely imperative to your tribe is having a CPA. A CPA is 100 percent necessary to legitimizing your freelance business and making sure you are up to speed on all things finance.
We couldn’t run Uncompany without the help from our very own CPA Chad Collins. Chad understands the freelance business to its core and we’ve interviewed him to share with us some advice for our fellow freelancers.
Tell us a bit about where you came from and what you do?
I grew up in Stokes County, North Carolina on a farm. I currently am an accountant living in Greensboro, North Carolina but serve clients across North Carolina and the United States.
Why do you love doing what you do?
I love helping people navigate the intricate maze known as the United States Tax code, as well as, provide entrepreneurs and freelancers business and tax advice to grow their businesses.
If you could give freelancers 3 things to do when setting up their business what would you recommend?
– Hire an accountant 🙂
– Open a business bank account
– Write a business plan
– Find a good accounting software that will allow them to capture revenue and expenses
How can freelancers save themselves from the tax penalty panic?
The main thing freelancers can do to avoid the tax penalty panic is to make quarterly estimated tax payments.
What are your recommended tools/software?
I am a fan of Quickbooks Online for accounting software.
I love Tsheets for time tracking.
Triplog Mileage for capturing those business miles.
What’s one mistake you see your freelancers making consistently?
Not capturing their expenses! The biggest way to minimize your tax liability is to have a good accounting system.
How do freelancers identify the right accountant for the stage of their business?
The biggest factor in finding the right accountant is finding someone that understands freelancers and how they work!
Anything else you’d like to share?
Documentation and record keeping is the primary take away. Keep those records to substantiate the business expenses is key.
Looking for a CPA yourself? Chad is accepting new clients and you can learn more about setting up an appointment with Chad as well as the services he provides here.