LOCAL PROCUREMENT Businesses interested in selling their goods or services to local units of government should contact each locality. Outside the immediate Twin Cities area the local city clerk or county auditor is the best first step in determining the potential for sales to local governments. Contact information for the various federal, state, county, city and other procurement /purchasing certification offices are listed in the Procurement/Purchasing/Certification/Other Assistance section of the Resource Directory of this Guide.
ACCOUNTING AND TAX ASSISTANCE
PUBLIC ACCOUNTANTS A Certified Public Accountant (CPA) is a person licensed and certified by the state for professional competence and experience in the field of accounting whose education and experience background includes: completion of a college accounting program; passing a rigorous exam in accounting, auditing, income taxes and business law; qualifying for certification by the State Board of Accountancy; practicing according to a strict code of ethics; meeting continuing education requirements; and passing a peer review of their policies and procedures every three years. A Licensed Public Accountant (LPA) is also licensed by the state without having passed an examination. An LPA provides many of the same functions as a CPA and is also required to meet ongoing continuing professional education and peer review. CPAs are qualified to provide a variety of services, but their services are particularly beneficial to start-up situations in three general areas: financial statement services; tax-related services; and financial planning and consulting services. Financial Statement Services Accounting is the language of business. It ties together the marketing and management operations of a business. CPAs use this language to communicate needed information to their clients. The financial statements are the medium through which pertinent information is transmitted to businesses. They usually include the accountant’s report; balance sheet; income statement; cash flow statement; and notes to the financial statements. Each statement gives a different aspect of the condition or result of operations for a period of time. The more one understands and respects the language, the more benefit one derives from the financial statements. The present and prospective activities of the business will often dictate that a CPA give independent, objective opinions on financial statements prepared by management. The reports rendered by the CPA on the financial statements are generally at one of three levels: • An Audit. A positive assertion on financial statements that the financial statements do or do not present fairly the financial position, results of operations, and cash flows in accordance with generally accepted accounting principles or another comprehensive basis of accounting consistently applied.
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