Mantyla McReynolds CPA's Featured in Local Newsletter

Jim Oveson and Don Mantyla were featured this month in the newsletter of Professional Insurance Exchange (PIE). Professional Insurance Exchange is Utah State's leading carrier of dental malpractice insurance, insuring more than 95% of dentists in the state. The article advises dentists about finding the right CPA for their business.

How Do You Find the Right CPA?

Accounting has been called the language of business, but what do you do if it sounds like a foreign language to you? You find a good interpreter, or in this case a competent CPA. So, how can you tell if you have the right CPA? When we are seeking a professional to work with, most of us will ask our colleagues, family, friends and neighbors who they use. A referral is the greatest compliment that anyone can give to those that they work with, but even with a good reference you should interview the CPA to make sure he will provide the service you need. So what should you be asking?

• Unfortunately, too many business owners start with the wrong question, "What will it cost?"

o I do not go to the dentist that I have chosen because of cost, I go to him/her because he/she is good, he/she takes care of me and he/she is the best dentist that I have ever used. Of course cost is a consideration, but in the long run a good CPA can help you understand your practice, control the costs and save taxes. These savings will outweigh the cost.The real questions to start with are:

• Does the CPA do the accounting and taxes of any other dentist? If so, how long has he been working with them? How many other dentists do they serve in the dental community? If you have a specialty in your practice, does he have other dental clients in your specialty?

o You want an accountant that knows what to expect in analyzing your practice financial statements. They need to understand what the staff salaries, dental supplies, lab fees, rent, utilities, promotion and other expenses should be in a practice similar to yours. This will help you understand what areas to focus on to be more profitable.

• Ask the accountant to explain the various services that they provide to their other dental clients.

o It has been said that there are basically two types of CPAs, physicians and morticians. The morticians take your information and prepare financial statements and tax returns based only on what they receive. The physician is one that is proactive and provides tax planning and saving suggestions for you to consider - similar to the difference between a dentist that just fills cavities and one that focuses on preventing cavities.

• What other services does the CPA offer other than standard bookkeeping, financial statement and tax preparation?

o This should be very important to you as a dentist. Among the important other services that may be offered are:
 Fraud analysis - setting up proper segregation of duties, identifying out of line costs and other potential fraud hazards.

 Retirement planning - your CPA should work hand in hand with your financial planner to make sure that you are using the right vehicle for your retirement plan.

 Practice valuation - providing accurate and complete information is critical to a proper valuation of your practice.

 Practice analysis - understanding how you compare to other general dentists and specialists in your area is valuable in managing your practice.

• What is the CPA's policy in returning your phone calls and/or answering your emails or texts?

o You need a responsive accountant that returns your calls and answers your emails within at least 24 hours. You shouldn't have to wait days or weeks to hear from them.

• Is the accountant a sole practitioner or is he part of a firm?

o A firm allows your accountant access to the combined experience and resources of many other people, which could be a significant benefit to you. This is particularly true when you talk about tax laws. There are many times when there is no black or white with the tax code, just various shades of grey. You want to reduce taxes, if possible, but not to the point of risking an audit. A sole practitioner can often times get so overwhelmed that he does not give you the service that you need. These questions are just meant to be a starting point in selecting a CPA, but the real test is in the actual services performed.

Never hesitate to let your accountant know if they are providing the service that they promised, and even more important, if he is not. One of our clients once admitted that his many years of education taught him how to be a dentist, but not an accountant. If we were all dentists or accountants, our community would have a great void. We appreciate good dentists out there who watch out for our family's dental care. And we also appreciate the opportunity to help the dental community with their accounting and tax needs, and the opportunity to help dentists find solutions to their accounting and tax problems. Click below to see the entire newsletter: