Thinking of starting a home-based business but afraid you might be biting off more than you can chew? Think again! Getting into the tax business is extremely affordable and absolutely doable whether you choose to start as a side business or go all in.
Minimal start-up costs
The costs to get started with a home-based tax business are quite nominal. Assuming you already have a computer and printer, you can start a home-based tax business for less than $2,000. Here are the basic things you will need:
- A beginner tax course – Comprehensive Tax Course, $497
- Guide to Start & Grow Your Successful Tax Business, $99
- Obtain an IRS Preparer Tax Identification Number (PTIN), $35.95/annual
- Obtain an IRS Electronic Filing Identification Number (EFIN), Free
- Voluntary IRS Annual Filing Season Program, $99
- Tax preparation software – (lower cost options available), $500
- Tax preparation marketing and tax office supplies, $500
Fast ramp-up time
Starting a tax business can be done a lot faster than you might imagine! In the time it takes to complete Surgent’s beginner tax course, you could also be ramping your business by obtaining the required Preparer Tax Identification Number (PTIN) and Electronic Filing Identification Number (EFIN), choosing your tax software, preparing your workspace, and beginning to market yourself.
No franchise fees or royalties
One of the benefits of going into business on your own is that you won’t have any franchise fees or royalty payments. Whatever revenue you make is yours to keep. When you buy into a franchise, the initial investment and startup costs can be anywhere from $40,000 – $105,000, with ongoing royalty fees typically between 5-15%. Plus, additional expenses like an ad royalty fee of around 6%. Those fees will come right off the top of any revenue you bring in. And should you decide to part ways down the road, there will definitely be a non-compete agreement in place, that will keep you from bringing any of your clients with you. This makes it very hard for you to go out on your own once you’re locked into a franchise.
No accounting background or degree required
One thing that often keeps people from thinking about becoming a tax preparer is the myth that you need an accounting background or a college degree to prepare tax returns. It’s not true at all! First, tax is not accounting, it’s law. So, if you have the aptitude to interpret law, you’re already on your way! And second, if you have a high school diploma or the equivalent, basic math skills, decent computer skills, and enjoy working with people, you could do very well in this business!
We teach you everything you need to know
You don’t need to have any tax knowledge going into this. Surgent’s Comprehensive Tax Course assumes no prior tax knowledge and starts at the very beginning. In as little as 10-weeks, you could be completed with the course and well on your way to having your own tax business.
No need to reinvent the wheel
Lastly, you don’t need to reinvent the wheel. Surgent offers a Guide to Start and Grow Your Own Successful Tax Business, that touches on all the main things you will need to cover. Plus, Surgent offer separate manuals on marketing, policies and procedures of a tax office, and even personnel and expansion, when the time is right!