The Fastest Growing Niche Markets for Accountants

Being a specialist in a particular area as a bookkeeper, accountant, or tax advisor can be one of the most financially rewarding decisions. A specialisation in one of the fastest-growing niche markets can help you gain an edge in the competitive market.

The following are some of the advantages of specialisations for accountants:

• Concentrate on what you enjoy:

You, not the other way around, get to choose the category of clients that you want to deal with. If you like animals, you could work as a CPA for veterinarians, or if you have a flair for real estate, you could work as a CPA for real estate.

• Demand a higher fee:

Customers will pay you more if they realise that you specialise in what they’re looking for. It’s thrilling when they find someone like you who can fulfil their needs and alleviate their concerns. They are less concerned with price. This not only increases your earnings but also keeps your customers for longer.

• Set yourself distinct from the competition:

Clients will seek you out as a specialist accountant, and you will be valued higher than generic accounting businesses. Each sector has its own jargon, rules, and procedures for conducting business. Understanding these subtleties will increase your worth in the accounting sector.

• Improve your efficiency:

Learning the nuances of crucial sectors such as legal, real estate, or medical services might take months, if not years. Focusing on specialisation and becoming a specialist in the accounting methods and language of that business means fewer client misunderstandings and the ability to get things done faster.

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Choosing the proper niche is a problem for many accountants. Some of the fastest-growing niches in the accounting sector that can give a significant boost to your career are as follows:-

1. Restaurants:-

In 2020 and early 2021, restaurants experienced several problems caused by COVID 19 pandemic. But the industry is projected to return significantly in the next year when people resume dining out in ways they couldn’t before the epidemic. In fact, several restaurants are having trouble finding enough employees to meet demand.

Because both sectors transform raw resources into sellable goods, restaurant accounting is sometimes likened to industrial accounting. However, the restaurant sector has some unique issues due to its vast and rapidly changing inventory, which has a short shelf life and low-profit margins.

Accountants may help restaurant operators with a variety of services, including:

• Advisory on human resources
• Advice on tax compliance
• Payroll and accounting
• Forecasting and reporting of cash flow
• Reconciliations of gift cards and gift certificates
• Reporting and crediting of tips
• Taking advantage of tax credits
• Tracking and measuring KPIs
• Reducing the expenses that can be controlled
• Integration of point of sale software
• Automation of accounts payable
• Depreciation and fixed assets tracking

Because the restaurant sector has a high failure rate, CPAs in this field must carefully pick their clients. Working with restaurant owners that recognise the need for accurate and timely accounting and are willing to accept guidance may open up a world of possibilities.

2. Medical practices:-

With people getting more and more conscious about their health, healthcare has become one of the fastest-growing industries globally.

The epidemic prompted widespread investment and modernisation in the healthcare industry. Legislators and healthcare providers alike are searching for ways to shift away from fee-for-service reimbursement and toward value-based approaches that reduce costs while improving quality.

Accountants who work with physicians and medical practises will have a lot of opportunities due to this. Physicians and other medical practice owners are frequently too preoccupied with treating patients to keep track of their finances. Moreover, very few of them have the knowledge or experience to handle it effectively.

Other areas of potential, in addition to typical accounting, tax, and assurance employment, include:

• Analysis of overhead
• Advisory services to help you boost your profits and enhance your cash flow.
• Putting a price on medical practises for sale
• Monitoring and analysing medical billing
• Assisting with succession planning and strategic planning

3. Construction:-

In the past two to three years, shutdowns in the construction industry became very common due to the COVID-19 pandemic. However, due to robust demand for homes and homeowners leveraging their equity to fund home renovation projects, it is recovering quickly. Due to government plans to expand infrastructure expenditures, experts predict growth to continue in the following years.

Construction accounting is a difficult task. Job costing, cost allocation, and revenue recognition are all critical problems in this contract-driven sector.

Other construction specialised service options include:

• Setup and training for accounting software
• Tax planning
• Taxes on sales and usage
• Services for payroll taxes
• Management of cash flow
• Financial modelling and budgeting
• Assisting with HMRC audits
• Structure and evaluation of internal controls

Because construction is such a large sector, accountants can choose to specialise in a particular construction company, such as homebuilders, commercial contractors, road and heavy construction, or subcontractors and specialist crafts.

4. Real estate:-

Due to COVID 19, many people invested in safe vacation houses where they could stay on weekends. Today it has become very simple for vacation homeowners to rent out their properties whenever they are not using them.

However, dealing with the tax implications of short-term rentals is far from simple.

Real estate can be a fast-growing specialist market for accountants because your clients might include property management businesses and investors.

You can give the following services in the real estate market:

• Tax planning and preparation
• Services for lodging tax or occupancy tax
• Reporting on finances
• Keeping track of your earnings and spending
• Planning for asset protection
• Studies on cost segregation
• Examining and analysing leases

This is a lucrative accounting speciality, particularly for accounting companies in famous tourist locations.