How CPA–Attorney Collaboration Strengthens Business Decisions and Reduces Risk
by Michael J. 'Mick' McGirr, Phocus Law
In business, legal and financial decisions are deeply connected. That’s why it is so valuable to have your CPA and lawyer work together. Both professionals bring distinct and essential expertise to the table. When they collaborate, clients benefit from more thorough, efficient, and practical advice.
Lawyers spot legal risks; accountants spot financial risks. Each brings different perspectives to the table and when they work together, catch issues the other might miss. During business deals, both review many of the same documents (like tax returns, meeting minutes, internal policies, and financial statements). Sharing access to these documents makes the process faster and more efficient. A lawyer might miss subtle financial red flags in the papers and an accountant could miss regulatory traps. Having both check each other keeps you protected. In addition to spotting risks, accountants analyze financial trends like cash flow and market changes. Lawyers then use this information to structure deals that are legally solid and aligned with financial goals. Together, they make deals smarter and safer.
Collaborating across the legal and accounting professions leads to smarter, more effective business structuring. Clients need clear guidance on the legal differences and formalities of available business structures, while also considering personal, practical, and tax-related factors. When lawyers and accountants work together, they help clients select the structure that fits best from all angles. Lawyers draft the necessary documents and advise on liability and regulatory concerns, while accountants evaluate the tax impact, assess long-term financial outlook, and align tax compliance with legal protections and business goals. This joint approach ensures that the business is set up for both legal protection and financial efficiency from day one.
Clients shouldn’t get caught in the middle of complicated business complexities. When accountants and lawyers collaborate, clients don’t have to shuttle information back and forth between professionals. Instead, they can rely on one coordinated team to handle all their needs. This direct communication between experts helps avoid delays and misunderstandings, speeds up transactions, and reduces the risk of costly mistakes.
When your CPA and lawyer work together, they protect your business from all sides. Their collaboration not only saves time and reduces risks but also creates more strategic, seamless solutions. In today’s complex business world, having a team that communicates and collaborates is essential.
At Phocus Companies, law and accounting are practiced under the same roof. The coordination between the teams, at the request of the client, is seamless. If Phocus can assist with your legal or accounting needs, please don’t hesitate to let us know. Please feel free to reach out to at [email protected].