CPA - Certified Public Accountant

In order to become a CPA in the United States, the candidate must sit for and pass the Uniform Certified Public Accountant Examination (Uniform CPA Exam), which is set by the American Institute of Certified Public Accountants and administered by the National Association of State Boards of Accountancy. The CPA was established in law on April 17, 1896.[2]

Eligibility to sit for the Uniform CPA Exam is determined by individual State Boards of Accountancy. Typically the requirement is a U.S. bachelors degree which includes a minimum number of qualifying credit hours in accounting and business administration with an additional 1 year study. This requirement for 5 years study is known as the "150 hour rule" and has been adopted by the majority of state boards, although there are still some exceptions (e.g.California). This requirement mandating 150 hours of study has been adopted by 45 states.

The primary functions CPA fulfill relate to assurance services, or public accounting. In assurance services, also known as financial audit services, CPAs attest to the reasonableness of disclosures, the freedom from material misstatement, and the adherence to the applicable generally accepted accounting principles (GAAP) in financial statements. CPAs can also be employed by corporations-termed "the private sector"-in finance functions such as Chief Financial Officer (CFO) or finance manager, or as CEOs subject to their full business knowledge and practice. These CPAs do not provide services directly to the public.

CPAs also have a niche within the income tax preparation industry. They may also provide business consultation in the areas of entity set-up, quickbooks assistance, financial statements, and buying v. leasing of equipment.

Whether providing services directly to the public or employed by corporations or associations, CPAs can operate in virtually any area of finance including:
 
 
While some CPAs are generalists and offer a range of services (especially those in small practices) many CPAs specialize in just one area and do not provide all the services listed above.
 
 
Ethics
 
Over 40 of the state boards now require applicants for CPA status to complete a special examination on ethics, which is effectively a Fourth E in terms of requirements to become a CPA. The majority of these will accept the AICPA self-study Professional Ethics for CPAs CPE course or another course in general professional ethics. Many states, however, require that the ethics course include a review of that state's specific rules for professional practice.
 
Continuing Professional Education (CPE)
 
CPAs are required to take continuing education courses in order to renew their license. Requirements vary by state but the vast majority require 120 hours of CPE every 3 years with a minimum of 20 hours per calendar year. The requirement can be fulfilled through attending live seminars, webcast seminars, or through self-study (textbooks, videos, online courses, all of which require a test to receive credit). As part of the CPE requirement, most states require their CPAs to take an ethics course during every renewal period. Again, ethics requirements vary by state but the courses range from 2-8 hours.

The state of Florida requires 80 hours of continuing education every 2 years with 20 hours specifically in Accounting and Auditing. Florida also requires 4 hours of Ethics every two years.
 
CFP - Certified Financial Planner(tm) professional

The CFP® designation is considered the "Gold Standard" for professionals in financial planning. Those obtaining the CFP® designation have demonstrated competency in all areas of finance relate to financial planning.
 
Candidates complete studies on over 100 topics, including stocks, bonds, taxes, insurance, retirement planning and estate planning. Candidates must pass a 10-hour, 2 day CFP® certification exam, which is preceded by strenuous education requirements. Candidates must also complete qualifying work experience and agree to adhere to the CFP® Board's code of ethics and professional responsibility and financial planning standards.
 
The program is administered by the Certified Financial PlanningTM Board of Standards Inc. which requires all practitioners to maintain 30 hours of continuous education every two years and uphold a clean regulatory record.
 
CVA - Certified Valuation Analyst
 
Because ownership interests in privately held companies often represent a significant portion of one's estate and/or portfolio. The value, or worth, of an interest in a privately held company, as opposed to stock in a public company, is usually unknown because there is no active market to sell or trade that interest from which to ascertain or approximate value. Value determinations are most commonly needed to calculate estate tax upon death and negotiate value in a purchase, sale or merger of a business enterprise. Other common reasons why a holder of an interest in a privately held company might require a business valuation include:
  • Adequacy of Life Insurance
  • Buy/Sell Agreements
  • Bankruptcy and Foreclosures
  • Charitable Contributions
  • Disruption of a Business
  • Dissenting Shareholder Actions
  • Eminent Domain
  • Employee Stock Ownership Plans (ESOPs)
  • Franchise Valuation or Evaluation
  • Gifting Programs
  • Gift Taxes
  • Incentive Stock Option Programs
  • Initial Public Offerings (IPOs)
  • Liquidation or Reorganization
  • Obtaining Financing
  • Partner Disputes
  • Split-ups/Spin-offs
  • Succession Planning
One of the best reasons for obtaining a business valuation is to use it as a management tool. A prime objective for all business enterprises is to improve and maximize its value to the owners. A properly prepared business valuation provides management with insightful information that helps identify company strengths and weaknesses that affect value, allowing them to more effectively focus their energies in places that really count.

A periodic business valuation also serves as a measurement tool to help owners assess overall success and management effectiveness. The National Association of Certified Valuation Analysts, the nation's leading organization supporting the business valuation discipline, recommends a valuation of a business enterprise be performed every two years for management purposes, if for no other reason.

To qualify for the Certified Valuation Analyst (CVA) designation, the applicant must:
  1. Hold a valid and unrevoked CPA license issued by a legally constituted state authority (the Chartered Accountant [CA] designation issued in Canada is equivalent to the CPA in the U.S.);
  2. Be a Practitioner in good standing with NACVA;
  3. Attend an optional five-day training program;
  4. Submit three personal and three business references; and
  5. Pass a comprehensive two-part examination. Part One is a five-hour proctored exam, and Part Two is a take-home/in-office exam incorporating a standardized case study (provided by NACVA) that requires performing a complete business valuation. Part Two of our exam takes 40-60 hours to complete