Helping clients, such as authors, screenwriters, musicians, or actors, with their search for employment opportunities, require you to have top-notch communication skills and a good reputation if you’re an entertainment agent. Managing clients in the entertainment business also involves negotiating contracts and getting top dollar for each person you represent. Providing your assistance entitles you to a percentage of your clients’ pay, or you may charge a fee, depending on the situation. For this reason it is important to get your accounting in order as an entertainment agent.
To be able to complete the process required to help each client involves paying for business expenses. These might include promotional material, publicity, licensing, travel and the cost of a workspace. With all involved in your business, you may not have time to make sure you’re keeping up with your entertainment agent – manager accounting. There are a number of business-related expenses you would have to track and income that you would need to declare ti the IRS in a manner that is compliant. Getting professional assistance with this from an experienced CPA that understands tax requirements for the entertainment industry may be highly beneficial.
Streamlining your bookkeeping duties
Taking time out of your busy day to work on your bookkeeping tasks for your entertainment management business may be challenging. Not only can it be time consuming, but tracking your transactions is a sport of precision. You do not want to make a mistake that could cost you in penalties with the IRS. Your time is better spent focusing on your clients’ needs and meeting several different representatives from the entertainment business frequently. If you’re out and about a great deal of the time, it can make it difficult to record each income and expense transaction you’ve made in your bookkeeping ledger. While you likely know how essential this task can be in revealing your agency’s current financial health, it may get put off and not get done correctly or timely. Having an experienced and highly educated entertainment agent accounting firm handle this task should help make sure your financial transactions are being accounted for appropriately.
Outsourcing your accounting
The fees and commissions made from assisting a country musician or comedian will require you to pay taxes to the IRS. Making sure the bookkeeping for your entertainment agent company is correct will be necessary and having relevant proof for deductions that reduce your liability to the IRS is imperative. Implementing reliable accounting software can help you streamline this process and working with an accountant to ensure that this is done correctly will safeguard your business from unnecessary errors.
While servicing your clients is a top priority for you it is also essential that you take a look at your long and short-term financial goals to ensure the health and longevity of your business. Do you do year or year financial comparisons? It is important that you do. Our team can help you generate reports to understand where your business makes most of its money so that you can tailor your services to offer more of that service in the financial year ahead.
At Fusion, our CPAs are experienced in handling the accounting side of business for entertainment managers. We understand the current tax rules and stay abreast changes to ensure accurate submissions to the IRS.
This blog article is not intended to be the rendering of legal, accounting, tax advice or other professional services. Articles are based on current or proposed tax rules at the time they are written and older posts are not updated for tax rule changes. We expressly disclaim all liability in regard to actions taken or not taken based on the contents of this blog as well as the use or interpretation of this information. Information provided on this website is not all-inclusive and such information should not be relied upon as being all-inclusive.