Three Pillars of Financial Success
Lakeside Accounting Solutions provides full-service accounting support for growing Denver businesses. Whether you need help organizing your books, reducing your tax burden, or planning for the future, we deliver expert guidance tailored to your goals. Our services work together to give you complete financial clarity and control. Start with one, add others as you grow, or bundle everything for comprehensive support.
Bookkeeping & Accounting
Bookkeeping & Accounting That Keeps Your Finances Organized
From daily transactions to monthly close, we handle the details so your books are always audit-ready and decision-ready.
Full-Service Bookkeeping
Bill Pay Management
Invoicing & AR Management
Accounting & Reconciliation
Why Denver Businesses Choose Lakeside Accounting
Denver-Based, Colorado-Focused
We understand local regulations, Colorado tax laws, and the unique challenges of doing business in the Denver metro area. Plus, we’re here when you need us, not outsourced.
Same-Day Response Guarantee
Questions? Need a report? We respond the same business day, guaranteed. Your time matters, and we treat it that way.
Certified & Experienced Business
QuickBooks Certified ProAdvisors with 15+ years of combined experience. We’ve seen it all and know how to solve it.
Proactive Strategy, Not Reactive
We don’t just record history, we help you plan for the future. Proactive tax strategies, early problem detection, and forward-looking insights.
Scalable Solutions
Whether you’re a solopreneur or managing 50 employees, our services grow with your business. No need to switch providers as you scale.
Transparent Pricing
No surprise fees. We provide clear, upfront pricing so you know exactly what to expect. Fixed monthly rates for predictable budgeting.
Secure & Confidential
Bank-level encryption, secure client portals, and strict confidentiality protocols. Your financial data is protected at every step.
Partnership Approach
We’re not just a service provider, we’re invested in your success. Your wins are our wins. And we love to win a lot at our office.
Common Questions About Our Services
Whether you found us through search, an AI assistant, or a referral, here are answers to the most common questions Denver business owners ask us.
Both EAs and CPAs are highly qualified tax professionals — but they differ in scope, licensing, and what they specialize in.
An Enrolled Agent (EA) is a federally licensed tax specialist authorized directly by the U.S. Department of the Treasury and the IRS. Their sole focus is tax — from return preparation and tax planning to settling tax debt and navigating IRS audits. (Becker) Because their license is federal, their authority spans all 50 states, which makes them especially valuable for clients with multi-state tax concerns. (Natptax)
A Certified Public Accountant (CPA) holds a state-issued license and offers a broader range of financial services. CPAs may provide tax preparation, auditing, accounting, business advising, corporate accounting, tax consulting, forensic accounting, and financial planning services. (TurboTax)
The key difference? EAs are federally licensed and can work in any of the 50 states without restriction, while CPAs are licensed at the state level, meaning their practice is generally confined to the state where they obtained their license. (Scale)
When it comes to IRS matters, both enrolled agents and certified public accountants enjoy virtually unlimited practice rights before the IRS — meaning there are no restrictions on the types of tax issues they can handle or the types of taxpayers they can serve. (H&R Block)
So which do you need? If your primary concern is taxes — filing, planning, or resolving an IRS issue — an EA is a highly focused expert built specifically for that. If you need broader financial services like audited statements, business consulting, or financial reporting, a CPA may be the better fit. Ultimately, if you have accounting needs with a narrow tax focus, working with an EA could make more sense. If you are interested in receiving broader financial services alongside tax assistance, a CPA may be the way to go.
Key indicators of financial health:
- Positive Cash Flow
– More cash coming in than going out
– 3-6 months of expenses in reserves
- Profitable Operations
– Consistent positive net profit
– Net profit margin of 10-20%
- Healthy Current Ratio
– Current Assets / Current Liabilities should be > 1.5
– Shows ability to pay short-term obligations
- Manageable Debt
– Debt-to-Equity ratio under 2:1
– Able to make all debt payments on time
- Timely Accounts Receivable
– Most invoices paid within 30-45 days
– Days Sales Outstanding (DSO) under 45
- Growing Revenue
– Year-over-year revenue growth
– Diversified customer base (no single customer over 20% of revenue)
- Controlled Expenses
– Operating expenses stable or decreasing as % of revenue
– No unnecessary spending
Warning signs:
- Consistently using credit cards or lines of credit to make payroll
- Frequently late on vendor payments
- Declining profit margins
- Increasing accounts receivable aging
- Can’t pay quarterly estimated taxes
Action: Review financial statements monthly and meet with your accountant quarterly to assess financial health.
Gross Profit:
Revenue minus Cost of Goods Sold (COGS)
Shows profit before operating expenses
Formula: Revenue – COGS = Gross Profit
Example: Sell product for $100, costs $40 to produce = $60 gross profit
Net Profit:
Gross profit minus all operating expenses (rent, salaries, marketing, etc.)
Shows actual bottom-line profit
Formula: Gross Profit – Operating Expenses = Net Profit
Example: $60 gross profit – $45 operating expenses = $15 net profit
Why both matter:
Gross profit margin shows pricing effectiveness and production efficiency. If gross margin is too low, you need to raise prices or reduce production costs.
Net profit margin shows overall business profitability. If gross margin is good but net margin is poor, operating expenses are too high.
Healthy margins:
– Gross margin: 50-70% for service businesses, 30-50% for retail/product
– Net margin: 10-20% is generally healthy for most small businesses
Hire a bookkeeper when you need:
– Daily transaction recording
– Bank reconciliation
– Accounts payable/receivable management
– Payroll processing
– Monthly financial statements
– General financial organization
Hire a CPA when you need:
– Tax preparation and filing
– Tax planning and strategy
– IRS audit representation
– Financial statement audits
– Complex financial advice
– Business formation guidance
– Strategic financial planning
Best approach: Many businesses use both—a bookkeeper for day-to-day tasks and a CPA for taxes and strategic advice. They work together to provide complete financial management.
Cost difference: Bookkeepers typically charge $30-$100/hour or $300-$2,000/month. CPAs charge $150-$400/hour or project-based fees for tax returns.
A chart of accounts is an organized list of all accounts used in your bookkeeping system—assets, liabilities, equity, income, and expenses.
Why it matters:
✓ Consistency: Ensures transactions are categorized the same way every time
✓ Accurate reporting: Provides clear financial statements
✓ Tax preparation: Makes it easy to identify deductible expenses
✓ Benchmarking: Allows comparison to industry standards and prior periods
✓ Decision-making: Tracks specific revenue streams and expense categories
Example categories:
– Income: Service Revenue, Product Sales
– Expenses: Rent, Utilities, Marketing, Payroll, Professional Fees
Best practice: Customize your chart of accounts for your industry and business model. Don’t create too many categories (overwhelming) or too few (not detailed enough). Most businesses need 40-80 accounts.
A well-designed chart of accounts from the start saves hours of work later.
Yes, absolutely. Separating business and personal finances is critical for:
Legal protection: Maintains LLC/corporation liability protection. Mixing funds can “pierce the corporate veil” and expose personal assets.
Tax compliance: Makes deductions easier to track and defend in an audit. IRS red flag if personal and business are mixed.
Accurate bookkeeping: Impossible to maintain clean books when transactions are mixed. Saves hours of sorting and categorization.
Professional credibility: Business checks and cards look more professional to clients and vendors.
Loan applications: Banks require separate business accounts and won’t approve loans without them.
Best practice: Open a business checking account immediately upon starting your business, even as a sole proprietor.
Most popular options:
QuickBooks Online: Most widely used, robust features, excellent for most small businesses. $30-$200/month.
Xero: Clean interface, strong for businesses with international needs. $13-$70/month.
FreshBooks: Best for service businesses and freelancers with simple needs. $19-$60/month.
Wave: Free basic version, good for very small businesses. Paid features available.
Considerations:
– Business size and complexity
– Industry-specific needs
– Integration requirements (payroll, e-commerce, CRM)
– Mobile access needs
– Budget
Most accounting firms have software preferences and can provide training and support. Choose software your accountant is familiar with.
Commonly overlooked deductions:
✓ Home office deduction (many don’t realize they qualify)
✓ Vehicle mileage for all business trips
✓ Startup costs (up to $5,000 deductible year one)
✓ Education and training
✓ Software and subscriptions
✓ Business meals (50% deductible)
✓ Cell phone and internet (business percentage)
✓ Bank and credit card fees
✓ Retirement contributions (SEP IRA, Solo 401k)
✓ Health insurance (100% deductible for self-employed)
✓ Business insurance premiums
✓ Section 179 depreciation (immediate equipment expensing)
✓ Contract labor and professional fees
✓ Office supplies (even small items)
✓ Repairs and maintenance
Keep detailed records and work with a tax professional to maximize deductions.
W-2 Employees:
– You control how, when, and where they work
– You withhold taxes and pay employer payroll taxes
– Eligible for benefits and unemployment
– Protected by employment laws
– You issue Form W-2 by January 31
1099 Independent Contractors:
– They control how work is completed
– No tax withholding—they pay their own taxes
– Not eligible for employee benefits
– Not protected by employment laws
– You issue Form 1099-NEC if you pay $600+ annually
IRS Test: Considers behavioral control, financial control, and relationship type.
Misclassification risks: Back taxes, penalties, lawsuits, and IRS audits. When in doubt, classify as employee or consult a professional.
Quarterly deadlines:
– Q1 (Jan-Mar): April 15
– Q2 (Apr-May): June 17
– Q3 (Jun-Aug): September 16
– Q4 (Sep-Dec): January 15
Who needs to pay:
Self-employed individuals, business owners, and anyone expecting to owe $1,000+ in taxes without sufficient withholding.
Safe harbor: Pay 100% of prior year’s tax liability (110% if income over $150,000) to avoid penalties, even if you owe more this year.
Payment methods: IRS Direct Pay (free), EFTPS, credit/debit card (fees apply), or check with Form 1040-ES.
Ready to Get Your Books in Order?
Stop spending your time on bookkeeping and start focusing on what you do best growing your Denver business. Let our experienced team handle the numbers.
