The past few years have been rough for local Bay Area businesses. Shops and business owners have had their share of tough times. 
Yet the entrepreneurial spirit is strong, and new companies are emerging in the City by the Bay. To help, Mayor London Breed and City staff have created a roadmap to progress in economic revitalization. This plan lays out projects such as repurposing vacant spaces, passing tax reform, new business programs and advancing art and culture downtown. The City of San Francisco also wants to attract new customers through outdoor concerts and pop-up venues. There are plenty of opportunities for shops and companies to get in on the financial benefits the City is offering.
Yes, we admit the news was grim for a bit. The good news is that the pace of business closures has slowed. From March 2020 through February 2022, 29,456 shops of all sizes closed while 29,998 opened. This provided a slight increase of 532 new businesses. In 2023, around 700 new companies registered per month throughout the City. This is a welcomed improvement. This article from the San Francisco Standard talks about the new life being breathed into the small business sector and breaks down the data further.
Put the odds in your favor with the best CPA firm for a new business
In San Francisco, the odds of success can depend upon three vital pieces: location, product, and financial management. For instance, the location was critical to its success during the pandemic. The South Market area, part of the business district, experienced many business closures. This can be attributed to the remote work changes, leaving fewer workers around during their breaks and after hours to shop. Yet more new businesses remained open in “suburban” San Francisco locations like Portola and Bayview Hunter’s Point (https://www.sf.gov/perfect-day-bayview). Spots closer to residential areas were more accessible for customers to frequent.
San Franciscans also appreciated a good product that was easy to access during the lockdown. Home delivery and mobile services became very popular. Residents called mobile barber shops, ordered healthy meal kits delivered, and scheduled door-to-door pet-washing services. Many brick-and-mortar businesses that could pivot and deliver survived.
But none of this happens with a solid financial foundation. The right approach is to work with one of the best CPA firms in San Francisco for a new business. A top certified public accountant can set up the financials to get through good times and bad. We can review the current city programs designed to help lower fees and create incentives. Our CPAs can help optimize tax advantages and find opportunities to develop a financial “cushion” to help soften the blow during tough times. Choosing the proper company structure (https://www.safeharborcpa.com/partnerships) will be important as well. We can help review the options so a new business owner can decide if they should be an LLC, partnership, S-Corp, or C-Corp.
Running a new business may be exciting, but handling the bookkeeping could be not-so-exciting. Managing business taxes could feel like a massive headache. The best CPA firm for a new business can elevate the odds for success by creating that essential financial foundation. And that leaves local bay area businesses with more time to get creative and serve their customers better!
