Filing taxes is a legal requirement for every American making an income. Since the tax code is more complicated than ever, people often look for outside help to assist them with preparing their taxes.
What do these franchises do?
Tax preparation franchises help people organize, complete and file their taxes, taking a huge stress off the shoulders of the average working person who isn’t well versed in the current tax code.
Will this be a full-time business?
It depends—you can make it what you want it to be. Taxes are a seasonal industry, peaking in the first quarter of the year and leading up to the national tax deadline of April 15. This makes the industry ideal for those looking for a part-time business.
Additionally, some companies also provide accounting or other services to give the business year-round viability.
What’s the future forecast for the industry?
Although computer software provides a constant competitor in the field, the improved economy should help the field grow overall—it was worth $9.4 billion last year.
Furthermore, the tax preparation industry is expected to grow by 4 percent compounded annually through 2015.
Everyone pays (you)
Approximately 144 million individuals filed returns last year, as did 2.4 million corporations. Almost 60 percent of U.S. taxpayers continue to pay professionals to prepare their taxes, making the tax preparation franchise a lucrative investment.