Accounting firms for entertainment companies expect their CPAs to have two types of education or experience: an accounting degree and experience with the entertainment industry. If you have one but not the other, you can easily become more qualified to work with media industry CPAs with an undergraduate degree program.

If you are a CPA working as an entrepreneur, you may be able to provide accounting services for entertainment companies by simply updating your accounting knowledge using entertainment industry accounting software. While CPA firms for media companies typically have high educational and experience standards, if you are running your own firm you may be able to gain your entertainment industry education less formally.

Begin your CPAs and firms specializing in media and entertainment education and training with the following resources:

1. Earn an undergraduate degree in accounting to become a CPA.
   
2. Expand your experience in entertainment accounting with a degree in entertainment business.
3. Update your entertainment accounting knowledge with financial software programs.
   

Action Steps
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Prepare for work with media industry CPAs with an accounting degree

Most media industry CPAs require job applicants to have a four-year degree in accounting, although some will allow two-year degree credentials. Look for a degree program that includes certification preparation and has a high pass rate among graduates.

I recommend: The University of Texas at Austin and The University of Arizona both offer a four-year accounting sequence for undergraduates, including those preparing to become media CPAs. Globe University has a management accounting associate's degree for a shorter degree time frame.

Get entertainment business experience for working in entertainment accounting

Another option for working with accounting firms for entertainment companies is to obtain a degree in the music or film production business. Entertainment business degrees typically offer a range of courses covering different aspects of the music or film business, including production, marketing, advertising, finance and accounting.

I recommend: Full Sail University is one of only a few schools nationwide that offers a bachelor of music business degree. You can also prepare for work with media CPAs with a similar associate's degree from the Institute of Production and Recording.

Use software to train yourself to provide accounting services for entertainment companies

If you are an experienced accountant , you may be able to become a CPA for media companies without going through several years of additional formal education. A number of software programs are available to help media CPAs and other business professionals manage the various financial aspects of the entertainment industry.

I recommend: Media Services Showbiz Music Contracts software is designed to help navigate music business accounting. Softrax revenue manager software programs are also useful for sports, arts and entertainment accounting.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  When preparing for work with CPAs and firms specializing in media and entertainment, education and training may also include an internship with a media company. Many firms expect their applicants to have at least 6 months of internship experience of some type, preferably in entertainment. Even if an internship is unpaid, the education and training is highly valuable.

If you're making it big as a actor or a musician in Hollywood, you can't just walk into H&R Block to have your taxes done. You really need to look at special accounting firms for entertainment companies or media CPAs.

They know all the special challenges of an industry in which privacy is hard-fought and hard-won. Media industry CPAs also understand the unique accounting needs of self-employed individuals or corporations. When looking into entertainment industry accounting, you may want to ask some questions of your prospects.

1. Many a star has made a fortune and lost one too. Ask any CPA for media companies what kind of services they offer. Can they manage your taxes, but also help you get a better handle on your overall finances and help you save for your future?

2. Ask for references from entertainment industry certified public accountants.

3. Find out how media industry CPAs will protect your privacy.

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The best contacts and resources to help you get it done

Find entertainment industry CPAs who can handle star power

Whether you're a media boss or on the other side of the camera, it's in your best interest to find a CPA that fully understands the entertainment industry. You can locate accounting firms for entertainment companies with the experience you're looking for, and a star-studded client list for extra assurance.

I recommend: Hacker, Douglas & Company CPAs, is located in Los Angeles and specializes in the entertainment industry. With clients such as Kevin Costner, Harrison Ford, Barbara Streisand and Elizabeth Taylor, the firm can handle audits for production, distribution, music and merchandising, as well as litigation support.

Find media CPAs who can tailor services to meet your needs

If you work as an on-air news anchor or a radio personality, you may not be aware that there are media industry certified public accountants who can handle all your tax, accounting and investment concerns.

I recommend: R.A. Bianchi and Associates, located in Los Angeles, is a firm of media CPAs. Clients include journalists, photographers, news agencies and syndicates, as well as movie and TV executives and production personnel.

Find CPAs in New York who specialize in entertainment accounting

Hollywood isn't the only place where a person might require accounting services for entertainment companies or individual entertainers. New York is another hot area for the stars, and there are several CPAs who concentrate on entertainment accounting.

I recommend: Anita Katzen, CPA, of ERE Accountants and Advisors in New York, specializes in entertainment industry accounting and business management.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Don't go it alone. Get recommendations on accounting services for entertainment companies from others in the business.

As there are many CPAs and Firms that specialize in media and entertainment, by understanding key terms you can find a service that meets your needs. Finding them may seem like a daunting task, however, it is manageable if you know what you are specifically looking for in a CPA or firm. Some CPAs and firms focus on a special area in media and entertainment, such as bookkeeping for online advertising, while others have a more comprehensive range of services to meet your every need.

Auditing and accounting, bookkeeping, and tax planning are just some of the many key terms that can help guide you in the right direction.

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Distribution audits

A distribution audit is essential to maintain the integrity of film or other media distribution. When production costs affect the amount of compensation a creative professional receives, a distribution audit is needed to review the creative work and its distribution. There are some media and entertainment professionals who can effectively perform a distribution audit.

I recommend: Hacker, Douglas & Company provides services for distribution audits and has an impeccable list of clientele.

Business and estate valuation

Business and estate valuation involves the market value determination of a business or estate at a given point in time. By understanding the market value of your property, you can gain knowledge of your total net worth.

I recommend: J.C. Ostrom Associates is an excellent site that offers information and services to help you find the market value of your business or estate.

Contingent compensation

Contingent compensation is the monetary and other compensation that a creative professional receives dependent upon the results of the expressed creative work. When compensation is limited or percentages are not easily determined, the legal area of contingent compensation becomes tricky and can lead to arbitration.

I recommend: A website by attorney Paul D. Supnik has valuable information about arbitration and contingent compensation claims.

Expert witness

An expert witness is a person who provides testimony at a litigation or other legal proceeding and who is knowledgeable about a particular subject. As the number of litigation proceedings continue to increase, you may need expert witness services. There are numerous sites to help you determine what is best for your needs.

I recommend: Media Valuation Partners is a good site that provides media and entertainment consultations for expert witnessing for litigation proceedings.

Certified public accountant

Often times a certified public accountan (CPA) may be the only solution to your money management needs. A CPA is a financial and accounting professional who has successfully completed a specific course of study at an accredited school and has passed all four sections of the CPA examinations.

I recommend: E-how has a well-written description of the roles and functions of CPAs.

Royalty audit and contract compliance

Contract compliance and royalty audits are critical for anyone in media and entertainment. Contract compliance is the process by which intellectual property is checked constantly to ensure no violation against an initial contract has occurred. In like manner, a royalty audit ensures the owner of the intellectual property receives all due royalties. There are many sites that provide information on this topic.

I recommend: Eisner is a good site that provides excellent information and services on royalty audits and contract compliance.

Looking into the world of CPAs and firms specializing in media and entertainment for beginners shows one how the industry works. It demonstrates ways that accountants work with artists in a variety of fields including publishing, journalism, entertainment production, music and photography, among others.

Accounting firms for entertainment companies know the ins and outs of legal financial manipulations that benefit the artists. Some tips on learning about CPAs and firms specializing in media and entertainment for beginners include the following things:

1. Some media CPAs such as entertainment accounting specialists offer customized services.

2. CPAs and firms specializing in media and entertainment for beginners sometimes offer software.

3. Established media industry CPAs.

Action Steps
The best contacts and resources to help you get it done

Use entertainment accounting services that meet your specific needs

When looking for accounting services for entertainment companies, you might want to work with a company that is willing to offer customized services which meet your own unique criteria. Determine which areas you want a CPA or firm to work with, then find out which company offers the best options in addressing your goals.

I recommend: R.A. Bianchi & Associates offers accounting services for the entertainment and media industries. It boasts about its customized services, which it claims always keeps its clients' needs in mind. ABS Financial Services offers custom-designed small-business accounting for television, film, production and movie payroll accounting services.

Work with software used by media industry CPAs

Accountants for media companies use different types of software to keep track of all the records involved in entertainment and media money management. Find software that professionals use to keep track of your own records.

I recommend: Media Services offers software designed specifically for the entertainment field. It keeps records for payrolls for Internet productions, commercials, features and television projects. O'Reilly Media highlights different types of accounting software one might use in the entertainment industry. It describes each type of software and offers some ratings.

Consider trained accountants for entertainment companies that have a sizable staff

Look for companies focused on entertainment industry accounting that have decent-sized staffing and offer full services. Find professional CPAs and firms already established in the industry. Firms that have been around for several decades tend to know the ins and outs of the business.

I recommend: Robert Hall & Associates offers a varying range of services for those in the entertainment industry. Its services include payroll, succession planning, tax preparation and tax troubleshooting. Edward Yousefian offers professional services for those in the media and entertainment fields including financing, valuations, strategic business planning, tax planning and tax preparation, among other services.