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Blake Oliver

Proactive Cash Flow Solutions for Small Business Clients

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Millions of small business owners start every morning the same way—logging into their bank account to see their balance. While 95% of business owners perform this daily check, a recent Cash Flow Compass report from Relay reveals a startling insight: 91% of small businesses face ongoing cash flow challenges. Despite their vigilance, most owners still lack the structures and systems to plan effectively, leaving them vulnerable to late payments, insufficient reserves, and high stress.

Based on a recent webinar featuring Blake Oliver, CPA, and Relay’s own Deanna Zubrickas, this article explores how accountants and financial advisors can move beyond balance-check advising and guide clients toward proactive, data-driven cash flow strategies. By leveraging multiple bank accounts, automated transfers, and regular check-ins, accountants can deliver both financial clarity and much-needed peace of mind to overworked owners.

Let’s dive into some of the key points from the webinar and, more importantly, what you can learn from them. 

1. The Universal Challenge: 91% Face Cash Flow Struggles

In Relay’s Cash Flow Compass survey of over 750 small businesses:

  • 91% of respondents reported dealing with cash flow issues.
  • Common causes include rising labor costs, seasonal fluctuations, and late client payments.

With so many business owners feeling the pinch, accountants have an opportunity to provide high-value advisory services that go far beyond routine compliance work.

2. Overconfidence vs. Reality: The 42% Confidence Gap

One surprising finding is that many owners believe they have a solid handle on their finances—but the numbers tell a different story. On average, business owners are 42% more confident in their cash flow management than is justified by their actual data. This gap creates real risks. 

Blake remarks, “Coming off of a busy season, business owners see a big bank balance and feel invincible. The challenge is helping them realize that money might need to stretch through slower months or seasonal dips.”

This mismatch between perception and reality underscores the need for deliberate systems that track not just daily balances but future obligations.

3. Missing Payments, Personal Stress, and Burnout

Cash flow struggles affect both the business and its people:

  • 31% of respondents missed or were late on major payments, including rent and payroll.
  • 71% reported experiencing significant stress or anxiety due to cash flow woes.
  • 62% said they suffered negative outcomes like delayed projects or losing clients.

For many, delayed payments jeopardize vital relationships with landlords, suppliers, and staff. Even worse, it erodes personal well-being. As Blake noted in the webinar, accountants are uniquely positioned to help clients break this cycle, offering regular check-ins and proactive planning that reduce the risk of crisis—and the accompanying burnout.

4. The Single-Account Trap: Why 24% Use Multiple Accounts

Despite recognizing their vulnerabilities, most small businesses still rely on one operating account for everything. According to the survey:

  • 95% check their balance daily,
  • but only 24% maintain multiple accounts to track and separate funds.

Without additional accounts, it’s easy to mix up funds earmarked for payroll, taxes, or profit distributions. That single lump-sum balance can create a false sense of security. This is where modern tools and advisory play a crucial role.

5. Structuring for Success: Multiple Accounts and Automated Transfers

Relay, the official banking partner of Profit First, offers a clear solution:

  1. Create Multiple Accounts: At a minimum, split finances into an operating account, payroll account, and savings or tax account.
  2. Automate Transfers: Relay lets you set rules so each payment received is split into designated buckets—e.g., 10% for taxes, 15% for profit, and the rest for operations.
  3. Project-Based Accounts: For agencies or firms handling multiple projects, separate accounts for each project can clarify available budgets without waiting for monthly reconciliations.
  4. Receipt Capture & Sync: Relay’s new receipt capture feature (in beta) automatically syncs to QuickBooks or Xero, streamlining bookkeeping and reducing administrative overhead.

By making these processes nearly automatic, business owners start building reserves without having to remember monthly or quarterly transfers. Even small percentage allocations can add up, bolstering that emergency fund. Meanwhile, accountants can monitor activity in real-time rather than sifting through backlogged statements.

6. Advisory in Action: Weekly 15-Minute Check-Ins

A critical element of success is consistent communication. Rather than waiting for quarterly reviews—or worse, an emergency—weekly 15-minute video calls can transform client relationships:

  • Forecast: Quickly update spreadsheets or dashboards, listing upcoming bills, expected deposits, and payroll cycles.
  • Allocate: Ensure auto-transfers are working as intended and address any shortfalls immediately.
  • Plan: Discuss hiring decisions or new projects that might affect cash flow in coming weeks.

This shift from reactive to proactive engagement positions accountants as strategic partners. As clients see their cash flow stabilize, trust builds, and deeper advisory conversations become routine.

7. The Bigger Picture: Reducing Stress and Enabling Growth

When small businesses move beyond bank-balance management, they gain more than just better books—they reduce anxiety, avoid late fees, and seize growth opportunities. With 43% of surveyed businesses having less than a month of reserves, even moderate savings can soften sudden revenue dips or unexpected expenses.

Most importantly, owners get back to focusing on what they do best—running and growing their companies—rather than obsessing over daily balances. It’s a win-win for both the client and the accountant.

Conclusion: Empower Your Clients to Thrive

For many entrepreneurs, the line between personal and business stress is razor-thin. By advocating structured cash flow management—multiple accounts, automated transfers, and regular advisory sessions—accountants can deliver peace of mind while ensuring clients have the resources to grow sustainably.

Ready to see these strategies in action? Watch the full webinar for in-depth conversations, real-world examples, and detailed demonstrations on how to implement a modern cash flow system. Equip your clients to move beyond the daily balance check and lay the groundwork for lasting success.

The Fun CPA Shares How to Work No More Than 40 Hours In Tax Season

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For many accountants, working just 40 hours a week during tax season sounds like a fantasy.Tax pros often work 60+ hours for months straight, wearing those long hours as a “badge of honor” in a profession that glorifies the grind.

Yuri Kapilovich, known as “The Fun CPA,” has rejected that model entirely. He’s built a practice where he works just 40 hours during tax season and just 10-15 hours per week the rest of the year. His firm generates roughly $225,000–$250,000 annually, giving him time for family, fitness, and hosting memorable networking events.

Earn CPE for this episode: You can earn Continuing Professional Education credit by listening to the podcast and then taking a brief quiz in the Earmark app.

Escaping the Public Accounting Treadmill

After 12 years and seven different firms, Yuri kept encountering the same frustrating culture: pressure to bill more hours, looking busy for appearance’s sake, and efficiency being punished.

“I would look at these partners who are in the office more than I am. I’m leaving and they’re still there,” he recalls. “They have a boss, just like I have a boss. If I can make $800,000 and work 10 to 2, I would have stayed. But you can’t.”

Yuri decided to break free by purchasing a small block of clients from a friend. That deal unexpectedly fell apart, but he decided to move forward anyway. He contracted part-time with two CPA firms, working two or three days a week while gradually building his client base. This bridge approach kept his income steady and let him say “no” to prospective clients who weren’t a good fit.

The Economics of Premium Pricing

The foundation of Yuri’s business model is simple but powerful: charge more, serve fewer clients, and provide exceptional value. He started with a minimum fee of $800 and now won’t take on any tax-only client for less than $2,000.

Yuri emphasizes that working fewer hours doesn’t mean delivering less value. It’s about charging enough to serve clients well without drowning in low-fee work. He explains the difference between accepting hundreds of returns at $300–$500 each—earning decent revenue but shouldering an avalanche of busywork—and serving fewer clients at a much higher minimum fee.

Here’s how the math works when comparing traditional high-volume practices to his approach:

Traditional Model:

  • 300 clients at $500 per return = $150,000 revenue
  • At least 1 hour per client (realistically more with admin, communication, etc.)
  • 300 hours over just 8 weeks (Feb 15 – Apr 15) = 37.5 hours weekly at a minimum
  • Reality: Information arrives late, questions pile up, schedule compresses
  • Result: 60+ hour weeks, constant administrative chaos

Yuri’s Model:

  • 100 clients at $2,000+ per return = $200,000+ revenue
  • Higher-value clients with more complex needs
  • Work spread more evenly, better boundaries
  • Result: 40-hour weeks max, even during tax season

That doesn’t simply triple his revenue per client—it dramatically changes his day-to-day life. He feels in control of his workload, and his clients benefit from more personalized attention.

The most surprising discovery? Yuri says, “As the price went up and as you’re dealing with somebody who’s seeing your value, you know what goes down? The number of questions, the number of bothers.”

Service Packages That Create Value for Both Sides

Beyond standalone tax returns, Yuri offers:

Quarterly Package: Starting at $1,500 per quarter ($6,000 annually)

  • Tax preparation for business and personal returns
  • Proactive tax strategy discussions
  • Quarterly planning meetings (approximately one hour each). Having this regular touchpoint helps avoid unpleasant surprises in April.

Monthly Package: The “full service” option

  • Everything in the quarterly package
  • Bookkeeping (outsourced locally in Brooklyn)
  • He still maintains a quarterly meeting schedule rather than monthly. This structure keeps everyone on track but prevents excessive demands on his time.

Life by Design: What Freedom Looks Like

In large firms, partners can earn very high incomes—sometimes $800,000 or more a year. But from Yuri’s perspective, those partners often trade away family time, mental health, and control of their schedules to hit those numbers. Many are still at their desks long after younger staff have gone home.

Yuri has optimized his practice to support his priorities: 

  • family time with his two young children (ages 2 and 6), 
  • fitness, and 
  • enjoying life.

His summer schedule is particularly enviable. “My friends make fun of me, and it’s partially true—I don’t really work. Especially in the summertime, it’s like 2 to 3 hours a day at most. And we can do it from anywhere.”

He’s accessible to clients (they can text him directly), but because he’s selective about who he works with, this accessibility doesn’t become overwhelming. He even occasionally takes client calls while at the gym.

Yuri also hosts creative networking events to bring business owners together. When asked what he gets from these events, he answers simply: “I have no goal. I literally am here to put these people together so they can interact and do business together.”

Breaking Free: Advice for Building Your Practice

If you’re considering a similar path, Yuri offers these tips:

  • Start with Contract Work
    “My advice to anybody looking to go out on their own—try to find a contracting gig. Those 2 to 3 days will keep the lights on while you build your firm the way you want to with the other 2 or 3 days.”
  • Start with Higher Fees Than You Think

“If you’ve already built a firm with a lot of volume but want to get to the value aspect, it is extremely difficult to just all of a sudden say, ‘By the way, I know I was charging you $500, it’s $1,000 now.’ Not only will you lose the client, but you’ll lose reputation and street cred.”

  • Be Ruthlessly Selective About Clients
    “Here’s how the conversation typically goes with a prospect looking for cheaper returns: ‘Hey, are you taking on clients like me?’ And I’ll say, ‘Are you a business owner?’ And they’ll say, ‘No, I have a W-2 only.’ I’m like, ‘I’m happy to work with you W-2 only. My minimum fee is $2,000.’ Then I stop talking.”
  • Create a Memorable Brand

Whether intentional or not, having something that makes you stand out helps attract the right clients and sets expectations about your approach to accounting.

Building the “Fun CPA” Brand

Establishing a personal brand was a key part of Yuri’s strategy. His Instagram handle and hashtag—#thefunCPA—emerged almost by accident. But it quickly set him apart in an industry that often feels stiff. He showed up at events with “Fun CPA” banners, printed T-shirts, and a big smile, which made people do a double take.

Yuri also hosts networking events that don’t feel anything like typical “mixers.” He might invite business owners on a boat outing or to a local hangar party where private jets are on display. His main purpose is to connect people and let them create business opportunities together. If they want to talk taxes or accounting, they’ll ask.

Rethinking Success in Accounting

The accounting profession often measures success by top-line revenue and billable hours—metrics Yuri calls “trash” and “imaginary.”

“I think as a profession we need to refocus. And especially if we want to fix this pipeline problem, the way we do that is by focusing on the people—your number one asset,” he says. “When you neglect that and just grind them for billable hours that mean absolutely nothing, it is of no surprise to me that people are leaving.”

Yuri’s model shows that building a profitable, sustainable practice that prioritizes accountant and client well-being is possible. By serving the right clients at the right price, you can transform accounting from a seasonal grind into a genuinely rewarding career—one with time for birthday celebrations, family dinners, and maybe even the occasional boat day.

Want more details? Listen to the full Earmark Podcast episode with Yuri Kapilovich, and don’t forget you can earn CPE credit by downloading the Earmark app and taking a quick quiz after you listen.

Beat Spreadsheet Chaos and Improve Audit Efficiency  

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If you’re running an accounting firm, one statistic should be on your radar: 30% of audit engagements fail to stay on time and within budget. In an era of talent shortages and rising client expectations, this isn’t just a scheduling issue—it threatens profitability and long-term client relationships.

The Frustrations of Manual Approaches

Anyone who has worked in public accounting knows how messy things can get trying to manage work with Excel spreadsheets, SharePoint folders, and long email threads. You may try to keep everything in one email, but it often becomes too cluttered. If you create several threads for each request, you can easily lose track of them. This confusion can lead to clients forgetting which documents they have sent, and the audit team spends too much time trying to find out what is still missing.

Many firms face challenges with low realization rates and delayed projects, largely due to cumbersome manual workflows. As a result, client experience can also suffer. Keep in mind that your client contact has a full-time job, and sifting through emails to locate the correct request only adds to their frustration.

Enter Suralink: Reinventing the PBC Process

In a recent Earmark Expo, Ryan Smith showcased Suralink, describing it as the industry’s leading “Provided by Client” (PBC) solution, serving over 1,100 CPA firms and 6,500 client users, including 60% of the top 200 CPA firms. Suralink was born from a CPA’s firsthand frustration with spreadsheets and email threads. The goal? Streamline client collaboration so that everything—document requests, file uploads, comments, and status updates—happens in one secure portal.

Key Features for Modern Audit Workflows

Here’s how Suralink helps to address the challenges of manual processes and reimagine client engagement for faster and more profitable audits:

  1. Single Source of Truth
  • All request items are tracked within one platform—no more scouring inboxes, no more juggling Excel checklists.
  • Color-coded statuses (Outstanding, Fulfilled, Returned, Accepted) make it easy for clients to see what’s pending. Turning “boxes” yellow or green creates a sense of progress and gamification.
  1. Assignment and Permissions
  • Each request can be assigned to a firm user or a specific client contact. Users see only the items relevant to them, reducing confusion.
  • Sensitive requests (e.g., payroll data) can be “locked,” so only designated individuals see those documents. Clients appreciate the added confidentiality.
  1. Consolidated Communication
  • Instead of cluttered email threads, each request includes its own dedicated comment section. Conversations stay in context; everyone can refer to them as needed.
  • Daily digest notifications keep the engagement team updated on new uploads or comments, while an “escalate” feature sends real-time alerts for mission-critical deadlines.
  1. Roll-Forward Simplicity
  • For recurring engagements—like annual audits—Suralink’s roll-forward function saves last year’s request structure and assignments. When the new cycle begins, your client can see what was provided before, drastically reducing guesswork and set-up time.
  1. Secure File Sharing and eSignature
  • Documents are uploaded directly into a secure portal, eliminating the need for unencrypted email attachments.
  • A built-in eSignature feature allows firms to send engagement letters, Form 8879, or other documents for electronic signatures. Clients receive an automated prompt and can sign right into the platform.
  1. Dashboard and Visibility
  • Partners and managers get an at-a-glance view of every active engagement. They can filter by department, office, or individual staff member to see where bottlenecks occur.
  • A complete audit trail logs every upload, download, comment, and status change, ensuring full transparency.

Efficiency, ROI, and Client Satisfaction

When CPA firms switch to Suralink they see up to 40% time savings in managing document requests alone. Instead of struggling through manual checklists and email clutter, engagement teams focus on higher-value tasks—like analyzing data and advising clients.

Clients also notice a major improvement in service quality. Everything is in one place, and they can easily upload or view what’s needed. Ryan Smith mentioned that some clients have explicitly told their CPA firms, “If you ever leave Suralink, I’ll find another firm that uses it.” That’s a telling endorsement for any technology investment.

Laying the Groundwork for an AI-Driven Future

The future of audit and assurance services will undoubtedly involve artificial intelligence. Suralink is already preparing to add document preview and AI-driven checks—so the platform can verify whether clients have uploaded the correct file or automatically flag mismatched data.

Behind the scenes, an extensive API allows firms to integrate Suralink with other core systems, from CRM platforms that create new engagements automatically to document storage solutions for archiving. This open architecture paves the way for AI tools that handle basic document verification, sampling, and initial quality checks. Think of it as building a modern foundation that supports the next wave of innovation in accounting tech.

Fast Implementation and Transparent Pricing

Beyond the technology itself, Suralink stands out for its rapid onboarding:

  • Implementation: Firms with hundreds of users have gone live in about a week or two.
  • Training: Options range from weekly webinar sessions to dedicated Customer Success Managers under the Professional plan.
  • Pricing: Typically per firm user (around $29 per month under the Standard plan). All clients, engagements, and storage are included, so there’s no added cost per client or per project.

Why Now Is the Time to Innovate

With talent shortages squeezing firms, rising client demands for better digital experiences, and a 30% risk of engagements blowing past budgets, now is the moment to rethink your PBC process. Modern collaboration tools like Suralink eliminate inefficient back-and-forth, keep data secure, and free your team to focus on what really matters—delivering high-quality audit and advisory services.

And this is just the beginning. As AI capabilities expand, the right platform will let you tap into automated reviews, faster document verification, and other efficiencies we’re only starting to imagine. By choosing a solution designed for the future, you’ll protect the investment you make today and position your firm for years of innovation and growth.

To learn more about how Suralink can transform your engagements and improve client collaboration, check out the Earmark Expo. Whether you’re a solo practitioner or part of a top 25 firm, it’s time to break free from the old way of doing things—and close the door on that 30% problem for good.

Cut the Clutter: Achieve Real-Time Financial Insights with Coefficient’s Integrations

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If you’ve ever wished you could pull data from multiple accounting, e-commerce, or payment platforms directly into your spreadsheets—no coding required—you’re not alone. In a recent Earmark Expo webinar, Coefficient Co-Founder and CTO, Tommy Tsai, joined hosts Blake Oliver and David Leary to demonstrate how a single tool can connect over 70 systems and automate the workflows that have long plagued accounting professionals.

The Data Fragmentation Dilemma

“We’ve got data in QuickBooks and Xero, data in Stripe, Google App Store, Apple App Store, our CRM, and probably 20 other places I can’t even remember right now.” – David Leary

This quote describes the all-too-familiar reality of data scattered across multiple platforms. Tommy explained that this isn’t a one-off issue: “Everyone has that problem.”

To combat rampant data fragmentation, Coefficient provides direct connections to dozens of platforms—such as QuickBooks, Xero, Stripe, Salesforce, and Shopify—and pulls real-time data into Google Sheets or Excel. 

Unlike solutions that rely on Zapier or complex coding, Coefficient’s integrations aim to be user-friendly for accountants and bookkeepers.

Connecting Directly—No More Manual Exports

During the live demo, Tommy showcased how easy it is to import data from QuickBooks into a spreadsheet:

  • Choose the “Import” button in the Coefficient sidebar.
  • Select a connected QuickBooks account (or any other supported system).
  • Preview reports—like Balance Sheets or P&Ls—before importing.
  • Set custom date ranges and summarize by month, quarter, or year.

In just a few clicks, the spreadsheet updates with real-time data from QuickBooks. The same approach works for raw transactional data, like invoices, including custom fields. Coefficient also supports multi-client workflows: a single user license can link up to 10 different QuickBooks files on the Pro plan, enabling accountants to handle multiple entities without repeated setup.

Pre-Built Dashboards & Automated Refresh

Tommy unveiled pre-built dashboards for QuickBooks data—think cash flow projections, P&L summaries, even combined views for QuickBooks + Shopify or QuickBooks + Stripe. Once created, these dashboards automatically refresh on the schedule you set—hourly, daily, or weekly.

He emphasized the “build once, set to auto-update every hour, and you pretty much have a live dashboard you don’t have to touch ever again” aspect. No more tedious monthly exports or snapshotting spreadsheets by hand. Coefficient can also create a historical snapshot tab on a schedule (e.g., every Monday morning), allowing you to review changes over time.

Slack Alerts & Email Notifications

Beyond simply pulling data into a spreadsheet, Coefficient also offers powerful automations that notify you—and even your clients—when new data or updates appear. Using triggers, you can configure:

  • Slack Alerts: for newly overdue invoices, newly uncategorized expenses, or any row that meets certain criteria.
  • Email Alerts: automatically email a copy or summary of a refreshed dashboard to colleagues or clients.

For instance, if a client has overdue invoices, Coefficient can send you a Slack message with the details, along with a link back to the spreadsheet.

Upcoming Feature: Export Data Back to QuickBooks

Although currently live for Salesforce and other systems, exporting data back into QuickBooks is a highly anticipated feature that Tommy says will go live soon. This will allow accountants to correct or categorize large sets of QuickBooks transactions in a spreadsheet—and then sync them back, eliminating tedious one-by-one edits. As Blake put it, this is especially handy for uncategorized transactions or missing classes.

AI in Your Spreadsheet: GPT Copilot

One of the most talked-about features of Coefficient is its built-in GPT Copilot. Tommy explained that you can use ChatGPT’s functionality directly in your spreadsheet formulas—for everything from text transformations to classifying transactions.

Key AI Functions Include:

  • GPT Classify – Pass a transaction description and a list of valid labels (e.g., expense categories) to automatically categorize expenses.
  • GPT Formula Builder – Simply type what you want in plain English (e.g., “combine text in cells A2 and B2”) and receive a working formula.
  • GPT Summarize – Generate narratives or bullet-point analysis of financial data, streamlining basic management reports.

While AI can drastically reduce manual labor, Tommy stressed a “human-in-the-loop” approach: “It’s just as confident when it’s wrong as when it’s right.” In other words, the final review is still up to you, ensuring data integrity and professional judgment remain intact.

Pricing & Special Offers

Coefficient offers both monthly and annual plans on a per-user basis. The Pro plan is $99/month (when paid annually) and includes six data source types plus up to 10 accounts per source. Crucially, your clients do not need a paid license to view or refresh your shared spreadsheets—only the primary user who sets up the automations needs a license.

Special Deal for Accounting Firms:

  • Get one license free for a year when using Coefficient’s QuickBooks integration.
  • Email team@coefficient.io to claim this offer.

Coefficient also runs a referral program: refer a client who purchases their own license, and receive 20% of the first year’s subscription in return.

Conclusion: A New Era of Automated Accounting Dashboards

In an industry where spreadsheets remain the go-to analysis tool, Coefficient bridges the gap between multiple data systems and your workbook. From multi-source dashboards to AI-driven classification and Slack alerts, it merges modern automation with the familiarity of Excel or Google Sheets.


Watch the full Earmark Expo to dive deeper into these capabilities, see a live demo of Coefficient, and learn how you can integrate it into your own workflows. To explore Coefficient and claim your free license for QuickBooks integrations, reach out to team@coefficient.io. You’ll soon be wondering how you ever navigated the scattered-data landscape without it.

Tired of the January Scramble? Discover a Proactive Approach to 1099 Compliance

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No one brushes their teeth only the day before a dentist appointment and expects a clean bill of health—yet many businesses approach 1099 compliance in exactly this way. Every January, they scramble to collect W-9s, validate tax IDs, and rush out filings before the deadline. This last-minute frenzy creates stress and exposes companies to serious penalties if documentation is missing or incorrect.

In a recent Earmark Expo webinar, Gordon Walsh from Avalara demonstrated how modern automation tools like Avalara 1099 & W-9 can transform 1099 compliance from a reactive, annual challenge into a proactive, year-round process. By embracing real-time TIN matching and automated W-9 collection, businesses can significantly reduce compliance risks while freeing up valuable time during the year’s busiest season.

1099 Compliance Shouldn’t Be an Annual Fire Drill

Federal law requires businesses to collect W-9s before making payments to vendors. Despite this requirement, many firms still rely on manual processes: chasing vendors for handwritten forms, deciphering errors, and hoping everything arrives before January 31st. Without valid taxpayer information, businesses must withhold 24% for backup taxes—a situation that can create significant cash flow issues for vendors and administrative headaches for businesses.

“January’s 1099 season is really just where we feel the pain of all the things that we’ve done year-round that maybe didn’t get done,” explains Gordon Walsh. This reactive approach inevitably leads to costly, last-minute fixes and potential penalties.

The Power of Automated W-9 Collection

Traditional W-9 collection relies heavily on email and PDF exchanges—a system Gordon critiques saying, “There’s no other place in my life and business anywhere where I’m giving handwritten documents to people and expecting to do business with them.” 

Modern automation tools solve these challenges through:

  • Guided electronic forms with built-in validation
  • Intuitive menus that reduce classification errors
  • Centralized dashboard for tracking compliance status
  • Automated classification checks for 1099 requirements
  • Electronic delivery consent during onboarding

Having a system to collect vendor information ensures the capture of correct legal entity names, preventing downstream mismatches with IRS records.

Real-Time Validation: Preventing Costly Mistakes

Real-time TIN matching serves as the cornerstone of modern compliance systems. Instead of discovering mismatches after filing or receiving notices months later, Avalara’s system validates tax identification numbers during vendor onboarding. 

When mismatches occur, vendors can correct issues immediately, preventing:

  • Notices from the IRS
  • Mandatory 24% backup withholding
  • Time-consuming vendor follow-up
  • Potential penalties and fines

The system returns validation results directly to vendors during the submission process, allowing for immediate corrections. This preventative approach significantly reduces the risk of receiving IRS notices demanding backup withholding or corrections.

Streamlined Year-End Processing

The platform’s dashboard provides clear visibility into compliance status using a stoplight system:

  • Green: Ready for e-filing and electronic delivery
  • Yellow: E-filing ready but requires physical mail delivery
  • Red: Issues requiring immediate attention

For corrections, which are provided at no additional cost, the process has been simplified to a few clicks. Users can edit information directly in the system, with automatic filing of corrected forms to both state and federal authorities.

Integration and Accessibility

The system integrates with major accounting platforms like QuickBooks and includes bulk import capabilities for larger datasets. A global search function enables quick access to historical forms, allowing users to resend documents to recipients within seconds rather than searching through saved PDFs.

Historical data is maintained for five years, and the platform includes:

  • Secure document-sharing capabilities
  • State-specific compliance automation
  • Address verification through USPS
  • Multiple user access with role-based permissions

Pricing and Implementation

Rather than charging by the number of clients or users, pricing is based on total form volume. This tiered pricing model creates economies of scale—from several dollars per form at lower volumes to cents per form for high-volume users. While physical mailing incurs additional costs, the system encourages electronic delivery through early consent collection, helping businesses reduce expenses and administrative overhead.

The platform’s ease of use has earned it an NPS score of 79, reflecting its intuitive design and comprehensive feature set. With continued development, including a recently tripled development team, the system aims to expand its integration capabilities and streamline data flow between various business systems.

Through this combination of preventative validation, automated collection, and streamlined processing, businesses can transform their 1099 compliance from an annual emergency into a manageable, year-round process. 

Watch the full Earmark Expo webinar to see these automation tools in action and learn how to implement a proactive approach to compliance.