After successfully clearing all CA attempts, one thing comes to everyone’s mind either to start a practice or apply for employment. Both of the options have some set of advantages and disadvantages. It is quite difficult to say which option is better as it totally depends on several factors such as Initial Investment, long-term/short-term income priorities, Risk etc.
The most important factor in opting for practice is that You are a Boss instead of Working Under the Boss
There is no risk and you don’t require any capital for the investment whenever the CA has chosen the practice.
Advantages and Disadvantages of Employment After CA Course
Just after ending up the CA course one will be having multiple options for a job as a CA himself, but what are the actual pros and cons of pursuing a Job after a CA is to be seen:
Advantages of CA Job
- Returns Start Coming Early: MNCs offer good salary packages to qualified CA’s, therefore, making them a good option at the starting stage of the profession.
- Zero investment: You don’t require any of the working capital for settling an office so the investment is not applicable
- Career Growth: If you have chosen a good field/ area or well-renowned company for employment definitely you will get good potential growth
- No Networking Required: You don’t require to make a network or have great communication skills but you would get the fees/ stipend
Read Also: Payable Salary of CA (Chartered Accountants) in India
CA Job Disadvantages
- No Authority: If you chose employment under CA, you don’t get authority of signing power/attesting
- Under-Utilization: You are limited to a particular field or subject area, which dissolves your hard work over completing studies done in your professional course.
- Slow Growth: Your Career Growth is restricted to a particular field or area and the fluctuation seems to be only seasonal.
- Less Freedom: Unless a person works in his own business, there is no freedom for him
We have discussed all the major advantages and disadvantages of employment under CA, now it’s time to go through the valid points under the CA practice, and to see the actual pros and cons of a CA doing his own practice.
List of Advantages and Disadvantages of CA Practice
CA practice is a full-strain task and it is to be seen whether to continue the practice after completing the CA course or to choose some other way. Let us check out the pros and cons of CA practice after the CA course completion:
Advantages of CA Practice
- Potential Growth: Definitely there is potential growth for the long term as a practising CA will be building a network of clients
- Satisfaction: A higher level of satisfaction attainment under the CA practice and the most important part is that you can establish your own institution
- Social Status: You gained a great reputation and respect from society Professional Reputation & respect from the society
- Versatile: Here You get in touch with every subject of Chartered not constrained to a particular field
- Full Freedom: Under CA’s practice, individuals have no need to take permission from HR for leaves. They can easily spend quality time with friends and family members
Recommended: Best Business Opportunities for Chartered Accountants in India
Disadvantages of CA Practice
- Start From the Zero: Initially you have to start from the zero level, it takes some time to create good contract/ deals clients so here you require a higher level of patience
- Higher Level of Risk: To start any business/ institution there is a higher level of risk as every CA must hold the risk-taking ability
- Managing Skills: Enthusiasts Chartered Accountants must have the capability to manage various tasks/ activities but not be constrained to a one field
Read Also: What is the Future Scope for Chartered Accountants
Third Option! Is it Better?
Young Chartered Accountants (CA’s) can also choose the third option that they can do a job/ employment in a CA firm for starting 3-4 years after they establish their own institution as well as start their own practice. It is one of the feasible and most popular options for young Chartered Accountants (CA’s) but personally, this is not the practical solution for that individual who wants to really start their own practice/ institution. Some of the reasons are mentioned below:
- A salaried employee who is earning 1 lakh per month, it difficult for them to leave the job and establish their own practice/ firm and starts from the zero level (income). Apart from that, they don’t want to leave their comfort zone, as they always prefer the firm/ organization which offers a better package.
- If in case CA has started working in any Audit firm or Audit department in a company, he is constrained to the particular Income Tax Laws and Commercial Laws
- Many young CAs who adopted this option think might they are doing this to get the knowledge/experience for starting their own practice/ enterprise but the practicality once an individual has started doing the job, he/she is the job.
- Once you entered your married life, your responsibility has enhanced so it’s very difficult to take the risk of starting your own practice.
