Five ERC Red Flags to Watch For
Here are some red flags to watch for when hiring a company to handle the Employee Retention Credit (ERC) for your company:
- Lack of Experience: ERC is a complex tax credit and requires specialized knowledge to navigate. Make sure the company you hire has experience with the ERC and a proven track record of success.
- No Compliance Guarantee: A reputable company should be able to provide a guarantee of compliance with all applicable laws and regulations. If a company cannot provide this guarantee, it may be a red flag.
- Unrealistic Promises: Be cautious of companies that make unrealistic promises about the amount of credit that can be claimed. The ERC is subject to specific eligibility requirements and maximum credit amounts, so it’s important to work with a company that provides accurate information.
- High Fees: Be wary of companies that charge high fees for their services. While it’s important to find a company that provides quality services, it’s also important to ensure that the fees are reasonable and in line with the industry standards.
- Lack of Transparency: A reputable company should be transparent about its methods and provide clear, concise explanations of its services. If a company is not forthcoming with information or is difficult to communicate with, it may be a red flag.
It’s important to carefully evaluate any company before hiring them to handle the ERC, as errors or oversights can have serious consequences. We have processed over 1,000 ERC applications through our preferred ERC partner .
If any of these sound like your ERC processor, or if you are unsure if you qualify for ERC, Small Business Lending Source is here to help. SBLS ERC team can help you determine if you qualify for ERC at no upfront cost to you. Get started today by scheduling a call today or complete the SBLS ERC application.