Peter Witts, CPA PC

05/29/2026

Many companies are focused on winning their Phase I SBIR award.

Fewer are thinking about what happens next.

As companies move from Phase I to Phase II, the expectations often increase, with larger budgets, additional reporting requirements, more complex cost tracking, and greater scrutiny over financial systems.

The accounting processes that worked during the early stages of growth may not be enough to support the next phase.

In our latest article, we explore signs that it may be time to strengthen your accounting system and why preparing early can help you avoid challenges later.

Read the full article: https://www.wittscpa.com/blogs/phase-i-to-phase-ii--when-sbir-companies-need-a-stronger-accounting-system

SBIR and STTR funding often starts with a focused Phase I award: prove feasibility, advance the research, and validate the technical direction. But as companies move toward Phase II, the financial...

05/28/2026

Applying for SBIR/STTR funding is exciting — but before submitting an application, it’s important to ask one key question:

Is your business financially prepared?

Many applicants focus heavily on the technical side of the proposal, but financial readiness plays a major role in long-term success and compliance.

In this article, we break down:
✔ Key financial areas to review before applying
✔ Common readiness gaps we see with applicants
✔ Why strong accounting and compliance systems matter early on

Preparing now can help avoid bigger challenges later.

Read the full article here: https://www.wittscpa.com/blogs/before-you-apply--financial-readiness-checklist-for-sbir-sttr-applicants

SBIR and STTR funding can help innovative companies move from early research to commercialization, but the financial side of the application is often underestimated.A strong technical idea matters,...

04/30/2026

Managing multiple contracts sounds like a good problem to have until cost allocation gets complicated.

Over the years, I’ve seen that as contractors grow, the biggest challenges aren’t always technical; they’re operational. Things like shared resources, cost segregation, and consistency across contracts can quietly create risk if not handled properly.

And the tricky part is, these issues don’t always show up right away. They tend to surface later, often during audits.

If you're working across multiple contracts, it’s worth taking a closer look at how your costs are being allocated and whether your systems can keep up with that growth.

We put together a breakdown of the common challenges and how to approach them in practice.

Read more here:

As government contractors grow, managing a single contract often evolves into handling multiple contracts across agencies, funding types, and cost structures.While growth brings opportunity, it...

04/23/2026

Even experienced government contractors can get caught off guard by a DCAA audit — not because they’re doing “bad accounting,” but because a few small gaps can create big questions.

Here are some of the most common issues we still see:
*Timekeeping that isn’t enforced consistently (or lacks an audit trail)
*Labor distribution that doesn’t cleanly tie to payroll
*Direct vs. indirect cost treatment that changes month to month
*Unallowable costs not identified early

Documentation that exists… but doesn’t match what people actually do
If you’re preparing for a DCAA audit (or want to reduce risk before one shows up), we wrote a practical breakdown of what contractors still get wrong — and how to tighten it up before it becomes a finding.

Learn more here:

For many government contractors, preparing for a DCAA audit becomes a priority only when an audit notice is received.However, even experienced contractors — including those who have been through...

04/15/2026

SBIR/STTR has officially been reauthorized — but this isn’t just a continuation. It’s a shift.

On April 13, 2026, the program was signed into law, extending funding through 2031. While this brings stability, it also introduces new layers of oversight, disclosure requirements, and performance expectations.

For government contractors, this means:
🔹 More scrutiny around foreign ownership and affiliations
🔹 Increased due diligence and reporting requirements
🔹 Greater emphasis on commercialization and real-world outcomes

In our experience, the biggest challenge isn’t understanding the rules — it’s applying them consistently across operations.

If you’re participating in (or considering) SBIR/STTR programs, now is the time to review your systems, processes, and compliance readiness.

We broke down what this means in practice and what contractors should be preparing for next.

Read the full article here: https://www.wittscpa.com/blogs/sbir-sttr-reauthorization--new-opportunities--heightened-oversight--and-what-contractors-should-do-next

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On April 13, 2026, President Donald Trump signed into law the reauthorization of the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs, extending them...

11/06/2025

Why do government contractors choose Peter Witts CPA PC?
Because they need more than just tax prep — they need a partner who understands the complexity of federal compliance.

From DCAA audits to navigating FAR clauses, we help our clients stay focused on what matters most: winning contracts and growing their business.

11/06/2025

What Makes Us Different at Peter Witts CPA PC

10/31/2025

This Halloween, the only scary thing you should face is your costume — not your accounting system.

At Peter Witts CPA PC, we help government contractors avoid terrifying audit surprises by keeping your books compliant, your cost structures clean, and your indirect rates under control.

📑 No tricks — just reliable, expert guidance.
🕸️ Ready for a no-fear consultation? Let’s talk.

10/28/2025

Learn something new about government contract accounting:
Changes in federal regulations can impact your accounting requirements every year. We stay on top of the latest rules so you don’t have to.

10/27/2025

Clear up the confusion around government contract accounting with this myth-busting insight:

Fact: Government contract accounting is a specialized niche. Our firm focuses exclusively on this space.