7 Things to Consider When Hiring Your Small Business Accountant

If you are in the initial phases of running a small business, one of the things you should consider hiring out rather than try doing it yourself is accounting. While small business owners are deemed experts in their own niches, they are rarely accounting, tax or legal experts too. Remember an accountant will help maintain the fiscal health of your business.
The financial aspect of your small business is best taken cared of by a professional expert who not
only can help things get done like taxes but also guide you about the process and offer valuable advice on what you need to be aware of as a small business owner.
Given how crucial number-crunching is for every business, here are seven things to consider when hiring your small business accountant:

1.     Hire one from the beginning.

If not, consult with one. Most business owners fail to see the importance an accountant’s insight can give when starting a business. During the startup process, an accountant can determine the best business structure for your company (sole proprietorship, LLC, partnership, corporation), assist with the financial analysis in your business plan, give advice on the type of accounting software you may need and make sure your accounting procedures are compliant with government regulations.

2.     Have the right accountant for your business needs.

For you to be able to hire the right accountant for your business you need to ask yourself these questions:

• What are you business goals?
• What financial aspect of the business do you need help with?
• What’s important to you?

Set clear expectations on what you’re looking for. Decide on which aspect you need help with, whether it’s for tax preparation, auditing of financial statements or assessing a business expansion. From there you can look for an accountant who specializes on that specific field. For example, a tax preparer might not be the right fit if you want somebody who can give you advice on the worth of your assets and liabilities in the market today.

3.     Determine his level of involvement in your operations.

For startups, budget is usually limited so you can choose consultancy that limits an accountant’s hands-on activity, reducing expenses. Or you can hire them during the initial startup phase and let him handle annual financial auditing and reporting but make them work with a bookkeeper to regularly manage your books. It is actually recommended that you have a tandem accounting team like this for your small business – a bookkeeper and an accountant.

4.     Make sure lines of communication are always open.

Or better put, your accountant can be easily reached. There are instances where accountants do a great job at helping your business up and running and then you never hear from them again once you need to ask questions.
If you run a small business, designate a contact person from your team to stay in touch with your accountant. If you have hired an accountancy firm and a lower level executive is your contact person, ask how often you will be meeting with the accountant himself.

5.     Look for value not just compliance.

Don’t just think compliance when you’re looking for an accountant – think valuable (and even priceless) advice.
An accountant SHOULD offer more than just compliance – he has to be able to ensure your business complies with government regulations, but there is so much more a great accountant can offer. They can offer business and tax advice that can save you money, help with budgeting, and even help you navigate your way out of a challenging time.
When interviewing for accountants, make sure you ask them what value they can bring beyond compliance.

6.     Consider technology.

There are so many technical aspects involved in the world of numbers and money such as software that enables quick statements and reports as well as electronic files that are organized for easier access to financial information. There is also the cloud technology. Look for someone progressive that is keeping up with the times. They can bring something new to the table that can improve your workflow.

7.     Study their pricing.

While we recommend placing importance on value, it is still advisable to study how they price their services. There are accountants who charge by the hour and there are those that offer “value pricing” – working on a specific portion or project then bills you for it. Find out which one works better for your business.
Remember accountants don’t just crunch numbers; they can provide essential business and tax advice for your company. Choose one that can bring more to the table.
Small businesses are making their ways into the commerce through some trials and errors along the journey. While budget is somehow limited among them, know that our services are reasonably priced, ensuring that you can reach your goals. Outsource your needed facilities and we’ll gladly assist you with all your concerns. Learn more!