Wearing many hats is a common situation for small business owners. From overseeing the daily operations to managing finances, it can be overwhelming to do these things at once.
Outsourcing accounting and bookkeeping is a viable solution for this. However, there are small businesses that struggle to find the right accounting firm for them even after assessing their business needs.
Our checklist includes questions you can ask when discussing your business needs to your preferred accounting firm. You may download your own copy here:
To provide a better understanding, we will be discussing the points highlighted on the checklist.
8 Key Considerations
Location
Location is a key consideration that’s sometimes missed out by small business owners. Remember that time is of important essence especially when avoiding missing deadlines. Even with the help of cloud accounting, the location of the accounting firm is important to access real-time data. You may need to discuss important matters face-to-face at a certain point.
Certification
This gives you the confidence that your finances are managed by qualified professionals.
While some tasks don’t require certification, a certification gives you a guarantee that all services rendered are in compliance to the rules and regulations.
Relevant experience
The accounting firm should have extensive knowledge on the trips and traps of businesses. This enables them to provide better and flexible solutions to your business needs. Their accounting and bookkeeping expertise minimises errors, even eliminating them.
Fees
Depending on the services offered, accounting fees vary across accounting firms. Some firms provide packages while others charge at an hourly rate.
You should be able to assess whether the charged fees are aligned to your finances and business needs. You might be spending more than expected.
Services offered
Your accounting and bookkeeping needs today may be different in the long run. Ensure that the outsourced accounting firm do not only offer a wide range of services. They should be able to provide flexible solutions and not a one-size-fits-all one.
Availability and capacity
Does the accounting firm have enough resources or time to accomplish your accounting or bookkeeping tasks? Having a lot of clients can be attractive as it shows the credibility of the accounting firm. However, it can be a disadvantage as it can potentially cause missing deadlines for your business.
Ask the accounting firm if there will be a dedicated point of contact who you can address your concerns to. This guarantees that a qualified person is overseeing your accounting or bookkeeping tasks.
Matched software
Make sure that the accounting firm is using, or at least has knowledge in, the same accounting software your business uses. This makes the workflow easier and sharing of data seamless.
Security/Data confidentiality
In any agreements you are entering into, data security is of utmost importance to mitigate the risks of data breaches.
Our partner, BMG Outsourcing, discusses how policies and network security are essential to safeguard your confidentiality.
Want to know more about outsourcing accounting and bookkeeping? Message us today at bbsi.admin@beale.net.au or give us a call at 02 9979 5033.
This article is provided as general information only and does not consider your specific situation, objectives or needs. It does not represent accounting advice upon which any person may act.
