What questions should you ask before hiring an accountant or bookkeeper?

Making any decision in a business that costs money should be well thought out. The last thing you want to do is make the wrong decision and waste a bunch of money. Outsourcing bookkeeping and accounting can be a cost-effective way to keep the companies’ financials in order. I have compiled a few questions you should be asking before you make any decisions about the books.

1)    What industries do they work with?  

Make sure you are hiring someone that knows your industry. Accounting practices can vary from industry to industry. Someone that is well versed in medical accounting might not have the skills or knowledge to manage construction accounting or vice versa. Not all accounting can be treated the same.

2)    What type of work or services do they perform?

What they do for you or the business is very important. We have had many clients switch to our services after finding out they were overpaying for simple bookkeeping when they could have a much better relationship with us handling the books. Accounting firms will charge high prices and take on a ton of clients and do minimal work.

3)    What can I expect to be done each week/month/quarter?

You should have a partnership going with your accountant/bookkeeper. If you do not know what they are doing to handle your accounts, then what are you paying for? Communication is key. Nothing is worse than needing to make a financial decision just to hear back from your accountant in “3-5” business days. We will always be open with our clients and share the scope of work we are performing for you.

4)    What qualifications and experience do they have?

Expertise is necessary in the accounting world. One small mistake can lead to HUGE issues in accounting. Let’s face it, we are all human, but experience and knowledge can help alleviate those costly human errors. But how do you know what type of experience is necessary or if you need an accountant or a bookkeeper? Check out my blog about the difference between an accountant and a bookkeeper here.

5)    How much does it cost?

You pay for what you get. Do your research. Just because a number is low does not mean it is the way to go. Make sure you are getting your money’s worth. If you are interested in knowing what bookkeeping services should be performed daily/weekly/monthly/quarterly/annually…download my bookkeeping checklist here.

6)    How will they help the overall picture?

When you outsource your accounting, you should have a goal in mind, to save time, money, increase the bottom line and mitigate taxes. If your current accountant or bookkeeper is not doing this, it is time to reevaluate where your money is going.

Here at PennyRoyal Accounting, LLC our accountants have the experience and expertise to make sure you are given the full “accounting experience” you deserve. Our goal is to make sure you can make the financial decisions necessary to move your business forward. We will make sure your records stay clean and accurate providing you the reporting and advice you need to make financial decisions. We do not cost an arm and a leg either! Contact us today for a free consultation or a custom quote!