Finding the time to run your business and remain compliant with accounting requirements can feel like an impossible juggling act, which is why many business owners turn to an accountant for support. However, putting your trust in someone else can feel daunting, especially when they’ll be assessing your company’s finances.
In this article, we’ll provide five solutions to choosing an accountant to ensure you feel comfortable and guarantee that your business’s finances are in safe hands.
Check Their Knowledge Aligns With Your Needs
As a small business, your needs differ entirely from those of an enterprise or large-scale project. While you can work with an accountant with experience in these sectors, it’s best to go with an accountant with experience working with small businesses. Selecting an accountant with knowledge of small businesses’ finances ensures they understand your challenges and how to direct your financial growth.
Explore Various Options
While it can be tempting to go with the dependable first option, it’s best to explore a few accounting options to ensure you make an educated decision based on a range of findings. You can compare education levels and industry experiences and check their insurance policies to eliminate liability risks due to poor advice.
When you’ve collected information on different accountants, you should have a clearer idea of who will work best with your company, giving you peace of mind.
Learn How Your Money Will be Used
A misconception regarding hiring an accountant is that they’ll mainly look after your taxes and annual accounts. However, a good accountant should be doing much more than this, and you must clearly understand how your investment in an accounting service will pay off.
A good accountant can help your business save money or increase revenue, which is essential to weigh against their fees. As a small business, all expenses add up, so adding another person to your payroll must be worth it. Make sure you ask questions regarding their fees and get to the bottom of precisely what their accounting ‘service’ includes.
Ask Questions
Leading on from our above point, you should ask your accountant many questions, covering more than just their fees. You must learn their background, asking questions regarding the industries they’ve predominantly dealt with and how their service could impact your business.
Review Performance
Knowing that you’ve chosen the right accountant won’t be an immediate realisation, and it’s best to review if your company’s financial performance has improved since working with an accountant.
Having a proactive approach by scheduling regular meetings with your accountant is advised, but the best way to tell if your accountant is the right one for you is to notice if they share this proactive approach. For example, they should share information with you and ask questions about your progress, offering guidance and advice on improving your company’s financial performance.
Considering Using an Accounting Service for Your Small Business? We Can Help
At YBM we strive to meet your business needs, and offer a range of services to do so. Get in touch with YBM to find out more about the accounting and business advisory services we offer.