On the day your small business gets big enough to hire an accountant, you may relish the thought of delegating this responsibility to someone else. At the same time, the decision is nerve-racking, since you will be entrusting an outside professional with sensitive financial information.
The day you can hire accountant is exciting. The responsibility is finally somebody else’s! However, this can be extremely nerve-racking, since someone who is unfamiliar with your financial information will now be handling everything. You need to be able to trust whoever you hire. So here are a few things you may want to consider taking the plunge:
1. Ask for Referrals from People You Trust
The easiest way to find an accountant that’s best for your business is to ask your fellow colleagues and friends for referrals. You’ll be instantly more informed about the person’s skills and won’t have to dig through as many resumes or call as many references.
2. Shop Around
Don’t settle on one person instantly. Remember they want to work for you, so don’t be afraid to ask questions and thoroughly vet prospects.
3. Check Their References
Ask potential accountants for client references, particularly from clients in your industry. If you are considering CPAs, AICPA has links to all the state CPA registries. There is also an online lookup tool provided by the National Association of State Boards of Accountancy.
4. Find out How Responsive They’ll Be
There is nothing worse than placing your finances in someone else’s hands only to find that he or she doesn’t return calls quickly or doesn’t provide adequate information when you’re under the gun. Ask potential candidates about their turnaround time for filings and reports. Find out from their references how responsive they are to requests.
5. Get Clear about Rates
Don’t get surprised when bills arrive. Make sure you understand their fee structure and estimate your monthly costs. You need to understand your budget just as much as your accountant does so you don’t break the bank.
6. Know Your Own Bottom Line
Understand your cash situation so you understand what you are asking your accountant to do. It’s up to you to ensure that your accountant provides the level of service you expect, but an accountant isn’t a monetary wizard, so don’t make them solely responsible for your financial successes or failures.
To read more extensively, visit http://quickbooks.intuit.com/r/advisors-and-board/8-things-know-hiring-accountant.
Beaton Accounting has a tax service that can help you file all your deductions. If you plan on doing any of these 5 things, don’t forget that income tax rules differ from federal tax rules. Call our experts when you have concerns! For a FREE tax consultation, call TODAY! (621) 921-6894.
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