Knowing what to look for when hiring an accountant is not an easy task, requiring careful consideration. Your hired accountant needs to be as reliable as a colleague, offering you the best advice necessary to assist your business’ growth. When choosing the right one for your business, here are some tips to make the task that little bit easier:
Choose a Chartered Accountant or Certified Public Accountant
Accountants do not necessarily have to be a Chartered Accountant or a Certified Public Accountant – but certification should be a prerequisite when considering who to hire. Having one of these qualifications means the accountant is a skilled professional who would have completed degree-level study, along with sufficient workplace experience and a professional competence programme. A Chartered Accountant or a Certified Public Accountant will know how to add the best possible value to your business as they have wider knowledge with relevant experience.
Look for relevant expertise
The type and size of your business will affect who you hire. Search for an accountant with experience preparing tax returns and financial documents for companies of a similar size and revenue to yours. Experience with companies in a similar market or industry is a bonus. This means they will most likely understand the unique needs of your business from the get-go – saving you time and money.
How to hire an accountant who is proactive about saving your money
Before hiring an accountant, ask how the expert suggests you best save your business money. For example, what proportion of your operating costs do they think you can offset against your EOFY tax bill? If you’re not too savvy on the current tax concessions, your hired accountant can help with the details so your business maximises the savings.
Every accountant will charge its services in different ways – Some may charge by the hour, a monthly retainer or others could charge a percentage of your turnover amount. Make sure to compare your three quotes carefully after submitting the job request and take note of their charging method; which option will extract the most value for your money?
What type of service does an accountant offer?
Maintaining well-kept records is vital to any personal or business accounting service. This service can be offered through online software platforms or in person.
Ensuring business operations run as smoothly as possible, accountants offer expertise and advice when it comes to general accounting services. These include:
- Tax return preparation
- Personal financial statements
- Litigation support
- General ledger & financial statement preparation
- Accounting system setup for new businesses (like Xero or MYOB)
- Business payroll services
Daily Cash Flow & Budgeting Support
To ensure your business stays on top of its cash flow with the support of an accountant, a reliable accountant will forecast and evaluate your company’s financial condition, estimate financing requirements, and track cash-flow sources and uses.
Financial Forecasts & Projections
Forecasting is a necessity when trying to effectively take a business to profitability. From simple projections to complex financial modelling, an experienced accountant will become a pivotal part of helping you achieve your company’s financial goals.
Financial statements are an important part of any business, whether it be for tax or capital raising ventures. An accountant will produce these statements in accordance with the current highest standards, saving you time, money and stress.
Audit services allow the business to proactively look at its current position and processes, and make adjustments based on the company goals. Having a trusted and trained accountant provide this service is a greatly valuable addition to day to day accounting services.
Accounting Software Selection & Integration
There are many different online accounting software programs available such as MYOB, Xero and Freshbooks. An experienced accountant will help you choose which platform is best suited to your needs.
Both big and small accounting firms offer consulting services as value adds for customers outside of daily accounting services required. Depending on the size and experience of the firm, here are a number of different consulting services that can be offered:
- Buying/selling a business
- Accounting software selection and implementation
- Type of entity selection
- Financial & retirement decisions
- Estate, trust & gift planning
- Business valuations
- Computer systems
Finding the right accountant can be a daunting task but don’t take any chances with the financial details of your business. Hire the right accountant by taking the time to thoroughly sift through profiles on Oneflare and read customer reviews to get a feel for your an accountant’s competency and work ethic.