Top Tips for Choosing Your First Accountant

Thinking of hiring a professional accountant for your business?

It’s a good idea. Ultimately, even with access to automated tools for invoicing and cash flow tracking, an accountant is still a good hire. It’s hard to get the most out of your business’ finances when you don’t have the advice of a professional.

Accountants can give you insights into how you can better structure your company and make yourself more profitable. Many small business owners also rely on their accountants for help keeping their books in order, meeting tax deadlines, and more.

So, how do you choose the right accountant? Here are some handy tips to get you started.

Do Your Research

First, start looking into accountant options as early as possible – potentially even before you start your business. This will give you more opportunities to examine all of the top companies in your area and learn what they offer.

Remember, different accountants will offer different services. Some might be able to help you manage digital invoicing and similar online services. Others will be able to form companies on your behalf, ensure you pay all the relevant taxes, and explore money-saving opportunities for your business.

If you know business professionals in your region, you might want to ask them if they have any accountants they recommend.

Make Sure You Can Trust Them

It’s difficult to know who you can trust at first. The best way to get started with an accountant is to ensure they’re properly qualified. Choose a professional with all of the right accreditations for your local area. For instance, they might be recognized by the ACCA or the ICAEW.

You can also look for a professional who has special knowledge in your area. While most accountants will be able to work with virtually any kind of business, you might find that a specialized accountant can give you more relevant information.

Once again, getting recommendations from people you already trust can be a good way to start.

 Know the Costs

Budget is always going to be a critical concern for a new business. Find out how much your accountant is going to cost each year, as well as what kind of services you get in exchange for that fee.

Most accountants will charge on either a monthly or annual basis, depending on how much you’re going to be using them.

Extra work, such as consultations and activities not included within your contract, will come with additional fees.

Standard activities included in an accountant’s fees include things like VAT accounting, tax filings, setting up payroll, and so on. Ensure that everything you deem important to your company is included in the service. If it isn’t, find out how much it’s going to cost to add those extra things.

Talk to the Firm

It’s tempting to simply find an affordable accounting option online and sign up via email. You don’t necessarily need to meet your accountant or speak to them in person.

However, it’s always better to have a call with the firms you’re thinking of working with. Whether it’s a big or small company, your accountant should always find time to chat with you and discuss what kind of services you’ll get from them.

This initial call will give you insight into how well you can communicate with your accountant. Ultimately, if you can’t understand the way they explain things, you’re going to struggle.

The initial conversation you have with your potential accountant will show you what you can expect to get in terms of communication going forward. Plus, you can often get a better feel for how much you can trust someone by simply speaking to them.

 Ask Questions

Finally, don’t be afraid to ask questions. If this is your first time starting a business and hiring a financial professional, you’re bound to have some questions. The right accountant will be ready to put your mind at rest about anything you’re not certain about.

Prior to your initial conversation with your accountant, make sure you have a list of questions ready that you might want to ask.

For instance, you might want to find out how long it takes for an accountant to get back to you after you’ve submitted information to them (such as tax numbers). Or maybe you want to know if your accountant can use the technology you’re already comfortable with for tracking invoices and expenses.