Many people who run their own businesses often find themselves wondering. Do I need a Bookkeeper or an Accountant?
This is a rather common question, that crosses the thoughts of those who perceive it hard to maintain their finances. Whether you have started earning a quantity of capital, or whether you need to see where your losses stand. You may choose someone who claims a perfect record of Bookkeeping or Accounting, only later to find you could have done the job yourself. If want to know more about bookkeeping check out Walker Hill Bookkeeping services
Here’s what you need to know
- Accountants: Accountants work at a larger level of financial reviews, such as financial predictions, auditing, and tax preparation. Accountants also give financial advice, and they are likewise someone that you would hire for the long run.
- Bookkeepers: Bookkeepers handle central financial work and rarely if ever give you advice. This is beneficial because you’re not paying for more work than you want.
Now that you know the difference between an Accountant and a Bookkeeper, we can better understand what things you should avoid when hiring a Bookkeeper.
Think about your data
- When hiring an outside bookkeeper, make sure your information is secure! Too often people lose their identity, due to information leaks. It is up to your Bookkeeper to secure your information, never give your private information to a Bookkeeper that cannot provide to you their Privacy Policy. And fails to discuss with you the implied hazards connected.
Show me the references
- Make sure when hiring a Bookkeeper, you hire someone with enough knowledge in the field. Unfortunately, many small companies overlook the potential risk. What this boils down to is the Bookkeeper’s errors become your business errors. Your company handles any inaccuracies, missed debts, and refusal by your Bookkeeper. This means that even though you may hire someone, you may still need to oversee the process.
No Hidden Fees, please
- Everyone hates to pay more for something than first agreed on. Most of the time legitimate Bookkeepers and Accountants do not have hidden fees.Make sure when hiring low cost bookkeeping services, that you discuss compensation first, get an itemization schedule from them that outlines what they charge per hour and if they charge for anything extra. Always get this in writing, in the event that you need to fire this person you will have tangible evidence if asked in a court of law.
Show me the credentials
- Look out for individuals who claim to be dependable Bookkeepers without a tangible record. A Bookkeeper should produce some kind of certification. Although statutory qualifications for Bookkeepers are not as stringent as they are for Accountants. Most Bookkeepers are part of an organization, the Bookkeepers Association. Always ask if they have, or can provide an organization membership form.
Hire someone who has time for you, not someone who only has time for your money
- Hire a Bookkeeper with a uniform agenda and who keeps regular accounts. Most Bookkeepers may hold more than one customer, so you may not be at the forefront of their thoughts. When you hire a Bookkeeper with too many accounts, they don’t have time. Meet a Bookkeeper with few clients and flexible availability. This will further ensure that if you need urgent information about your company you will have it.
It’s not rocket science but it sure feels like it
There are many different factors to consider when looking for good help, concerning your business. As often as it happens, not everyone you do hire has in your best interest in mind. So while it may be important to hire someone quickly, especially when it gets harder to navigate the paperwork and when tax time comes. You don’t want to make the mistake of hiring someone new without doing your homework. It could lead to serious fines, or even worse the bankruptcy of your business. But also do not let this be your reasoning behind a strict vetting process either, most people who work this business know that it is tough, and they are more than willing to take the action to put your mind at ease.