Accountants do more than help you prepare your yearly taxes. They can advise you on important financial decisions, help you create and maintain your company’s budget and help you select (and implement) the right accounting system for your business. An accountant is a crucial part of your business team and should not be selected without careful consideration.
Prior to starting the accountant selection process, determine your reasons for hiring an accountant. Are you looking for someone to help your prepare your taxes? Is your financial system going through an overhaul? Do you need someone available to answer your financial questions or concerns? Determining your needs for an accountant will ensure that you select the right accountant for your business. Consider the following tips for choosing an able accountant:
- Ask Around
Ask everyone you know who they use for their accounting services. When you attend any type of meeting (or meet other business owners), ask who they’ve used and recommend. Check with your local Chamber of Commerce for the names of accountants in your area. Get as many names as possible, for you will narrow down your search to the accountants who most fit your needs. - Consider Their Current Clients
Choose an accountant who has at least 60% of their businesses coming from businesses similar to yours. They will be more familiar with the laws pertaining to your type of business than other accountants. If you are a corporation, make sure that they specialize in corporate accounting and all that it entails. - Schedule Interviews
Prepare a list of questions for the accountant prior to your meeting. Ask each accountant about the services they provide for their clients, how long they’ve been in business, and for references. Also, ask to see their license and certifications before you leave.Make sure to bring any necessary records to the interview (such as last year’s tax return). Many accountants will be able to tell you the services they can provide your company (and what it will cost) by looking at your tax return. - Rates
Ask about their rates and what those rates include. Find out what their hourly rate is and what the cost would be if you have questions throughout the year. Many accountants will be able to provide you with a rate chart that thoroughly outlines all of their rates. - Ask about Their Preferred Software Program
Ask each accountant what accounting program they prefer their clients to use (if they have a preference) and why. If you do not currently use their preferred program, ask if it will affect the services (or rates) they can offer you. - Corporation or Individual?
Are you interested in hiring an accountant backed by a corporation, or would you rather hire an accountant that works individually? If you opt to go the corporation route, find out if you’ll be dealing with one particular person, or will it be whoever answers the phone when you call. It’s best to have one person to build a relationship with! - What are Their Hours of Operation?
When do they work? Find out their hours of operation and make sure that you can call or email them at hours that are convenient for you.
Interview at least 3 accountants before choosing your final accountant. While it may seem like a lot of work up front, you will reap the benefits in the end. Choosing the wrong accountant for your company’s needs will only end up in a costly mess. The proper accountant will transform your accounting processes and give you the guidance you need to remain successful. Discover the value an accountant can bring to your business here.