7 key factors to consider when hiring new accountants for your firm

An even better option is to choose collaborative, cloud-based accounting software with encryption built in. This will mean you don’t have to worry about the risks involved in exchanging data back and forth. When searching for an accountant, the ideal candidate might be right under your nose.

If you work with an accounting firm or independent accountant, most charge $100 to $275 per hour. If price is a major concern, you may be able to negotiate a flat fee to keep the accountant’s services on retainer. Loosely speaking, an accountant with greater education will be more likely to land the job for which they are applying. It’s not uncommon to see accountants with two-year, four-year, and master’s degrees, all working side-by-side. It’s worth noting, however, that accountants are simply more likely to land their first position with a bachelor’s degree than with a two-year degree.

things you should look for when hiring a CFO or accountant

Don’t weigh them down with dozens of written questions to answer. A ten-minute telephone call is likely to tell you far more about your prospective accountant than a three-page form full of bland written answers. Be very careful about this, because ultimately it’s you, the business owner, who’ll pay the penalty if the law is broken.

Xero is beautiful online accounting software for small businesses. You can link up your Square account to Xero in Square App Marketplace. Also, look at the company size and revenues of the clients your potential accountant already serves. Veer toward someone who serves slightly bigger businesses than yours. It will ensure he or she can continue to handle your needs as the business grows. An accountant can help you update your financial statements for annual reporting or for use in a business plan.

When should I hire an accountant as a small business?

She also enjoys writing business and finance, food and drink and pet-related articles. Her education includes marketing and a bachelor’s degree in journalism from the University of Kansas. Show an example of an income statement, balance sheet, or cash flow statement, and ask them you walk you through the process of making a financial statement. You shouldn’t just look for competitors who are knowledgeable in all parts of accounting. You ought to likewise search for a monetary expert who has the right foundation for your business. One of the more significant components of recruiting an accounting team is the means by which you bring a recently added team member into your association.

Many or all of the What To Look For When Hiring An Accountant here are from our partners that compensate us. But our editorial integrity ensures our experts’ opinions aren’t influenced by compensation. A great accountant is also savvy at navigating tax codes and understands tax law and its real-world implications.

Learn how to choose an accountant who has the skills your business needs.

You don’t want to dread a trip to the CPA like you dread a trip to the dentist. If you ask basic questions about starting or running a small business and they have the deer-in-headlights look or say they have to research these basic questions, then you’ve got the wrong CPA. You should consult your own professional advisors for advice directly relating to your business or before taking action in relation to any of the content provided. When you meet an accountant for the first time, consider your intuition. Alongside logical evaluations such as location, pricing, experience and references, ask yourself if you could trust this person with the intimate details of your business.

• One way to gauge this is to simply ask the candidate if they have any questions about your business.
• It is very important to know what qualifications to look for before you hire an accountant.
• A college degree is certainly beneficial, and the knowledge that comes along with years of training is sure to be helpful.
• Find out what bookkeepers do, and get an intro to double-entry bookkeeping.
• Pick someone who is willing to extensively review your company and tailor their services to your exact requirements.
• For a better CPA, you must ask colleagues and friends for referrals or it’s better to refer to the online website of the American Institute of CPAs .
• Here are the 5 things we believe you should be looking for in your new accountant—and why they are key to a successful partnership.

Look for an accountant who has a good understanding of tax laws, accounting software and business management. When interviewing an accountant, pay attention to their communication skills and how they explain information to you. Sometimes an accountant will have to decipher documents and information for you, so it’s important that they’re able to communicate clearly.

Make use of your connections online

Being in a business, you will often need advice from your accountant. Ensure your prospective accountant provides professional advice as and when you require. An accountant must be easily accessible by phone, email or in person.