When choosing an accounting service for your small business, there are several crucial factors to keep in mind.
If you’re a small business operator consumed by the day-to-day challenges of running your business, hiring an accountant could be the answer – not only from a financial point of view but also for your peace of mind!
In addition to handling your compliance and tax affairs, a good small business accountant can provide valuable commercial support to help you navigate the various stages of your company’s growth.
They can also help relieve your daily workload by taking on tasks like payroll, BAS, and other bookkeeping functions, allowing you to focus on the activity that will drive real value in your business.
Specialisation: Do they understand your business and industry?
- Some accounting firms are only suitable for businesses of a certain size while others specialise in certain industries. Accountants that are experts in your industry can provide you with the most value.
- If you need an accountant specifically for tax preparation and filing purposes, look for qualified tax accountants in your area.
- If you are a builder and QBCC licensee and are having trouble preparing and lodging your Annual Financial Report or Minimum Financial Requirements (MFR) Report, hire an accounting firm that specialises in the building and construction industry and has lodged a significant volume of annual QBCC returns.
>> visit our QBCC MFR Report and Accounting page to learn more about managing your QBCC obligations. <<
- Meanwhile, if you are looking for a comprehensive accounting service that includes payroll management, bookkeeping, bank reconciliation, and profit coaching but cannot afford the cost of in-house accounting, it is wise to outsource to a full-service accounting firm. This way, you can have a team of skilled accountants and save money on recruiting, onboarding, and costs (and headaches) of additional staff to manage.
Availability: How much time do they have for you?
- Do you need your accountant to handle your day-to-day business accounting, or do you need them for specific functions like tax-filing, QBCC licensing matters, or one-off projects like the establishment or sale of a business?
- If you’re looking for help with routine accounting, bookkeeping, and finance tasks, it may be wise to outsource to a full-service accounting firm. Aside from providing regular accounting support, your team should also be available to provide quick financial advice without additional fees.
- For functions like management accounting and CFO advisory services, it is good practice to meet with your accountant (and their team!) on a regular schedule (monthly, quarterly, annually) to review the underlying health of your business. These sessions provide an opportunity for independent and expert analysis of your business performance – as well as a forum to review budgets and other financial targets.
Digital Savviness: Do they automate and use technology for work processes?
- Most businesses now operate in the cloud! The banks, private and public companies, and even the Australian Taxation Office are automating their processes and have migrated to the cloud. If you don’t want your business to get left behind it’s important to go with a firm that will help you benefit from best digital practice and stay up to date with platforms in your industry.
- Team up with an accounting firm that utilises online tools and cloud-based accounting software like Xero and employs skilled accountants that are knowledgeable in automating accounting, bookkeeping, and other financial tasks. Aside from the fact that automation makes processes more efficient and less error-prone, it also reduces costs.
Referrals: What does the business circle know about them?
- While searching the internet and calling various accounting firms for quotes, you should also ask your friends and business associates for recommendations on the best accounting service for small businesses.
- You can never go wrong with a referral from a trusted source, like fellow business owners and members of an organisation. These avenues provide an honest and independent opinion and allow you to benefit from the positive or negative experiences they’ve had in the past.
Fees: How much are they charging and what’s included in the fees?
- Finally, the money question… Like any other industry, there are several ways accounting firms charge for their services.
- In addition to the amount that a firm charges, also compare each firm’s billing structure. Some firms may appear cheap, but be careful to look for hidden fees and be clear on what the fees include. You should also consider whether they offer fixed rates for various tasks or charge for every minute they spend on a task.
- Ideally, it is best to go with a reputable firm that offers competitive rates. If you want to work with a credible organisation that provides a comprehensive accounting service for small businesses, expect to pay slightly more, and consider the overall cost of engaging a firm. Whilst a firm may seem inexpensive upfront, it may not have the required industry knowledge and end up costing more than a specialist firm.
… And in the end, the right accountant will work with you to optimise your business and provide the peace of mind that comes from knowing exactly where your business is at – that’s worth paying for!
We offer all QBCC license holders a complimentary QBCC accounting health check, to see if you’re meeting your licence obligations. So, before you lodge your financials with the QBCC, get in touch with us so we can help nip any problems in the bud.
Call our QBCC Hotline today on: 1300 233 723 or email: [email protected].
Or… visit our dedicated QBCC MFR Report and Accounting page to learn more about how to manage your QBCC license requirements.”
