Entrepreneurs often have a hands-on approach to many aspects of management, but there is one aspect that requires professional expertise and guidance – Tax & accounting. Federal and local norms must be followed by your small business, and even a small mistake could have serious consequences. You can always choose to hire a self employed accountant, but there are a few aspects to consider before taking the final call. In this post, we are sharing tips on how to hire the right accounting firm for your small business.
- Consider what they provide. Every accounting service is different in its ways and approach to the job. For instance, some may just offer tax consultancy and basic accounting, while others may also specialize in cloud accounting (more on that later). Consider what you can expect of the service and if they can handle small business tax and accounting needs in the first place.
- Check if location matters. Today, many small companies hire accounting services from other regions, primarily because you don’t need the team all the time. Depending on the nature of your business and what services you seek, the location does matter, and we recommend that you consider hiring a firm that’s accessible when required.
- Find on cloud accounting. Well, cloud accounting is amazing for two reasons – Firstly, you can streamline the accounting work considerably, and secondly, you don’t have to maintain records offline, which can involve considerable work. When you look for accounting firms in London, check if they can set up cloud accounting service for your small business and offer help with budgeting.
- Review their clientele. Does the accounting company have enough clients? Are they open to sharing references? Do they have some experience in your industry? What can you possibly expect from them in terms of consultancy services? These are just some of the questions you must ask. If the firm has an extensive working experience with small companies and growing brands, it is an advantage.
- Know more about tax planning and investigation. As a small business, your company needs to find ways to save on tax legally, and for that, the role of your accounting firm is huge. Check if the concerned company can help with tax planning, and if there is an issue with filing or other problems with taxes and accounting, they should be able to resolve the matter on the front foot.
Some accounting services also specialize in creating business development plans, which can be handy for companies that are trying to expand, and their experts can also offer assistance and guidance on how your company can seek financing. For this, the accounting company will use your financial data and draw necessary conclusions.
Of course, you have to check other aspects like certification and expertise of accountants working on your project. The costing is an important aspect, but we recommend that you select an accounting firm based on experience, rather than the price alone. Check online to shortlist the best firms based on reviews.
Author Bio – Aadil Butt is a Chartered Accountant and Founder of Finance Equation, an award winning Chartered Certified Accountants who provide Cloud Accounting, Tax and Consultancy services in London and Essex.