An accountant is like a dentist — you don’t know how good they are until it’s too late. And while we don’t replace the CPA in your business, we do work with them quite a bit to help you keep your records and filings in order. These 10 questions will help you find an accountant that’s the right fit for your business and complement your bookkeeping services.
1. What licenses do you have?
Certified Public Accountants complete degree-level study and undergo stringent testing in all aspects of financial planning and bookkeeping. The same is not true for lesser designations. You may seek a CPA who has additional certifications or credentials but try not to forego the CPA in search of anything else.
2. Who are your clients?
Can the accountant demonstrate expertise in your industry? Can they provide knowledgeable answers to your questions? Especially if you have specific tax reporting requirements for your particular business, make sure experience is on your side.
3. How big are you?
A lone CPA may be suitable for routine filings, but you may need a multi-disciplinary team to make smart financial decisions if you want your business to grow or avoid major pitfalls.
4. Who will do the work?
A senior CPA with a staff of junior accountants may be directly overseeing your finances or letting novices do the heavy lifting. Make sure you know who is responsible for your financial data before you hand over the reins.
5. How do you work?
As accountants are privy to sensitive financial information, it’s vital that you trust and respect them. This question confirms whether your work styles are compatible and establishes rapport. Considerations such as whether the accountant is focusing on cloud-based technologies, prefers face-to-face communication or supports virtual work may all factor into your review.
6. How will you add value to my business?
This question probes how the accountant perceives their role in your business. What services would they recommend for you? How would they save you money? A proactive accountant will offer insightful ways to develop and safeguard your business and will have clearcut examples on how to help you.
7. How accessible are you?
Make sure you can talk to your accountant when you need to and won’t be charged ridiculous rates for a short conversation or out-of-hours advice. Do you need appointments well in advance or do they respond to quick emails or even urgent texts?
8. What common problems have you solved for other businesses in my industry?
It’s a good idea to ask for some case studies so you can verify the accountant’s contribution to solving problems. Don’t forget to ask for references and testimonials so you can back up the accountant’s claims.
9. How much will it cost?
Accountants usually charge for the length of time a job takes. Hourly rates range from $90 to $300 or more. If you have a lot of ongoing compliance work, a monthly retainer or fixed fee may be more cost-effective. Regardless of the billing methodology, you’re looking for the best value, not necessarily the best price.
10. What else do I need to know but did not ask?
This final question verifies how much experience the accountant has as well as testing their ability to think under fire. If the answer is lightweight, monosyllabic or laced with jargon, they may not be a good fit.
Remember, the right accountant isn’t just a number cruncher, they’re one of the most important collaborators in your business. It pays to ask the right questions and shop around for the best fit.
Article by Accounting Department.com
