Hire a Bookkeeper

If the bookkeeper has ownership it could make ending the relationship contentious and disruptive. Don’t let there be any uncertainty about your rights to data and the details of accessing it. Bookkeeping takes different forms in different industries, and an expert in one industry may be unqualified to work in a different industry. Explore what kind of industry-specific expertise they have, plus whether they have worked with companies that have the same size, structure, or accounting agenda as your own.

Explore what you can do with QuickBooks

We also hope that this post has gotten you one step closer to orderly finances and a profitable business. Well, in this post we’re going to talk about how a bookkeeper can be advantageous to your business and talk about some pros and cons of hiring one. Maybe you recognize the importance of keeping organized financial records but aren’t sure if a bookkeeper is necessary. If your prospective bookkeeper does, you should consider what you’d do if they’re sick or call out for other reasons—have a backup plan in case your bookkeeper is out of office. Make sure you’re on the same page about their pricing structure to avoid any billing hassles or hidden costs. Once you get an idea of how much they charge, compare it to other reputable bookkeepers.

Accounting software

First, start tracking how much time you spend per week on bookkeeping. Then, using an online calculator, determine how much your time is worth, and figure out how many “dollars” you spend on bookkeeping per month. You’ll have your Profit and Loss Statement, Balance Sheet, and Cash Flow Statement ready for analysis each month so you and your business partners can make better business decisions. They offer a what is cash reconciliation professional, outside, unfiltered, unbiased view of your business.

How to Hire a Bookkeeper

Sign up to receive more well-researched small business articles and topics in your inbox, personalized for you. Consider administering a reducing balance method practical bookkeeping test or assessment to evaluate their technical skills and problem-solving abilities. To see if their communication style is in line with your own, you can ask if they prefer email or phone calls and how often they typically touch base with their clients.

Step 2: Assess technical skills

1. If you work with Quickbooks you will want to work with a QuickBooks Certified ProAdvisor, ideally one who is Top 10 in at least one region.
2. You could use a specialized staffing agency to find skilled candidates who would be a solid match for your company until you’re ready for a full-time hire.
3. Use one of our recommended background check companies to make the process easier.
4. A remote bookkeeping service may use a custom app—as Bench does—that lets you message your bookkeeper directly.

To find a bookkeeper, you need to go where candidates are—job boards. I recommend posting to at least three different job boards so you get a good mix of applicants. To specifically seek freelance bookkeepers, check out our top picks for online bookkeeping services. You can also use a website that’s specifically for hiring freelancers. Expand your search to additional job board sites if you want to hire an employee for the role. You want to make sure you get your job posting in front of as many qualified applicants as possible.

As stated, it’s dependent on your company’s needs and how you plan to grow your business. This may vary depending on if the prospective bookkeeper 5 transfer pricing methods is working solo or with a bookkeeping firm. Knowing this gives helpful insight into what they can handle so you can take full advantage of their services.

Even if your bookkeeper is insured against errors and omissions, you—or your business—are on the hook in case of errors. The effect of incorrect books could range from misinformed business decisions on your part, to misreported taxes (and the resulting IRS penalties) on the part of your business. On average, freelance bookkeepers charge lower rates than firms do, since they have less overhead. A freelance bookkeeper will charge either an hourly or flat rate. Unless your business has roughly thirty or more employees, or over a million dollars annual revenue, you probably don’t need to hire a full-time, in-house bookkeeper.