Small business accountants can range from somewhere between 2,000 a month to 45,000 dollars a year. When starting out this amount may seem a hefty price, but once you start weighing the pros, the investments totally worth it.
Hiring a good is not going to be cheap and you should know that. You may assume that you alone could handle the task at hand. However, as the business grows it will become increasingly difficult to maintain all the paperwork.
Since you will also be handling the management, financing, bookkeeping, accounting, 24hours won’t be enough. The workload will be immense, and amidst the pressure, you could make a mistake or two that might start a domino effect across your business.
The best way to avoid such a catastrophe is to hire an accountant. Considering the trouble you could get for not handling your finances properly, it is better to hire someone, just to be on the safe side.
Before hiring an accountant, make sure:
- You have an exact idea of the workload you wish to impart on them. For instance, it could be bookkeeping, accounting, management, managing payrolls, filing income tax returns, audits. You can choose the exact accounting services you require and get billed accordingly.
- You have determined the level of accuracy and sophistication you expect from the accountant.
Accountant services are comparatively cheap when you select only one or two. For instance, you won’t be sneeding any income tax reports during your first year or the whole year around. So it better to hire someone who only specializes in bookkeeping and hire an income tax assistant or Small business accountants when it is required.
You won’t have to employ someone who is great at every aspect of accounting and management and this will significantly bring down the billing cost of your accountants.
Some important services you must cover when hiring:
- Collection calls-Often times you will have some creditors that are behind payment. However, amidst your schedule, you may find it impossible to make calls for due money. Hire an accountant who is experienced in extracting money from such parties with high success rate.
- Invoices-The accountants you hire will also have to create invoices and send them out to respective clients all the while keeping a record of the sales.
- Predicting cash flow-Often times you might end up second-guessingthe particular investment or hiring an additional individual for your team. Having an accountant to study the cash flow can be extremely helpful as they predict the budget you are allowed to spend without harming the functioning of your business.