Home / Budgeting / Do’s And Don’ts Of Choosing A Bookkeeping Company

Do’s And Don’ts Of Choosing A Bookkeeping Company

If you are a business owner then hiring a proper bookkeeping company for your finances is a really clever idea. It will allow you to focus your own time on the essentials and can really ensure you are making the most out of your money.

Selecting the right company can be tricky and here are the biggest do’s and don’ts to guarantee you avoid all the common mistakes.

Don’ts Of Choosing A Bookkeeping Company

Outsourcing your bookkeeping isn’t as simple as it might seem and in order to make sure you improve your business functions you must pay attention for selecting the right business.

These are the biggest mistakes you must avoid when searching for the right bookkeeping company.

Don’t forget to consider how well you get a long with the accountant. It is really important that you get a long well with your accountant because dealing with finances is all about the trust and understanding between you two.

So make sure that you choose a bookkeeping company that provides you the option to build a close relationship with your accountants.

Don’t shy away from asking silly questions when you are looking for a bookkeeping company. It is really essential that you understand what specifics the company is able to help you with and for this reason it is a good idea to prepare a set of questions you want to know before selecting the company.

Don’t go with a company before you know what services you need. There are many companies that can help you with just the basic bookkeeping or even provide you help with payroll services. So Start Up Nation suggests that as well as thinking about what you need now also think a bit about the type of services you might need as your business grows.

Do’s Of Choosing A Bookkeeping Company

Now that you know about the biggest mistakes you need to avoid it is time to have a look at the things you should be doing when looking for a bookkeeping company.

Do spend time to find a qualified company. Even though you might not need qualifications to work as a bookkeeper it is still best to go with a company that can provide you with good qualifications.

This will ensure that you make the most out of taxation tips and other financial improvements. Friendly Accountants’ bookkeeping services provide qualified bookkeepers that are one suitable option to consider when you are looking for a bookkeeping company.

Do hire a bookkeeping company as soon as you feel the need for getting one. This can really help you guarantee that you don’t hinder your growth opportunities or lose out on possible financial gains.

Do make sure that the company you choose to go with is efficiently taking care of security issues as well. Fraud is unfortunately something that many businesses have to deal with these days and you need to make sure your bookkeeping company is taking security issues seriously.

The above do’s and don’ts will guarantee you find the right bookkeeping company to help you out. The key is to spend a bit of time to ensure you make the right decision.

Accountancy Firm for freelancers

As a fully qualified professional, you may have recently made the decision to leave your place of employment to become a freelancer. There are many benefits that can be had from being a freelancer or contractor, which is why so many people in the United Kingdom make this move each year.

Despite benefits such as flexible hours and setting your own fees, there are a certain number of things that require quite a lot of consideration. Therefore it makes sense to seek the help of a professional who knows all about the requirements of someone in your position; this person is an accountant.

So what could an accountant help you with as you make the full transition into being a freelancer? Here are a few key areas:

Tax returns

One of the biggest responsibilities you will have as a freelancer is the job of doing your tax returns. The first thing you will need to do is let HMRC know that you are freelancing; you can do this through the website by filling in all of the required data fields. After you have registered for self-assessment, you will be able to do the procedure after the end of each tax year.

You will be able to take lots of things into account such as expenses incurred through travel to clients, or even energy bills for your home if you also use it as a working place. However an accountant would be able to give you the best information about what needs to be provided as evidence.

Business structure

There are many options to take when it comes to being a freelancer – so you may require some guidance on the structure that you want your business to take. For example you may be a sole trader, or you might be looking to form a partnership. An accountant would be able to give you the details behind each choice, meaning you will know what taxes and fees could be expected to be paid, and what rights you will have.

Company closure

At some point in the future, you may look to close your company – either to do something different or to begin a partnership with someone else. Whatever the reason, an accountant will be able to help you to wrap up all of the loose ends and ensure you have done everything in the correct manner. This will mean you won’t have any unforeseen issues when it comes to taxation and so on; professional assistance can set your mind at ease.

Professional indemnity insurance

Finally, you should also think about insurance. For example,IT contractor insurance is important when it comes to professional indemnity in the trade. A freelance IT consultant would provide advice and services to clients, and errors in this could cause the client to lose money. This insurance cover would give you peace of mind if you were in this position, whether you were working in IT or another area.

Featured images License: Creative Commons image source

About admin

My name is Dennis Duel and I’m happy to see you here. This blog is one of the ways I share tips my readership how to earn and save money online. All the things I share here are from my practical experiences. On this blog, you also find materials on money saving topics.

Check Also

The 3 Fail-Proof Tricks For DIY Small Business Accounting

There are so many exhilarating things about starting and running a small business, especially when …

7 comments

  1. A friend of mine runs his company bookkeeping on a Macintosh notebook. Recently, after a crash, he has come to understand the importance of effective backups. My question is this:

    What’s the best option for him, going forward? The main issue that needs to be addressed is that the backup be something he can hook up, get prompted, and simply execute a previous “version” of his hard drive in the event of a massive crash or virus outbreak. Ease of use (as with most Mac stuff) is the key – he is not exceptionally computer savvy.

    While he is entertaining the notion of an external USB hard drive, I wonder if that still has a problem – namely that if *that* crashes then he’s still stuck with platters trapped in a hermetically sealed case. Are tape backups still preferred being that they are separate tapes that can be used with any applicable hardware (ie – the tape drive may break, but the tapes themselves are fine).

    All thoughtful answers are highly appreciated.

  2. I am an accountant for a large corporation and want to do bookkeeping for small businesses from home on a part-time basis. I have used QuickBooks when I did this in the past and was pleased but wanted to know if there were other choices that would be better.

  3. I just had a discussion with my company’s bookkeeper (who is employed by my company, they are an outsourced bookkeeping company) and I asked for a reproduction of two months check stub. I am a server, and we tend to not hang onto our original check stubs because our paychecks are pretty small. The bookkeeper then told me that she would charge me 5 dollars per stub and that she was not required by law to reproduce a check stub for me. Is she in the wrong or just a horrible people’s person?

  4. I need to have somebody do my taxes for me this year because I have aments and extra forms to submit. Anybody know of a good company to use that won’t take out too much from the return or charge too much

  5. Hello everyone,
    I am the owner of a small business and I am looking to outsource my companies bookkeeping, accounting, and data entry. I am wondering if anyone has experience on this matter and can provided some insight on what accounting software is best to use when outsourcing, what website is best to hire from, and any other insights you can think of?

    Thank you in advance

  6. i am considering of setting up a restricted organization to see if i get a lot more customers for my contracting business, i want to know how to go about it and would i have to commit more time at operate maintaining points recorded

  7. My friend and I own are new company owners. We have a query about getting into receipts from purchases made from the company account and from our personal pockets. Do we enter each into our accounting computer software (we use wave accounting) or do we only enter the receipts for purchases produced from the small business account? If we should enter each, how do we separate them on our taxes?