For all intent and purposes, there are a lot of accounting firms out there. How do you choose a good accounting firm for a particular business? In other words what should I look for in an accounting firm for a particular business? Good question. Choosing the right accountant for your small business can really mean the difference between success and failure. After all it is the financial numbers that make or break a business. An accountant with experience of small businesses can make the difference between success and failure.
Unfortunately once a business person has selected the accountant it can be such a pain to switch. The accountant becomes a trusted business and family advisor with detailed knowledge of the individual, his business and the underlying data making it difficult to transition to a new account. The end result is that many business people continue working with mediocre accountants and don’t make a change to a better accountant. Simply because of the costs, both financial and emotional, the cost of switching are more often than not considered just too high.
Most small business owners don’t thoroughly consider their needs when they are selecting an accountant. That is because many business owners don’t have a strong accounting background and they view all accountants as being equal. The reality is all small business accountants are not created equal. A good accountant can truly help business owners grow their businesses and not be someone who just crunches numbers like a bookkeeper.
The accountant can also be the chief financial officer for hire. Every business needs the professional expertise that a good accountant can bring to the table. The accountant can analyse and interpret the financial statements but more importantly the accountant can provide action items for the business owner to run a better, more efficient and profitable business. If the business owner is considering a new location, new equipment, additional personnel or new product lines the accountant can provide the analysis, the budgets and the models to make these decisions more profitable.
Small businesses don’t need this expertise every day but they will need it periodically. Such business owners should consider an accountant who is experienced and can be a source for tax planning, business consultation, technology know-how and networking. So when you select an accountant make sure they can do all these things.