Finding a Good Accountant for Your Online Accounting

And we are here to help you making that decision by showing you how to find a good accountant in five easy steps.

Step 1: decide what you want

The first thing you have to do is think about when it is time to hire an accountant and what tasks you want to leave up to your accountant. Because there is a big difference between choosing an inside and an outside accountant: an inside accountant can usually maintain general ledgers/charts of accounts, prepare financial statements and manage payroll and fixed asset accounting. Outside accountants or accounting firms prepare tax returns, various financial statements and can solve several business related problems. The question of a firm vs. accountant comes up again when you have to think about the time you want to spend on your accounting: should your meetings be on a daily, weekly, monthly, quarterly or annual basis?

Step 2: choosing candidates

Yes, Google is your friend, but trust us; there is an easier way of finding the right accountant. You can always turn to your family members, friends, acquaintances and the social media for referrals. But if you prefer a more professional method, go to the website of the American Institute of Certified Public Accountants (AICPA) and search for your CPA (Certified Public Accountant) thereat. Furthermore, you can also use your online accounting solution as a search engine: Xero, Sage and QuickBooks Online will gladly help you find the right person or firm.

Step 3: narrowing down the list

When you have a nice list of eligible accountants or firms, narrow down the list by checking the background of your candidates, asking for client references – mostly from people engaging in the same business activities as you – verifying qualifications and credentials and, this is not a joke, trusting your gut instincts.

Step 4: interviewing

During the interview, ask the candidate about his/her availability, the location of his/her activities and which software he/she is using. The latter thing is important, because if the candidate is already using the same software as you or is willing to use the software, it is a huge pro. Another important thing to ask is the fees. Most accountants/firms charge $100–$275 per hour, therefore always ask how the fees are calculated – as some fees are charged by project and not by hour – and negotiate your fee structure.

Step 5: The Final Choice

Once you got all information you need, it is time to evaluate what you have learned during the interviews and pick a winner. However, keep in mind a few things: 1) a cost-friendly accountant does not by all means equal a good accountant 2) accountants with more expertise are better, but you can always support newcomers and 3) trust your gut feelings and choose the candidate who is the most sympathetic to you.