As a business owner, you know that choosing the right accountant can be crucial for the success of your business. An accountant can provide valuable support and advice on everything from tax planning to financial management, and can help your business to grow and succeed. But did you know that it’s important to evaluate your accountant from time to time, to make sure that they are still the right fit for your business?
Evaluating your accountant can help you to identify any potential issues or opportunities, and can ensure that you are receiving the best possible support and advice for your business.
And our guide, “12 tips for finding a great accountant,” can help you to make an informed choice when it comes to evaluating and choosing an accountant.
In our guide, we provide 12 valuable tips for choosing a great accountant. From determining the type of accountant that you need, to considering the accountant’s qualifications and credentials, our guide can help you to find an accountant that is well-suited to your needs.
We also provide tips on looking for an accountant with a good reputation, a proactive approach, and a strong track record of success.
By following the tips in our guide, you can make an informed decision when it comes to evaluating and choosing an accountant. And by choosing a great accountant, you can ensure that your business receives the support and advice it needs to grow and succeed. So why wait? Start evaluating your accountant today, and use our guide to help you make an informed choice.
1. Understand What Services You Might Want
Gone are the days when all your accountant could do is submit your tax returns, although that’s still a really important part of the job.
Whatever stage your business is at, you’ll want to access different services. Typically when a business is very new, and small, the most important thing is cost. We get calls from very small businesses who, understandably, only want whatever the legal requirements are to be done and they want it done for the lowest possible price.
As a business gets a little bigger, they tend to value more about the sort of communication they’ll get, the speed of service, the more ‘added value’ services such as tax planning, management accounts and forecasting.
So be clear on what services you might want, or be willing to listen to options.
What you might want could include:
- Preparation and filing of annual accounts and tax returns
- Tax planning and advice, including advice on tax deductions and credits
- VAT registration, submissions and reconciliations.
- Financial management and planning, including budgeting and forecasting
- Bookkeeping, including management of your cloud accounting software.
- Auditing, to verify the accuracy and reliability of financial statements
- Management reporting, to provide financial information and analysis for decision-making
- Payroll services, to manage employee salaries and taxes
- Advice on business growth and expansion, including advice on investment and funding
- Support and advice on business structure and formation, including advice on choosing the right legal structure for your business
- Advice on business mergers, acquisitions, and disposals
- Advice on business compliance and regulation, including advice on health and safety, data protection, and environmental issues.
This list is not exhaustive, and the specific services that a limited company might need from an accountant will depend on the size, type, and stage of the business.
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2. Look for an Accountant with Relevant Experience
Find an accountant with relevant experience because this can help to ensure that the accountant is well-suited to the needs of your business.
An accountant with relevant experience is likely to have a better understanding of the issues and challenges that your business is facing, and can provide more tailored and effective support and advice.
If you choose an accountant who is not equipped to help, there can be a number of potential consequences. For example:
- They might not have the necessary skills or expertise to provide the support and advice that your business needs. This could result in poor-quality advice, or advice that is not relevant to your business’s specific needs.
- If they are not familiar with the latest developments in tax law and regulation, it could result in your business missing out on valuable tax deductions or credits.
- The accountant might not be proactive or responsive, which could result in delays or missed deadlines, and could cause problems for your business.
- If they’re not trustworthy or reliable, you risk errors or mistakes in your financial statements, or even allegations of fraud or misconduct.
- What are your qualifications and credentials?
- What experience do you have in working with businesses like mine?
- Can you provide references or testimonials from other clients?
- What is your approach to tax planning and financial management?
- How do you keep up-to-date with the latest developments in tax law and regulation?
- How do you communicate with clients, and how do you handle queries and requests?
- What is your fee structure, and how do you invoice for your services?
3. Consider the Size and Scope of your Business
Consider the size and scope of your business because this can help to ensure that you find an accountant who is well-suited to you.
Different firms serve different businesses, and some companies are better equipped to support businesses of different sizes and types. By choosing an accountant who is a good match for your business, you can receive more tailored and effective support and advice.
For example, if you are a small startup company, you might need an accountant who can provide advice on business structure and formation, and who can help you to manage your finances and tax obligations in a cost-effective and efficient way. In this case, you might want to choose an accountant who has experience working with small businesses, and who can offer a range of services to support your business as it grows and develops.
On the other hand, if you are a larger established company, you might need an accountant who can provide more complex and sophisticated support and advice. You might want to choose an accountant who has experience working with larger companies, and who can offer a wider range of services, such as auditing, financial planning, and management reporting.
If you choose someone who is not well-suited to your business, you could end up paying more for your accounting services, or receiving lower-quality support and advice.
For example, if the accountant is used to working with small businesses, but yours is more complex, you might find that the accountant is not able to provide the level of support and advice that you need. This will become a problem very quickly.
Similarly, if you choose an accountant who is used to working with larger companies, but your business is smaller and simpler, you might find that the accountant’s fees are too high, or that the advice and support provided is not relevant to your business’s needs.
4. Consider the Accountant's Qualifications and Credentials
When choosing an accountant, you should consider the accountant’s qualifications and credentials.
Accountants in the UK can be qualified through a number of different professional bodies, including the Institute of Chartered Accountants in England and Wales (ICAEW), the Association of Chartered Certified Accountants (ACCA), and the Chartered Institute of Management Accountants (CIMA).
These professional bodies set high standards for education, training, and ethical conduct, and they require their members to maintain their knowledge and skills through continuing professional development.
By choosing an accountant who is qualified through one of these professional bodies, you can be confident that the accountant has the necessary skills and expertise to provide the support and advice that your business needs. Additionally, you can be assured that the accountant is committed to maintaining high standards of professionalism and integrity, and that they will act in your best interests at all times.
To check whether an accountant is qualified, you can ask the accountant for their professional credentials, or you can check their status with the relevant professional body. For example, if the accountant is a member of the ICAEW, you can check their status on the ICAEW website, or you can contact the ICAEW directly to verify their membership.
All of the accountants on the Go Impartial panel are checked to ensure that they are fully qualified, so if you use our service, you can be confident that you are choosing an accountant who is well-suited to your business’s needs. By choosing a qualified accountant, you can receive more tailored and effective support and advice, and you can help to ensure that your business grows and succeeds.
5. Look for an Accountant with a Good Reputation
You’ll want an accountant with a good reputation, because this can help to ensure that you receive high-quality support and advice.
A good reputation is an indication that the accountant has a track record of providing high-quality services, and that their clients are satisfied with the support and advice that they receive.
A good reputation means you can be confident that you will receive the support and advice that your business needs, and that you will be able to trust the accountant to act in your best interests.
There are a number of ways that you can check this. Look for online reviews from the accountant’s clients. By reading these reviews, you can get a sense of the experiences that other businesses have had with the accountant, and you can see whether the accountant has a good track record of providing high-quality services.
Additionally, you can ask the accountant if you can speak to some of their existing clients, and you can ask these clients about their experiences with the accountant.
If the accountant is on our panel, this means that they have been pre-screened for the quality of their reputation, and that they have been assessed to ensure that they are well-suited to providing support and advice to businesses.
If you are not able to check the reputation of a potential accountant, this should be a warning sign, because it suggests that the accountant may not have a good track record of providing high-quality services.
It is important to be cautious, and to consider whether the accountant is the right choice for your business. If it doesn’t feel right, don’t do it.
6. Consider the Accountant's Communication Style
Have a think about the accountant’s communication style, because this can have a significant impact on your experience of working with the accountant, and on the effectiveness of the support and advice that you receive.
If your communication styles do not line up, it can lead to misunderstandings and miscommunications, which can cause delays and mistakes, and can have a negative impact on your business.
By choosing an accountant with a communication style you can work with, you can be confident that you will be able to engage easily with them, and that you will be able to get the support and advice that you need in a timely and efficient manner.
In order to find an accountant with a communication style that is well-suited to your needs, consider your own communication style, and to think about what you are comfortable with.
If you prefer to communicate in person, then you may want to choose an accountant who is willing to meet with you face-to-face, or if you prefer to communicate by email or phone, then you may want to choose an accountant who is willing to communicate with you in this way.
7. Look for an Accountant With a Proactive Approach
An accountant with a proactive approach will provide a number of benefits for your business. A proactive accountant is one who will help identify potential problems or opportunities, and offer solutions and advice to help your business to grow and succeed.
A proactive accountant may be able to identify potential cash flow problems, and may be able to provide solutions and advice to help you to manage your cash flow more effectively. This can help to ensure that your business is able to remain financially stable and secure, even in challenging times.
They can help you to identify potential opportunities for growth and expansion, and can provide solutions and advice to help you to take advantage of these opportunities.
For example, a proactive accountant may be able to identify potential new markets or revenue streams, and may be able to provide solutions and advice to help you to enter these markets and to generate new revenue. This can help to ensure that your business is able to continue to grow and to expand, and can help you to achieve your long-term goals and objectives.
To find out more about how they work, you can ask them about their approach to problem-solving and opportunity-seeking, and can ask them for examples of how they have helped other businesses to overcome challenges and to take advantage of opportunities.
You can also ask them about their processes and systems for identifying potential problems and opportunities, and can ask them how they would approach working with your business to help you to overcome challenges and to take advantage of opportunities.
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8. How Responsive and Available Are They?
An accountant’s responsiveness can have a significant impact on your experience working with them. Here are a few things to consider:
- How quickly do they respond to phone calls and emails? When you need to get in touch with your accountant, you want to be able to do so quickly and easily. If an accountant is slow to respond to your calls and emails, this can be frustrating and can make it difficult for you to get the information and support that you need in a timely manner.
- When are they available? If you need to get in touch with your accountant, you want to be able to do so without any difficulty. If an accountant is only available at very specific times, this can be inconvenient and can make it difficult for you to get the support that you need when you need it.
- Do they have a system in place for handling urgent issues? If you have an urgent question or concern, you want to be able to get a quick response from your accountant. A good accountant will have a system in place for handling urgent issues, such as a dedicated hotline or email address that you can use to get in touch with them quickly and easily.
If you do not receive a response within a short time frame, you may want to consider reaching out to the accountant again or looking for a different accountant who is more responsive and available.
9. Fees & Costs
You don’t want to pay more than you need to for your services, and it can be hard to compare the quality of different accountants and their charges.
Here are a few things to consider:
- Look for fixed fee services. Many accountants offer fixed fee services, where there is an agreed scope of work for a set fee. This can help you to budget more effectively and can provide peace of mind, knowing that you will not be hit with any unexpected bills.
- Consider the option of monthly payments. If you are concerned about the upfront cost of working with an accountant, you may want to look for an accountant who offers the option of spreading the cost over monthly payments. This can make it easier to manage your cash flow and can help you to budget more effectively.
- Be cautious of hourly charges. Some accountants still charge by the hour, but this can be risky as costs can quickly spiral out of control. If you are considering working with an accountant who charges by the hour, make sure that you have a clear understanding of how much time they expect to spend on your work and what the total cost is likely to be.
- Watch out for unexpected bills. A good accountant will be upfront about their fees and will not surprise you with unexpected bills. If an accountant is not willing to provide you with a detailed breakdown of their fees and charges, you may want to consider looking for a different accountant who is more transparent about their pricing.
10. Consider The Use of Technology
It’s all about the software these days, isn’t it? The use of technology really matters, and whilst almost all accountants will need to be familiar with some cloud accounting software, not everyone will be as competent as each other.
Here’s some of the ways a solid accountant will make your life better with technology:
- Efficiency. A good accountant will use technology to streamline their processes and make their work more efficient. This can help to reduce the amount of time that they spend on your work, which can save you money and help to keep your costs down.
- Accuracy. An accountant who uses technology to automate their processes is less likely to make mistakes, which can be costly and time-consuming to fix. By choosing an accountant who is comfortable with technology, you can help to ensure that your financial records are accurate and up-to-date.
- Accessibility. Technology can make it easier for you to access your financial records and to communicate with your accountant. You can log in from anywhere and see your financial records in real-time. This can be particularly useful if you need to make decisions quickly or if you need to share information with your accountant quickly.
Now, you’re probably thinking very much about the basics of software – ultimately for bookkeeping and bringing your bank statements into the system, but ask yourself more about your business, as your next accountant can probably make recommendations in other areas:
- Invoice management. They may recommend using an online invoicing tool to manage your invoices and to keep track of who has paid you and who hasn’t. This can help you to get paid faster and can make it easier to chase up overdue payments.
- Expense management. This can help you to keep track of what you are spending money on and can make it easier to claim back expenses from your business.
- Stock control. If you are a retailer or a wholesaler, you may need to keep track of your stock levels. An accountant may recommend using an inventory management system to help you to do this. This can help you to avoid running out of stock and can help you to manage your cash flow more effectively.
- E-commerce. If you are selling products or services online, you may need to manage your online orders and your customer information. This can make it easier to manage your online sales and can help you to grow your business.
11. Ask How Can They Support Your Growth?
Consider whether they have a growth-oriented attitude and offer services that can support the growth of your business.
Some potential services that an accountant can offer to support the growth of your business include business planning and strategy, financial forecasting, and help with securing funding or investment.
To assess whether an accountant has a growth-oriented attitude, you can ask them about their experience working with growing businesses, their approach to helping businesses achieve their growth goals, and whether they offer any specialised services for growing businesses.
These are the sorts of questions you might ask:
- What experience do you have working with growing businesses?
- Do you have any specialised services for supporting the growth of businesses?
- How do you approach helping businesses achieve their growth goals?
- Do you offer any solutions or technologies that can support the growth of my business, such as invoice management, expenses, stock control, or e-commerce?
- Can you provide examples of how you have helped other businesses grow and succeed?
12. Consider if You Need a Specialist
There are several key differences between a general practice accountant and a specialist firm. A general practice accountant typically offers a wide range of accounting services and can handle the financial needs of a variety of businesses, from small startups to large corporations.
On the other hand, a specialist firm focuses on a specific niche or industry, such as property development or e-commerce, and may have more in-depth expertise in that area.
One key advantage of a general practice accountant is their versatility and flexibility. Because they have experience working with a wide range of businesses, they can adapt to the unique needs of your company and provide comprehensive financial support. Additionally, a general practice accountant may be able to offer a more cost-effective solution, as they can handle all of your accounting needs in-house rather than outsourcing to multiple specialists.
However, a specialist firm may be a better option if your business has specific needs that require deep expertise and specialised knowledge. If you are a property developer, finding a specialist firm accounting means they can provide valuable insights and guidance on complex tax and financial issues related to your industry.
Similarly, if you operate an ecommerce business, a specialist firm that has experience working with online retailers may be able to offer valuable advice on issues such as sales tax, inventory management, and online payment processing.
The decision between a general practice accountant and a specialist firm will depend on your specific business needs and goals.
A general practice accountant may be a good option if you are looking for versatile, comprehensive support at a reasonable cost, while a specialist firm may be the better choice if you have complex, industry-specific needs that require deep expertise.
Tips for Choosing an Accountant - Final Thoughts
As you can see, there’s a few things to think about if you want to find an accountant where the relationship stands the test of time and grows with you and your business.
It’s best to think these things through before you decide to go ahead. It’s better to ask as many questions as you need up front, as it’ll become more complicated once the decision is made.
If you want help getting this decision right, book a call with us. Not every accountant is right for every situation, but the chances are we’ve got the right accountant for you on our panel.
We hope you enjoyed the article!