While responsibilities vary depending on the company, cost accountants typically prepare budgets and purchasing documents. They plan for and handle tasks related to operational spending. A certified public accountant, or CPA, deals with public financial documents such as tax filings. They deal with official company reports to investors, clients, and the Securities and Exchange Commission. Tests like the CPA exam require study time and additional fees. Extended timelines and upfront costs might deter some accountants from pursuing the CPA.
For example, the National Association of Certified Public Bookkeepers (NACPB) offers a QuickBooks Online certification. Xero and other accounting software have their own qualifications which, once earned, show you’re an expert in their product. Value-based pricing, instead, rewards experience and tech fluency. It’s the future in a changing accounting industry, where you can utilize tech to increase efficiency and output. For example, many people think profitability starts and ends with their hourly rate, but that’s operating under the (usually false) assumption that hourly is the best way to charge for your services.
Discover the 4-step process used by hundreds of firm owners to double your prices (as soon as today) without increasing workload. Value pricing and bundling is an obvious strategy to boost your bottom line. The challenge though, can be persuading your clients to agree to it. With the right technology, you can automate bookkeeping processes and tasks that once took hours of your time. Read more about Accountancy Services here. Marketing the services that add value to your clients outside of your typical responsibilities is a great way to increase revenue. You can take into account the client, the job type, your experience, along with many other factors to give a fair quote.
Successful accountants go beyond the basics of tax preparation, bookkeeping, and AP/AR. They learn tax planning, CFO services, wealth management, and financial coaching. These are all higher level advisory services that have a higher payoff than lower margin “Betty Bookkeeper” type services. As mentioned above, Jeff didn’t have accounting firm growth while he was selling low-priced tax preparation services initially. His financial situation didn’t begin to change until he started selling tax planning services. Even if he sold hundreds, he’d still be doing low-margin work when you consider his time and energy.
The Right Client to Sell Accounting Services to
Every business owner dreads the task of comparison shopping, but when it comes to finding a CPA, it’s the best way to find one that suits your needs and budget. Even if you have an idea of what you want to pay, don’t be afraid to ask for a quote. This shows the accountant that you are serious about hiring their services, and they may be willing to work with you on the price. Have your balance sheet, Profit and Loss statement, cash flow statement ready. By the time the accountant comes in, you already have all the necessary documents ready. This minimizes the need for the accountant to spend countless hours preparing the docs for you, which, truth be told, will increase the fees.
The Monthly Benefits of a Business Accountant
Good accounting services can establish the financial foundation of your business and hiring a professional is the only way to ensure that the foundation is a firm one. The sooner you take that step—even outsourcing professional accounting services—the better prepared your business will be for unanticipated financial woes.
Read more about Accountants for Small Businesses here. So you see, no matter what your business structure is, having an accounting system in place is just as important as having a marketing plan to help generate customers. Discover the direct correlation between standardized processes and boosted profits for your accounting firm. And because you’re giving them a quote prior to starting the work, prospective clients won’t be surprised by any hidden costs.
If a prospective client is seeking a service that you may not offer, don’t be afraid to refer them to a different professional in the industry that can help them. This may seem contradictory to the goal of finding accounting clients for your firm, it’s best to keep intentions genuine and aim to provide people with quality services. While the service may not necessarily be provided by your firm, this can open the door to professional partnerships where you can be rewarded for this helpful act by having referral traffic sent to you. Because these professionals do more for businesses than simply prepare their taxes once a year. They often wear many different, yet important, hats—including financial advisor for your business or type of outsourced CFO. The cloud, however, empowers you with real-time data, collaboration, easier integrations than legacy systems, anytime, anywhere access, and mobility.
While accountants tend to have the financial knowledge required for bookkeeping, accountants provide a more strategic analysis of your business. Automation allows you to spend more time on what matters most – your clients. While we discuss it within the context of CAS here, it’s important to note that whether you plan to offer CAS or not, accounting automation has benefits for every firm. Offering CAS gives your firm a multitude of benefits, including expanding services for existing clients, attracting new clients, and growing revenue.
What can you gain if you hire a business accountant?
CFEs detect and prevent fraud in businesses, organizations, and government agencies. If you plan to engage with an accountant, this article is for you.