Questions to Ask When Outsourcing Accounting or Bookkeeping

If you have decided to engage a firm for accounting and bookkeeping services, do it systematically, evaluating as many of its aspects as possible. It will enable you to find a trustworthy agency.

Questions to Ask to Outsourcing Accounting or Bookkeeping Service Firms

Here are a few key questions when outsourcing accounting or bookkeeping services. These will enable you to find the firm that can fulfil your accounting needs.

1. What is their turnaround time?

Bookkeeping, accounting, tax preparation, and auditing are sequential tasks. Each of them depends on the successful execution of the previous one.

So before hiring any accounting firm, discuss your business needs with them and ask them about the availability and the turnaround time. Know the resources they are ready to commit to you, their expertise, previous work, etc.

2. Do they use accounting software & technologies?

If you prefer to use particular accounting software. Ask whether they can update your books using the same software.

If it is outdated, ask them for recommendations and assistance if needed. Try to automate as many tasks of your daily accounting and report generation.

3. How often will they provide you with financial reports?

Accountants use accounting software to process financial data to glean insights. These are useful for knowing the financial state of your business. The insights are valuable in business decisions.

Ask the firm if they will be able to provide you with such exhaustive reports. How much time will it take?

4. What is their experience level and speciality, if any?

Like individuals, businesses are also unique, and so are business niches and industries. They have special accounting needs.

So, you must find out the industries and the business niches they worked for. Their preference? If they specialise in a particular business niche? And how long they have been offering accounting and bookkeeping services.

5. Do they employ certified & qualified accountants & bookkeepers?

Try to know how many qualified and certified Professional Accountants (CPAs) and bookkeepers work for the firm. It enables you to gauge their knowledge base and reliability.

You will need these qualities if you get yourself in a tight spot over compliance. Ask them how they handle updates in the rules and regulations.

6. How secure is your data with them?

Information is power, and it can be misused. Before you choose an outsourced accounting and bookkeeping services firm, ask them about the data protection measures they implement.

Know the security software systems and technologies they use. Try to judge how safe your financial data will be with them.

7. What are their charges, and are they transparent?

If you have zeroed in on a potential provider, ask them about the fees per service that you need from them, the extent of services, and the additional charges for upscaling them.

Try to find out if there are any hidden costs before it is too late. Discounts you can ask for if you take their premium package or a bunch of services.

If you search the internet, you will find plenty of outsourced accounting and bookkeeping services. Choosing the right one is a problem. Use the basic questions presented here to find the most suitable provider for your business.