Are you struggling with taxes? Do you need some accounting help? Are you looking into hiring an accountant for your small business? Having an accountant might save you from all the headaches! From financial expertise to day-to-day business operation, they’ve got you.
Before you hire an accountant for your business, you have to get to know them first. It’s important to get to know them to gauge if they can work well for your business.
Knowing the right questions to ask will give you a lot of information about the professional you’re looking to hire. Here’s a guide on what to ask an accountant when you are hiring them for your small business:
How much is your fee?
This is one of the most important questions you will ask an accountant. Based on their answer, it will determine if your business can afford their rates. Some might charge on an hourly basis, while others charge on a monthly basis. This might not be your only basis, but it will give you an idea of what to expect.
What kind of accounting help or services do you provide?
Different firms and accountants provide different services for their clients. Some businesses hire accountants for monthly bookkeeping. While others are the ones responsible for giving out the payroll or taxes. Accountants have different areas of expertise, so make sure to ask.
Are you qualified for an IRS audit?
You have to ask them if they qualify in representing you for an IRS audit. The IRS has two classifications: unlimited representation rights and limited representations rights. CPAs, attorneys, and enrolled agents can represent clients for the IRS. Everyone else can’t represent clients on appeals or collection issues. Not all accountants qualify to represent their clients for the IRS but all CPAs can.
Do you have experience with my kind of business?
Get to know if the firm has handled a business like yours before. Handling accounting and tax varies from business to business. Being able to get a firm that understands your business is very helpful. Both of you will be on the same page and you don’t have to teach them the technicalities of your business. This is because of their prior experience with the same line of business.
How often should we meet to talk about my business taxes?
The primary purpose of an accountant is for tax consultation. You should ask them how often they recommend for you to meet to have this discussion. A few firms recommend that you meet with them on a quarterly basis. It is better to be safe and meet with them regularly, rather than waiting until the end of the year and see that you have a tax problem.
What is your tax philosophy?
This question lets you get to know them more. You should have a direct-to-the-point discussion on what their philosophy is. Are they careful or cautious, assertive, or aggressive? This would create a more good working environment if their style matches yours. It would be a big accounting help to your business.
The Bottomline
These questions serve as a guide for you to find the perfect person that you can trust to do your business taxes. Keep in mind that their vision should align with yours. If you’re not comfortable with their energy and philosophy, feel free to look into other options. Getting the right firm is a big accounting help to your business.