How To Know When It’s Time To Hire An Accountant

It is not uncommon for us to meet with small business owners who have tried (and usually failed) to be their own accountant or bookkeeper. And while the internet is a great resource for many business owners it's also rife with bad information. Usually, when these business owners come to us its because they need our help fixing a mistake they made and don’t want to make again.

So the question is, how do you know when it's time to hire a professional accountant? To be honest, we’d say it's always time. But here are a few guidelines that may help you decide when to make that call for yourself.

Is it a distraction?

Accounting is a serious business, and a few fudged numbers can send your business down a bad path. Understandably, the DIY accountant ends up doing a lot of research in hopes of avoiding any costly mistakes and depending upon how complicated your finances are that research can be a huge distraction from your actual business. Have you heard of the phrase “work on and not in your business?” This is exactly what that is referring to. When you’re constantly working in your business managing every small detail (including your bookkeeping and accounting) you’re not spending your energy doing the things the actually bring in money. Has the rabbit trail also known as a google search bar distracted you from what really matters in your business?

Are you making mistakes?

If you’ve decided that the time spent managing your own accounting is worth the potential distraction my next question is: how is it going? Are you able to do your bookkeeping correctly every time? Does your accounting balance out every time? For some, the answers here will be a resounding yes, but more often than not our clients just aren’t sure if they’re doing the right thing. If you’re doing your own accounting and regularly making mistakes we urge you to put down the calculator and call a professional.

Is the problem too big?

Even if you’re getting it right every time, and this extra task of managing your business’ accounts aren’t distracting you from more important work, sometimes your accounting is just too complicated. Don’t get me wrong, there’s a good chance that you’re handling things just fine, but what happens when something goes wrong? What is your plan when you get audited? Often hiring a professional accountant is more about protecting yourself from the potential risks even if they don’t happen very often.

I know what you’re thinking. Of course, I’m biased, I’m an accountant and I think people should hire accountants. But the truth is I see people every day who thought they’d save a little bit of money by going the DIY route an ended up regretting in the long run. If you’re ready to pull the trigger and hire an accountant, give me a call today.