Corporate financial management is an important aspect to consider when entrusting a credible accounting firm. Accordingly, these agencies employ experts in monitoring legislation compliance and providing your business with informed advice in managing business audits, taxes, and financial goals. As a result, we have listed the following 5 important criteria for you to consider when selecting an accounting firm below:

1. Fees

The first consideration in this process is the accounting firm’s service fee. Generally, this fee is either a fixed service charge or an hourly rate. This will vary amongst firms and should be determined by the complexity of services required following contracted time spent. There is also the opportunity to negotiate fee structure in relation to your budget, as well as the Accounting Firm’s output. It is critical to set yourself a budget goal before you begin searching for an accounting firm. Setting an ideal budget can save you time and assist in making easy decisions when deciding between multiple accounting firms.

2. Qualification

It is important to assess the relevant skills, experience and certifications the accounting firm has. This factor gauges an understanding of how experienced the accounting firm is, therefore determining the quality of services. Not only this, but qualifications and licensing compliance are factors that are essential considerations. The two primary certifications you should look for are:

  1. Certified Practising Accountants (CPAs)
  2. Certified Management Accountants (CMAs)

CPA’s have attained degrees, whereas CMA’s occupy the same qualifications as a CPA, yet also have specialised management training. Both require continuous learning to remain knowledgeable in the current industry to renew their licence and certification.

3. Business Needs

Unique business needs are an important aspect to consider, as not all accountants will fulfil these requirements. Each accounting firm will likely specialise in select areas to offer clients the best service they can. From accounts processing through to tailored financial advice, it is valuable to research what each firm has to offer in accordance with your business needs.

4. Availability

In terms of accessibility, this is dependant on the scale of the accounting firm. Often, large scale accountancy firms will prioritise larger businesses (because they are spending more money). This means that a small business’ work may be outsourced or palmed off to a lower-level accountant. The priority for the firm should be to strengthen the financial division in alignment with your business objectives. In simple terms, you want to ensure the firm you select adds value to your company by committing time and professionalism towards your business.

5. Reputation

By conducting basic research on an accounting firm’s reputation in accordance with credibility, it makes it easier to deduce their reliability. This could be through word of mouth, searching online reviews and social media platforms, or reading past client case studies. By contracting an accounting firm that has received good feedback from clients, it will likely be easier to form a personal connection. It is of vital importance to feel comfortable discussing financial matters with your selected accounting firm.

In order to promote growth within the financial sector of your business through an accounting firm, make sure that you consider the elements listed in the above criteria before selecting your accounting firm.

Here at BUSINESSNAV, we offer an array of accounting and financial services to give you the confidence to grow your business as planned. Find out more here or contact us today.