In today’s information driven day and age, it’s easier than ever to do research on companies that we may choose to do business with. Of course, finding unbiased information can be more difficult. When looking for bookkeepers, good references can trump just about any other research that can be done besides meeting face to face.
Getting a reference from a company within a similar industry to the start-up can be extremely valuable because it can speak to the bookkeeper’s experience and ability and talents in handling the same types of issues.
Different industries have different needs, so finding references from a comparable company can be worth a lot more than fancy diplomas and a sparkling office. Avoiding audits and financial ruin are also worth a lot more than initial fees cost so clearly this is a decision that cannot be taken lightly.
Obtaining these references can be time consuming, but the value lies in the knowledge that new businesses see many more audits and can see higher tax rates because they’re more likely to make simple mistakes. These mistakes can be the difference between breaking even and significant growth. In the worst case scenario, it can be the difference between remaining operational and going out of business. So finding references from companies that have start up experience are quite crucial.
The average person, swamped with many hidden aspects of starting up a new business. A lot of them choose to work with a friend or family member that has some bookkeeping experience, regardless of how good of a fit they may be.
This can be especially dangerous because friends and families may not be honest and blunt with their client because of their personal relationship. A new business needs guidance and it’s highly unlikely that they are going to be found at the family reunion.
It’s also easy to work with the first low cost option that the small business owner comes across. Fees vary wildly based on what services are provided and making sure that all of the relevant problems are solved is more important than pinching pennies when it may cause problems down the road. A bookkeeper must be cautiously, both the relationship and what services will be provided.
It is critical that people find bookkeepers that have many years of experience in helping with start-ups. That experience in working with start-ups cannot be stressed enough because there are so many different issues that a firm dealing with established companies face that new businesses don’t.
Doing due diligence and tracking down references is wildly important because a small business owner has so many things to worry about when they’re starting their new company and they likely don’t have much experience in a lot of these areas.
So finding good representation to help with the most important ones is critical. Obviously, most want to focus on their business and not on taxes and financial preparation. But taking the time to find references for Boston bookkeepers is an important issue that cannot be understated.