Small Business Can

I am currently a qualified bookkeeper and lately with business being so slow I have been considering going on and finishing accountancy. As owners of a business what do you prefer, a bookkeeper that can do your accounts (oh and from April self assessment tax) or an accountant?

Many Thanks for any feed back

Janet

I think the understanding of what a book-keeper - or even an accounting technician v a qualified accountant is 'allowed' to do for the business is quite weak, especially among new businesses - I think many would currently opt for accountants as being the safe option, but if you can do the (some things) same as an accountant could, I wouldn't see an issue using a book-keeper, especially if it was the more price-competitive option.

Thanks Helena That's exactly what I thought I am qualified to do more or less the same as an accountant but don't seem to be getting any where.(The only thing I can't do is final accounts for a Limited Company).

I would be myself blissfully unaware of what the differences are - who/what/where decides the 'rules' and the limitations? If you can refer to the official source when your are promoting your services, that could go some way in 'educating' the businesses (including myself!).

I may have too do that, I'm not very good at blowing my own trumpet so to speak but I will certainly give it try.

Janet, As an accountant myself - I am always very happy to have a good competent book keeper work with client businesses and deal with all the day to day transactions, VAT, Payroll, inputting into accounts system etc. This type of basic processing could be very capably handled by a book keeper. I believe it becomes very costly for a business to be getting their accountant to handle this stuff. I have seen the combination of a good book keeper working with the business on a daily basis with access to the resource of an accountant to finalise year end accounts and tax stuff as being the most cost effective solution for a business.
It sounds like you need to get out & about and sell your services - promote yourself, have you tried the social media stuff , Facebook Twitter etc

Yes I have a facebook page and Twitter. I have also advertised in yellow pages and yell.com.I did write letters to a lot of accountants in Belfast introducing myself but never received any replies. I am doing a bit of networking at the minute with a few organisations.

Janet, you should definitely sign up with Freelance Ireland - www.freelanceireland.ie. The bookkeeping entreos listed there are quite poor - most don't even specify their location.

Hi Janet,
I did a payroll course myself just over 3 years ago, and have been maintaining my own books.
Things moving up a bit so will probably be needing assistance with books, returns etc.
Beinbg a sole trader without huge property portfolios, investments, tennants etc I really don't see a need for an accountant for myself. Obviously if I went limited then I would.
So if an experienced recommended bookkeeper came along in all likelihood would use them before an accountant.
Definitely a market there as far as I can see
Regards

I haven't done payroll its next on my list after self-assessment. Being a member of the ICB (Institute of Certified Bookkeepers) I have to get qualifications for every service I provide. I am currently working with a Limited Company but would love to be able to work with sole traders. Thank you everyone for the advice given.

Janet

Hi Janet,

Lots of changes coming in the Accounting Software market. There seems to be a disconnect with what's happening in the online world and the accounting world. For example online invoicing and payment collection is a big market with some well rounded players like Freshbooks etc. When you compare how easy these products are to Sage, Big Red Book can see why busy business owners outsource.

I recently saw an Irish startup called www.usebullet.com launch - They seem to be the first to bridge the gap. They have basically automated the creation and population of all tax forms including payroll (bar I think the B1 not sure though). They provide an iphone app to capture receipts and they do the data entry.

I mailed one of the founders (as I love web design) and they said they'd received a lot of enquires from book keepers who were getting tight on work due to Accountants bringing the book keeping back in house. So it seems they were looking to modify the product and have a Book Keepers version which would help you retain the relationship but give you the tools to by-pass accountants. I don't think they're anti accountants but just built a product to fix their own problem.

They product seems to be priced at 29pm and 12pm for sole traders. I was more focused on the product then the book keeping but you should drop them a line, very helpful guys.

I know that doesn't answer your problem but it sounded like your not the only one having it. Hope it helps. Tom

Hi Janet,

first off I will declare that although not an accountant myself, I do work for an accountancy body – CPA Ireland. In that capacity I would naturally encourage you to go on and complete your qualification and am happy to chat to you about that offline at any stage.

To attain any professional accountancy qualification involves a steep learning and a programme of approx 3 years study and practical on the job training before qualification. True an accountant and bookkeeper can both ‘do the books’ (THolmes above explains this well), however a professional accountant's training allows them to go beyond this and get involved in the business in a more hands on way - interpreting the numbers for business owners and playing a more active part in financial planning and strategy. Your accountant’s main goal should be to see your business succeed in the long term. Lots of ways they can be helpful – as business owners you should talk to them/challenge them about financial management, good tax practice, cost/profitability improvements and working capital management. This is the type of conversation you can and should be having with your accountant.

From this thread there seems to be a general lack of clarity about the type of services an accountant can provide. Happy to provide an article for the blog if people would find that helpful?

Suzanne

Hi Suzanne,
Just read your answer to Janet. Blog probably a good idea certainly don't see how it can harm. Great offer

No problem. Will put somehting together.
Suzanne

That is a greast idea Suzanne - maybe you coudl throw in where the accounting technician fits into all this? In my mind somewhere in between a book-keeper and an accountant, though I am not sure in which way their role is limited - woudl be useful to know, thanks!

Hi Suzanne I had actually started accounting a few years back and when I was told I needed a few years of experience I had to give it up With 5 young children its just not feasible at the minute for me to go out to work which is why I work from home. The reason I asked the initial question was basically to get the opinion of other business owners to make a decision of whether or not to continue with bookkeeping.

Janet