Signs It's Time to Switch Bookkeepers
Having a competent and knowledgeable bookkeeper could be the difference in steering your business to growth and success or letting it spiral out of control, eventually leading to a disastrous crash and burn.
While bookkeeping isn't fancy, it's vital for the success of any business. While finding a bookkeeper for creatives may seem like a straightforward process (and it often is), the person you hire may not work out.
The question is, when do you know it's time to find someone new? Keep reading for some of the signs that answer the question, "when should I switch bookkeepers?"
Inconsistent Receipt of Financial Reports
Does your bookkeeper seem like they are constantly behind and having to scramble to close your books at the end of the month? When you request a financial report or receipt of payment, are they slow to get you the information?
If so, you have probably hired a bookkeeper who is not right for your business. While things come up, as they do in any job or position, experienced professionals will create and implement an efficient workflow to stay caught up, meet deadlines, and keep in touch with you to let you know when a delay may occur.
It’s hard to focus on growing your business when you don’t have the information you need about how your business is doing financially. If this happens, it is better to search for someone better equipped to handle the job.
Poor Communication
Nothing is more frustrating than sending a message to your bookkeeper with a relatively simple request, only to have the individual take several days or weeks to respond – or never to respond at all.
When searching for bookkeeping for creatives, general professionalism is expected. Part of this is good communication. If your bookkeeper takes too long to respond to emails or calls, it's a sign they can’t prioritize helping you grow your business or support your ongoing success.
Also, having a reactive bookkeeper is bad for your business. With a proactive service provider, they can put out fires, prevent and anticipate disasters before they occur.
Mistakes and Inaccuracies
Have you noticed your bookkeeper is making mistakes repeatedly? Are you having to spend your time reviewing their work? If so, it's a good indication they aren't qualified for this role.
The moment you begin to question the knowledge and expertise of your bookkeeper, it's a red flag and signs it may be time to move on to someone else.
Any experienced bookkeeper will know how to execute their job with little to no supervision. Additionally, they should provide any document or report right away when it is requested.
If you must double-check your bookkeeper's work or if they can't provide you with accurate or updated reports, it is a good sign it is time to look for someone else for the position.
Operating your business efficiently means you need complete confidence in the bookkeeper you hire and how accurate the information they provide is. If your bookkeeper begins making too many mistakes, it makes them a liability for your business.
You Need Someone to Educate You
Since financial records are an integral part of your business, it's important to find a bookkeeping partner, not just a vendor. While you pay your bookkeeper to handle this part of your business on your behalf, there are still times when you need more details and information about what is going on with the financial side of your business.
When you do have questions, the bookkeeper you have hired should have no problem addressing and answering them. They should also be able to explain accounting and financial concepts so you can better understand the financial aspects of your business.
While having a bookkeeper that shares their accounting knowledge is essential, you can't expect the person to drop everything to speak to you at any time. A partnership goes both ways, and there's a good chance you are not your bookkeeper's only client. Setting up a time to discuss your books is a reasonable request to make for your bookkeeper.
It's important to have a bookkeeper who is willing to explain to you why they are doing things in certain ways. They should also listen if you have any concerns with their methods. If your current bookkeeper doesn't try to educate you on what's going on or ignores your questions, they may not be a good fit for your business.
Finding the Right Bookkeeper for Your Business
Every business is unique, which means a "generic" bookkeeper may not meet your needs. Take some time to find someone who understands your industry and business to ensure you get the quality services you need to ensure your business's ongoing growth and success.
If you notice the warning signs of a problem with your bookkeeper, which are highlighted above, don't hesitate to make a change. The situation will only get worse as time passes.