Having a competent bookkeeper can make a world of difference to you and your business. Utilizing an effective bookkeeper can either steer your business towards new heights or allow it to spiral down and crash. It does not matter whether your bookkeeper is an accountant who worked for renowned financial organizations or a fresh graduate; they must perform well.
However, for business owners who have a lot on their minds, it’s hard to know whether your bookkeeper is performing well or not. So, let us highlight a few signs to help determine whether your bookkeeper is up to industry standards.
Fail to Provide Helpful Reports
One of the most important roles of a bookkeeper is to provide helpful reports that facilitate the streamlining of your transactions. An efficient bookkeeper prepares timely reports that help ensure that your business achieves growth.
Failing to Understand Basic Bookkeeping Terminologies
Avoid employing a bookkeeper who is scrambled at the end of the month. A good bookkeeper knows how to meet deadlines consistently. Failure to do so is a clear indicator that your bookkeeper is not equipped to handle your business’s demands.
They Keep their Books Hidden
Occasionally, bookkeepers can be very secretive about the work they do. This secrecy is an indicator of shady procedures regarding your books that you may not be aware of. A good bookkeeper will want you to see progress; he/she will prioritize delivering accurate and complete reports on time. A bad bookkeeper, on the other hand, will keep you in the dark!
Passing the Blame onto Someone Else
A good bookkeeper will like things to stay moving in the right direction and will accept their mistakes if they occur. On the other hand, if your bookkeeper is blaming other colleagues for consistently occurring mistakes, then you should consider finding someone who can take accountability for their mistakes and use them to grow.
They Don’t Ask Questions
Nobody is perfect! Even if your bookkeeper has two decades of experience, he or she must ask questions. You can never be too sure of how your transactions vary every month. Due to this, a good bookkeeper asks questions to understand your business further to cut costs extensively.
A Constant Hassle
Keep in mind, the reason you hired a bookkeeper is to avoid the extra hassle. Therefore, if you must deal with consistent mistakes month after month; then, what is the point of having one? In this scenario, it may be time to get a new one!
Lack of Input in Financial Reports
Your bookkeeper must provide feedback on your financial reports. Or they should at least give you some kind of comment on your business financials. Only an inexperienced bookkeeper will fail to provide you with their perspective on your financial reports.
Unresponsive on Emails
If you are running your business remotely, you want your bookkeepers to be always available to you. Even if you have outsourced your bookkeeping services, a lack of response to emails can be frustrating and could halt your business’ outcomes.
Knowledge of both Cash and Accrual
There are many bad bookkeepers out there. However, even some good ones fail to understand the concept between cash and accrual. Your bookkeeper should not only know about both concepts, but they should also know which one to use in what situations.
Lack of Time Management
One of the most important elements a bad bookkeeper lacks is time management. What makes this a serious problem is that bookkeeping requires precision since they usually must pay invoices and bills. Employing a bookkeeper who lacks time management skills can hurt a company – big time.
So, whether you have just started out in the business world or are looking to expand, a bookkeeper is a must. However, if you are willing to spend a hefty amount on hiring a bookkeeper, to care to ensure they do not have the aforementioned habits.
You can also outsource your services. There are many bookkeepers who work for lower rates and have a plethora of experience under their belt. So, what are you waiting for? Get yourself a bookkeeper today and make managing your finances easier for you and your business!
About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.
