How To Start A Bookkeeping Business

The New Enterprise Incentive Scheme assists eligible job seekers who have an idea for a viable new small business to establish their self-employment venture. It provides access to training in small business management, a 12 month NEIS financial allowance, business advice and mentor support.

We’ve had a number of wanna-be bookkeepers who have contacted us after going through the program. Strangely there seems to be some areas lacking in the direction that these bookkeepers are given

We’ve talked many times about the fact that having a “qualification” or completing a “course” does not necessarily make you ready to go out into the big wide world and start a bookkeeping business.

Unfortunately for the unsuspecting business owner, there are many so-called bookkeepers who have done just that. Then, when it’s too late, we’ve had desperate calls from those business owners wanting us to untangle paperwork and try and get thier bookwork in to some kind of order.

Considering that NEIS is a Government supported program it would make sense that the students would be made aware of legislation that may affect the operation of their business. So why do we have individuals want to set up as bookkeepers, who are totally ignorant of their responsibilities in terms of BAS lodgments?

How exciting to know that our hard earned tax dollars are being fully and efficiently utilised.

Many bookkeepers, or individuals that have done “a bit of bookkeeping” ponder about the thought of starting their own book keeping business. Contact us for more details

Have you really thought the situation through? Here’s some points to consider in your decision making process:
1) Small businesses outsource a bookeeper because they don’t know how to do the books / don’t have time/ don’t wan’t to / don’t like doing the books. In most instances they don’t know what’s required – they just “want it done” – but often you (as the client’s book-keeper) can talk with their accountant to see what the accountant specifically requires for this client.

2) When a business is seeking a bookkeeper, they want the bookkeeper yesterday, but often they won’t give you all the information until “next week” !!!! They may not even be ready for you to start for a few months

3) Generally hours are by mutual agreement – it’s not a “boss / employee” situation

4) Some businesses may require you to work on their premises – no matter what – and it’s normally during business hours – others you can pick up and do at home – they just want it done by the required deadlines

5) Time frames – Put yourself in their position – if you wanted a baby-sitter and the baby sitter only turned up when they felt like it, how would you feel? If you wanted your car serviced, would you mind if the mechanic took weeks to fix your car?

6) Hourly rate – you don’t get sick leave / holiday pay / super / etc – so you need to allow for that in your calculations

7) Are you ready to start your own business?
a) Only you can decide – you may have the skills, but do you have the desire, the discipline and motivation to work for yourself?
b) A business owner expects their bookkeeper to do their books FOREVER – they do not want a new bookkeeper each week
c) You can’t just “give it a try” – you either take the splunge or you don’t – and once you’ve started – you need to keep going

8 ) Get yourself a five year plan – part time 20 / 30 hours per week and you could earn $800 – $1000 pw – so where do you see yourself in five years?
We’ve got clients that we’ve serviced for many years. As one client siad to one of our bookkeepers : ” I’ve known you for a longer period of time than I knew any of my ex-wives. It’s like you are part of the family!!”

We have a service whereby we help experienced bookkeepers source clients – we do not work with every bookkeeper, and neither do we take on every client – we are looking to get the right / client / bookkeeper teamed up, so that everybody wins.Contact us for more details

We often get asked about how to start a book keeping business. These days there are many small businesses that work from home, especially tradespeople that feel they cannot afford a bookkeeper, yet do not have the time to do the paperwork themselves, and hate bookkeeping, or are just not interested in book work. (more…)