There are generally two types of accountants: Certified Practicing Accountants (CPA) and Chartered Accountants (CA). Both are university qualified, required to undertake studies and pass further exams to be accepted. The difference is that they are governed by separate accounting bodies.
The primary method of choosing an accountant is by talking to your friends and business associates. Ask for recommendations from them and other professionals as well. Other accountants who do not handle your type of business may also be able to recommend a suitable accountant or at least, help with the decision making.
As you talk to friends and business associates, do your best to find out if the accountant contacts them throughout the year, not just at closing time or tax periods. Also, ask if their accountant gives them proactive advice, recommendations and if they get real value from their accounting firm. It would definitely be helpful if you can also gauge whether their accounting firm has a forward thinking attitude and a reliable relationship.
Now that you have a recommendation, before appointing an accountant, or in some cases even creating a business, you should definitely talk to your accountant. In your conversation, you should gauge his experience, his knowledge, his grasp of where your business is going and what entity needs to be focused to grow your business.
Here are a few questions to ask your potential accountant:
Experience
1. How long have you been in the practice?
2. How many businesses like mine have you worked for?
3. What kind of work did you do for these businesses?
4. Do you specialize in any areas of accountancy?
Fees
1. Do you charge for the initial consultation?
2. How do you charge for your work?
3. When do I have to pay?
4. Do you charge for telephone consultation?
Service
1. How often will you keep me informed about the progress of my work?
2. Will you consult with me about what I want done?
3. What is your policy on returning calls? How soon?
Support System
1. Do you have other office locations?
2. How much of the work do you do yourself?
3. Who will you delegate to?
These are not exhaustive questions by any means, but they should help you to make a sufficiently well informed decision. The key thing to remember is the value that your business will receive from this services. Hire your accountant wisely.
Engr Hj Mohd Prasad Bin Hanif
Coach & Pendakwah Bebas
Talk to me should you have any questions or suggestions regarding this article. Thank you!