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INSIGHTS

Why should you change your accountant?

There may be many reasons for a small business to feel the need to change their accountant. The good news is that changing your accountant is an easier process than you may think. It can be done with little fuss or effort and without disrupting your business.
Financial accounting
Reasons to consider the change
When owners begin to consider changing their accountants it is usually due to growth and change within their own business. If you are considering changing, take the following questions into account:
  • Are you getting value for your money? 
    If you do not feel that you are getting the quality of the service that you are paying for, this should be cause for concern. When making the decision to change your accountants, it is important that you do research to see whether you can get a better deal before making any commitments.
  • Does your accountant understand your business’s needs?
    It is vital that your accountant completely understands what your business requires from them, in order to help your business grow in the future.
  • Are your tax returns handled correctly?
    Being on top of the ball forms part of excellent service delivery for an accountant. Hence, your tax returns should not be a last-minute concern that distract you from your responsibilities as an owner, but rather a task that is done ahead of time.
  • Has your business grown too big for your accountant?
    As mentioned, business growth is usually why owners begin to consider changing their accountants. If you have noticed that your financial accounting needs are overwhelming your accountants, it is time to look elsewhere.
  • Has your accountant outgrown your business?
    In some rarer cases owners may notice that their accountant’s business has grown too big for your own. If you are beginning to feel more like a number rather than a valued client, it may be time to move on.
  • Is the accounting software too complicated to use?
    Certain financial accounting software can be especially complex, consuming time to perform the simplest of tasks.  Xero Cloud Accounting software is the global leader in cloud software for financial accounting requirements and one of the key reasons is just that – ease of use.
  • Do financial reports available enable you to make business decisions?
    All business decisions are only as sound as the information that they are based on.  Financial information should be accurate, and available without any delay.  If you are not receiving financial reports timeously, this should be of concern to you.
What to consider when making the change
  1. Time: The ideal time to change accountants is once the financial yearend has been concluded.  This will ensure that your business financial year is correctly finalized and closed off before you make the move to a new firm of accountants.
  2. Loose ends: Make sure that all financial loose ends are tied for a smooth transfer, this may include unpaid bills to either party.
The process
The first point of call will be to inform your current accountant. If possible, end the relationship with your current accountant on the best terms possible, as this will make the handover process much smoother. You will also need to grant your current accountant permission to discuss your financial matters with your new accountant in order to hand over any paperwork.

Secondly, your current accountant should provide you with a disengagement letter. This will include the particulars of work they have completed so far with key dates and relevant information.

Lastly, you’ll need to assign authority to your new accountants for income tax affairs.

We keep it simple

At MMS Cloud Accounting, our monthly financial accounting services packages will simplify your life and streamline your business processes. Our team is committed to understanding the needs of our clients’ business, which is why we have designed a solution to support your business while you focus on growing it. We offer a 1-month free service, where you can test our service and measure if it will support your business as required. Get in touch with us today for a fresh approach to cloud accounting.