Why You Shouldn't Hire a Bookkeeper For Your Business Right Away
As your business grows, many will suggest outsourcing financial management to a bookkeeper to save time and reduce stress. However, this might not be the best choice for your business or your finances.
Contrary to popular belief, hiring someone to manage your money might not serve your best interests when it comes to growth, learning, or overcoming money blocks. If you're already comfortable managing your finances, it can free up time to expand your business and provide clarity for decision-making.
Download our FREE Hiring Guide if You're READY.
But here's the BIG consideration:
- If you don't have systems in place
- If you haven’t shifted your money mindset
- If you lack a good handle on your personal or business finances
...Then hiring a bookkeeper could hinder your growth in money management and mindset.
Why You Should Know Your Money and Your Business Thoroughly
Understanding your finances and tracking your accounts is crucial. If you don't know how to handle your money at a basic level, hiring a bookkeeper might prevent you from learning this essential skill.
To be an effective leader, it's imperative to understand your business finances. Relying solely on others for financial interpretation can leave you vulnerable to dishonesty or manipulation. Knowing the basics allows you to review work, spot errors, and make informed hiring decisions.
Most professionals are ethical and have their clients' best interests at heart, but it's important to protect yourself. Knowledge is power.
Common Fraud Techniques to Watch For:
- Payroll fraud, such as invoicing for non-existent overtime
- Double billing and unauthorized payments
- Writing checks to "cash"
- Unauthorized bank transfers
Knowing your business's cash flow is imperative. Once you do, hiring a bookkeeper can save you time for other important tasks. Regularly check the "books" to spot discrepancies early.
Build a Relationship First
Consider starting with our Numbers Made Easy package or the "Numbers Made Easy Spreadsheet" to learn the basics. We can grow together until you're ready to fully hand off this task. Our Scale package is perfect for when you're ready to focus on scaling your business.
I've created a FREE Guide for Choosing Your First Accountant or Bookkeeper. It explains the differences, how to interview for this role, and which questions to ask. Download it below!
