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Greetings Tax Bulletin readers,

Not a week goes by that I don’t get a question that goes something like this: “I’ve just started up my own business and I need to hire an accountant to do my books. What sort of person do I need to look for?”

Here are a few pointers:

1. Define what your needs are: Do you need an accountant, bookkeeper or just an accounting officer? Remember that the 2008 Companies Act now has different reporting requirements for different entities.

For example, companies that aren’t managed by their owners and have a public interest score between 0 and 350 need an independent review. To find out if your company needs an audit or an independent review, follow this link, http://business.fsp.co.za/content/aadwtax120911ie

2. Look at their qualifications: Based on what you need, look for someone who has the correct qualifications. For example, a person who is a chartered secretary (fellow), and has an FCIS, can’t perform an auditor’s report but can be an accounting officer.

3. Choosing an accountant who knows a lot about your particular area can be beneficial: However, most good accountants should be able to work across any field.

4. The more complex the task, the more the accountant will charge: So if you need an audit, he’ll charge you a lot more than if you just need to get a new company name. So don’t feel that you’re being taken for a ride!

5. Choose an accountant who knows the software package your firm uses: Most accountants are prepared to work on any software package but it’s always better to choose an accountant who intimately knows the software package you use.

If he doesn’t, he’ll spend hours and hours trying to work out how the particular package works – and charge you thousands for these hours. Save this money and choose an accountant who knows his way round your accounting package!

If you’re a business owner, I’m sure that you’ve been in this situation…

It’s 4.15 pm on the last day of the month. You’re rushing to get to an appointment across town and you have to be there by 5.30 pm. If you don’t leave now, you won’t make it.

There’s a knock on your door. “Come in!” you call and Jane, your financial manager, appears round the door, looking rather pale and shaky. “Could I have a quick word?” she stammers. “Yes,” you say, “but I’ve only got five minutes.”

“I’ve been offered a great job opportunity that I can’t pass up, so I’m handing in my resignation. I’m leaving at the end of next month,” she says.

You groan inwardly. You think about all the added admin that has just landed on your plate and you think to yourself: “Jane is so efficient: how am I ever going to find someone to replace her?”

The answer is simple: by using the sample job description for your financial manager that you’ll find in the Practical Accountancy Loose Leaf. Have a look at a sample of what you’ll find in this job description, http://business.fsp.co.za/content/aadwtax120911ie-b


Lia Marus
Managing editor: Practical Accountancy Loose Leaf
http://business.fsp.co.za/content/practical-accountancy-loose-leaf-aadwtaxig1