7 key factors to look out for when switching to a new accounting firm in Prague
Here are 7 key factors to consider before concluding a contract with a new accounting firm. Bear in mind that it would be short-sighted to focus only the fee a company charges.
1. Trust
Are you sure you can discuss everything with your accountant?
To properly use the services of the accounting firm, you should have absolute trust in it. You should also ensure that you discuss your personal and business finances with your accountant as well as the wider issues of tax planning and financial goals. Make sure that you’re both “on the same page” and that there is good communication between you. A quality accounting firm will always be your side, acting on your behalf, wherever and whenever.
2. Qualifications
Is the accounting firm qualified enough to handle your business matters?
Whereas an independent accountant will be sufficient for some companies, other firms require a large firm with extensive experience in accounting operations in their field. Such accounting companies can also take care of salaries, timely tax payments, and government subsidies in emergency situations.
3. Timeliness
Is the accounting firm keeping up with new trends?
As with other fields, accountancy is constantly evolving and moving into the online world, and new regulations and amendments to laws are constantly being passed. A quality accounting firm not only monitors all such updates, but also can use them very flexibly. So, make sure that your accounting firm is moving with the times and that it isn’t you who has to point out all the latest developments.
4. Comprehensiveness
Did you know that accounting firms don’t just provide accounting services?
A quality accounting firm will take care of accounting, taxes and payroll, but can also take care of establishment or liquidation of a company, archiving documents, audits, virtual office services, and many other activities. This eliminates the need for a client to communicate with several organizations simultaneously, thus significantly reducing the risk of differences of opinion or conflicts.
5. Communication
How often will the accounting firm provide information?
For some people or firms, it’s enough to know that their company will resolve everything responsibly for them and send a report occasionally. Others require their accountant to inform them of every step taken. Whatever option you approach is the right one because it really matters to you. You may get the impression during discussions with your potential accountant that they take a different view on how often you should communicate. If that’s the case, it’s best to look for someone else.
6. Legality
Will your tax policy pass if you’re hit by a tax audit?
We all want to optimize our accounting legally so that taxes are minimized. However, you obviously want to ensure that your accounting firm is acting fully in compliance with Czech legislation. After all, you don’t find yourself on the wrong side of the law because your accounting firm has acted in the wrong way.
7. References
Does the accounting firm have good references?
Although we all have different preferences, and one person might dislike one accountant but get on well with another, it’s true that the vast majority of references of a good accounting firm will be positive. When there are some negative ones, they’ll probably related to very personal matters and are usually mutual. You’ll find many references on the Internet, but the most reliable recommendations are from friends, acquaintances or business partners.
Are you still unsure about which accounting firm to choose? We can offer you a completely non-binding consultation. Contact us by e-mail: ludek.bartak@eibd.cz, phone: 739 634 583, or use the contact form.
