The main difference between an in-office accountant or an accounting firm and a virtual accountant is location. The former is on-site, while the latter is offshore or remote, usually located in a different country with a different time zone. Virtual accountants operate and complete accounting tasks for various clients online. Therefore, the primary necessities of an accounting virtual assistant are a laptop or a desktop, internet connection, and cloud-based accounting software.
When hiring an accounting virtual assistant, entrepreneurs seeking to outsource accounting services should look out for these four types of virtual accountants:
- Tax Accountants – Tax accountants focus solely on their client’s taxes. They follow accounting methods, tax laws, and regulations to produce tax return documents.
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Auditors – Auditors are professionals who apply accounting principles to evaluate the compliance of financial records with the applicable tax laws and regulations.
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Management Accountants – Management Accountants focus on managerial planning and commercial decision-making tasks. They provide financial information to managers and decision-makers of a company.
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Internal Accountants – Internal Accountants are accounting generalists who can head in-house financials, handle all accounting transactions, and manage virtual bookkeepers.
Preparation steps also need to be taken before hiring an accounting virtual assistant. Here’s how you can prepare before outsourcing work to an accounting virtual assistant.
1. Determine which tasks will be outsourced to your accounting virtual assistant.
Some accounting virtual assistants specialise in one or two areas of accounting, as shown in the list of types of virtual accountants above. By deciding which aspects of accounting beforehand, you’ll be able to narrow the search of candidates with the suitable skillset and experience.
2. Work with a reputable business process outsourcing (BPO) agency that vets accounting virtual assistants thoroughly.
Financial information is highly confidential. It’s crucial that you work with an agency with a team of trustworthy virtual accountants who can secure your financial data.
3. Look at client references for the agency as a whole.
Secure as many client testimonials as possible and ask referrals for honest feedback. If they can personally recommend an accounting virtual assistant, your job hiring an accounting virtual assistant has just gotten easier.
4. Assess accounting virtual assistant candidates’ familiarity with your industry and their attention to detail.
Accounting methods, practices, and processes vary widely, depending on the industry. The ideal scenario is to work with a virtual accountant who already has experience in your industry.
5. Discuss qualifications and prior experience.
It’s good to ask candidates to describe their technical skills, knowledge, and past work experience. Their explanation, plus their verifiable certifications and licenses, will help you assess if they’re the best person for the outsourced accounting job or not.
6. Choose an accounting virtual assistant knowledgeable of the accounting software you’re using.
It’s more convenient to hire an accounting virtual assistant who already has experience with the accounting programs you currently have. Switching to another cloud-based accounting software can prolong onboarding and training.
7. Set work expectations and discuss availability.
Be transparent with your virtual accountant about the number of hours you expect them to work. Since virtual accountants are not full-time, on-site staff, they likely work with multiple clients. Provide important work commitments so your accounting virtual assistant can make time for these.
8. Make time for onboarding your accounting virtual assistant.
Give your virtual accountant the one-on-one time they need to comprehend the job requirements and work expectations fully. A study by Gallup shows that a successful onboarding process improves productivity by over 70%.
Your business is in good hands when you contract work to a virtual accounting assistant that ticks all boxes on the job description. It’s also an added benefit and business advantage if you work with a virtual accountant who honors your confidentiality agreement and respects your agency-client relationship.
