If you are planning to start a home-based business with very low investment and high returns, opening a bookkeeping firm is possibly the best idea for you.
From processing payroll, preparing income tax returns, and tracking clients’ expenses and revenue, bookkeeping firms offer their clients a wide range of services. And the best part is, with the proper skills and knowledge in this field, you can excel quickly compared to the other start-ups.
You need a proper roadmap for all the steps from setting up the infrastructure to successfully running it. Let’s dive right into the top 7 tips and tricks through which you can easily make your bookkeeping business shine.
Target Your Market and Niche-
A bookkeeper’s work is not limited to a particular industry, as almost every industry needs to maintain financial data to check its performance. But to stand out among your competitors, you may consider specializing in a specific industry. This will help you build brand credibility in your segment, and also, determining the target audience will be much easier for you.
The trend of outsourcing financial work by Singapore companies is increasing daily. As an accounting firm, you can offer monthly bookkeeping services for Singapore companies to get some easy clients. But be sure to stay updated with any changes in the Singapore regulatory body. Apart from this, build a sound knowledge of Singapore’s regulatory framework.
Jot Down Your Business Plan-
Regardless of the type of field you are in, you need proper planning and execution to succeed. First, visualize the goal you want to achieve and write down a realistic plan to achieve it. It will keep you motivated, and eventually, you can see the result. Do thorough research on some established bookkeeping organizations and which industries they serve.
Preparing a business plan also includes choosing a brand name for your organization. The business name will be your first impression. So, make sure it is unique and catchy.
Register Your Organization and Acquire New Clients-
A registered brand is more likely to grow rapidly as the clients consider it more trustworthy. Once you’ve selected your business name, complete the necessary paperwork from your local authority as per the norms.
Besides this, acquiring new clients is all you need to sustain yourself in the business. It will be a good idea for one to go back to the old school method of writing a strategy with pen and paper and then implement them in practice. Here are a few mediums through which you can have new clients for your firm-
- Partnership with established accounting organizations.
- You may consider asking your existing clients for a referral.
- Emphasis on digital marketing and paid ad campaigning.
- Create an informative proposal.
- Follow up with potential clients regularly.
Plan to Achieve Short-Term Goals
As you have done with all the basic formalities to set up an according firm, it’s time to create a systematic plan and achieve short-term goals that will boost the growth of your organization. Your short-term goals may include –
- Hire one or couple of assistants
- Acquire at least 30 new clients
- Make your digital presence by launching a website
Even if you can achieve half of your target within the set time, your morale will be sky high to do better in the future.
Choose the Right Software
You might need different software to manage your business properly. So research about the market and choose the software that helps you accomplish the job more efficiently and effectively. For starting and running a bookkeeping business, four types of software are crucial.
- Account software – This is the main software; so choose it after thorough research and comparing many reputable brands in the market.
- Software for project management – From organizing to tracking client’s work, this software is very effective. Check out the scientific world to know more.
- Payroll software – Most of the time, the accounting software itself has the payroll options that you should start using after hiring employees.
- Software for electronic file management or sharing – Whether you want to share valuable information like invoices, receipts, work documents or bank statements with your customer, it will help you do everything from any part of the world.
Set a Business Infrastructure
Are you going to start the firm online? Or do you want to set up a physical appearance? Well, it depends on the budget you want to start with. Even if you are setting up an offline setup, remember these days, you must opt for your organization’s digital presence.
The trend of outsourcing internal accounting functions for business companies is increasing to ensure the organization’s financial health. It creates a huge opportunity for the budding accounting firm to stand out in this field. A typical bookkeeping firm should offer services like-
- Handling a company’s finances through business accounting application/software.
- Track the expenses and overall revenue of the client.
- Generate quarter or annual financial statements as per the requirement of the business.
- Provide the clients with an overview of their finances to help them scrutinize their expenditure habits.
Don’t Quit Your Day Job-
This may sound a bit awkward to the entrepreneurs, but quitting your day job right away creates extra pressure on you. And it will always impact the performance of your business. So it is recommended to stick to your regular job until you start generating enough revenue from your start-up.
The Bottom Line
With these seven ideas, you can easily start your entrepreneurial journey by establishing a bookkeeping firm. Remember, patience determines the potentiality of an organization. Always focus on retaining your existing clients. Above all, have faith in your skill, and you are ready to roar.