Gather bank statements, receipts, invoices, payroll records, tax documents, and any previous financial statements. You may also need business licences, contracts, loan documents, and records of major purchases or sales. Organising these by category and date helps your accountant identify deductions and issues more efficiently.

Many small businesses meet quarterly for financial reviews; monthly meetings can be useful during busy periods or when making significant decisions. Annual meetings may be sufficient for simple businesses with straightforward finances; complex businesses may benefit from monthly or more frequent contact. Regular communication helps your accountant stay current and provide timely advice.

QuickBooks and Xero are widely used by small businesses; QuickBooks is popular among those working with accountants. FreshBooks is often chosen by freelancers for its simplicity, and Zoho Books offers comprehensive features for growing businesses. These cloud-based platforms typically provide invoicing, expense tracking, payroll management, and integrations with third-party apps. Choice depends on your size, industry, and whether you use an accountant.

You can handle basic bookkeeping yourself using accounting software, but hiring a professional becomes important as your business grows or faces complex tax situations. DIY accounting may work for simple businesses with straightforward finances; professionals can save you time, reduce errors, and help you maximise deductions and avoid penalties. Many businesses use a hybrid approach: daily tasks in-house, with tax preparation and financial analysis outsourced.

Bookkeepers record daily financial transactions such as invoices and expenses. Accountants analyse, interpret, and report on that financial data to provide strategic insights, prepare financial statements and tax returns, and offer business advice. Bookkeeping is the foundation that accountants build upon. Think of bookkeepers as data-entry specialists and accountants as advisers who help you make informed decisions.

Consider hiring an accountant when you’re starting a business, experiencing rapid growth, or facing complex tax situations that require professional expertise. You may also benefit if you’re spending too much time on bookkeeping, making financial mistakes, seeking loans, or making major financial decisions. Many businesses use professional help during tax season and for ongoing compliance and planning.

Small business accounting services typically range from about $300 to $1,200 per month, depending on the complexity of your financial operations and services needed. Basic bookkeeping often starts around $300–$600 monthly, while full-service accounting can cost $600–$1,200 monthly. Tax preparation typically costs $450–$1,000 annually, and many firms offer flat-rate subscriptions for predictable monthly expenses. Costs vary by provider, location, and scope of work.