That’s why I created my bookkeeping business framework to turn bookkeepers into business owners. This can be a good option for earning money on the side or scaling to a full-time business. If you already have bookkeeping experience, you can translate your skills to the online world and find business owners who need your expertise. You need experience with bookkeeping and/or accounting on a professional level, plus experience with various accounting software, such as QuickBooks.

Tim worked as a tax professional for BKD, LLP before returning to school and receiving his Ph.D. from Penn State. He then taught tax and accounting to undergraduate and graduate students as an assistant professor at both the University of Nebraska-Omaha and Mississippi State University.

More about running your business

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• One great way to work from home is to start a virtual bookkeeping business.
• She writes about the pros and cons of working from home and even offers advice on how to set up your office with the right furniture and equipment.
• In that vein, there are 4 specific regulatory areas that you need to account for outside of these general principles.
• Public accounting firms cannot provide a modern bookkeeping service without it.

This agreement ensures you are both on the same page concerning business operations. We will chat about your bookkeeping business and whether this coaching programme is right for you at this time. You will need to register your business structure with your state, which requires registration forms and fees applicable to each state. Ask family and friends for input and try out your name on some potential clients to see what they think.

The Investment Needed to Start a Bookkeeping Business

This system is much more secure than sending files via email or using a USB. All files are stored in the cloud, so there’s no backup required. As a one-person operation, you may find it hard to get back to clients right away, especially during tax season. Sending prospective customers to voicemail when they need your services can cost you business. Go Answer is a bilingual answering service that connects your customers to live customer service agents via phone, text, web chat, or email 24/7.

In general, the startup costs for a bookkeeping business can be low if you work out of a home office as opposed to leasing office space, which we will discuss how to start a bookkeeping business in the next section. Also, even though your business is brand new and hasn’t generated any revenue yet, you may still qualify for startup business financing.

Define your target market

I understand that the actual rate will fluctuate each month, but it gives me an expectation to compare to. There are a ton of different recommendations out there for all the different billing methods. A google search for pricing plus bookkeeping probably will give you a ton of information. I’m looking at switching to OnPay because I think I can get the same service for half the cost. I’ll probably start that this month since we are finally done with January.

You should focus on delivering great service to retain existing clients and attracting referrals. Quality of service will help grow your business in the long run. You don’t need to have years of experience as a practicing bookkeeper to start your small business. Make sure that your website offers all of the information that your potential clients may need. As a virtual bookkeeper, you can work from home, a cafe, or beautiful travel destinations. Setting up an online business can help you enjoy the benefits of a flexible work schedule and the comfort of working from home. I use a ton of others now and have used even a ton more in the past.