Accounting & Bookkeeping & Small Business Forum

[jerry525]

Hi everyone:

I’m an ex CPA coming out of retirement because I’m bored. Years ago I worked for one of the national firms for 6 years as an auditor and then was the corporate controller of a large publicly held manufacturing and marketing company. Now I want to help my son start a bookkeeping practice as a career change for him.

Several Questions:

Should I purchase QB for basic bookkeeping clients, QB Pro seems to be the most popular choice?

What version of QB?

Do any of you, in addition to QB, also purchase Peachtree or do you simply pass up Peachtree users?

Logistically how do you work these aspects of your business:

a) Once established do you pick up and deliver the documents weekly or monthly? I suppose that depends on the number of transactions you need to post. How many transactions will cause you to pick up weekly vs. monthly? As for picking up, what percent of your clients drop off.

b) Perhaps most important, how do you handle the filing of sales and vendor invoices, etc., when you return them to the client. Assuming you trained him to use the plastic client organizer with accordion files to give to you when you pick up, do you just hand it back to him when you’re done? Many clients, if they are looking for someone to ‘keep the books’, would be looking for a part time bookkeeper who they would expect to do the filing. Do they expect you do that? How do you handle that necessary part of a company’s requirements? Is it an issue?

c) Do you use a written scope of your responsibility vs. the clients? Or do most of you have a verbal ‘meeting of the minds’? Or do you simply prepare an outline of the work you do for clients in general and then deal with issues beyond that and add them to the list (priced accordingly)


I know there are a lot of questions here, but I’ve been reviewing the information on this site and haven’t gotten a good handle on answers to these specific questions. Hopefully it will help others getting into the business as well.

Thanks!

Jerry

[David]

Jerry,

I was hoping someone else would respond but let me address your questions:

What software? QB Pro.... is sufficient. I never turn away Peachtree clients but I suggest to them to let me do all of the work, then I do it in QB.

a) Once established do you pick up and deliver the documents weekly or monthly? I suppose that depends on the number of transactions you need to post. How many transactions will cause you to pick up weekly vs. monthly? As for picking up, what percent of your clients drop off

- This really depends on who your clients are and what types of needs they have. I personally do not have anyone drop off the work. I ALWAYS pick up and Deliver. This is another service and allows me to charge what I do.

b) Perhaps most important, how do you handle the filing of sales and vendor invoices, etc., when you return them to the client. Assuming you trained him to use the plastic client organizer with accordion files to give to you when you pick up, do you just hand it back to him when you’re done? Many clients, if they are looking for someone to ‘keep the books’, would be looking for a part time bookkeeper who they would expect to do the filing. Do they expect you do that? How do you handle that necessary part of a company’s requirements? Is it an issue?

- I return the work to them in an organized way and have them file it. This has not been an issue for me. Sometimes you will have very unorganized clients and I have been asked by a number to file and store for them.

c) Do you use a written scope of your responsibility vs. the clients? Or do most of you have a verbal 'meeting of the minds’? Or do you simply prepare an outline of the work you do for clients in general and then deal with issues beyond that and add them to the list (priced accordingly)

- Use a letter of engagement. In our PB course we give you two samples. Having the written copy will protect you if there is ever a misunderstanding as to who is going to do what.

Feel free to contact me if you have other questions.

David@universalaccounting.com

[KGooch]

Get QuickBooks Accountant Edition. It has all the features he'll need as a bookkeeper. It will restore all current and prior versions of QuickBooks backups as well. Good Luck!!

[Ahshucks]

I have used both QuickbooksPro & Peachtree. Since there are more 3rd party add ons available to Quickbooks, you may want to reside in that arena. However, there are some benefits to Peachtree as well and 3rd party support is growing.

Peachtree Web Accounting is an internet option that offers sync with an internet based server allowing the business owner to view his Dashboard from a down load to any computer anywhere. Also allows his traveling sales people to enter orders that can instantly be filled, shipped, and billed. Each computer must have the accounting software installed. Cost is $150 annually for the host computer, accountant included free plus the cost of software for both machines. An additional (10) users can be assigned access for $150 annually. Should mention that this solution solves the problem of off premise backup and networking.

EPeachtree is a web based software with no software on any of your computers. You basically just go online and perform the tasks on a host server. There is not, however, a conversion available to your own system that I am aware of, the data remains on the site. Also annually ($150 single user and a free accountant) + ($102 multiusers) + ($96 Payroll).

You should be aware in a franchise situation of your client, what software the franchiser recommends. They often have created downloads and links that may automatically update cost or pricing on inventory items.

Nonprofit accounting packages are available in both Quickbooks and Peachtree. Peachtree has a solution branded "Peachtree Premium Edition for Nonprofits" and if that doesn't provide what you need they also offer their Best in Class, Sage MIP Fund Accounting.

Really the cost of the software is so inexpensive, there may be justification to have both. The cost could be recovered by one client with a single month's "revenue".

P.S. I only use the term "revenue" because my intermediate accounting professor told me I would flunk if I didn't use it. His background was a "Revenue" agent ... :roll:

[QBConsultant]

You have got some great replies already. I'll just add that I would also recommend QB Premier Acct Edition. Not only will you be able to toggle into all versions of QB (Pro, Contractors, Non-profit, etc.), but you also get several great features with Premier Acct Edition:
Working Trial Balance
Adjusting and Reversing JEs
Financial Statement Designer
Fixed Asset Manager

I think you should consider joining the QB ProAdvisor Program. You would get Premier Acct edition 2008 & 2009, QB Enterprise--Acct Edition, a dedicated tech support number (in Phoenix, AZ), access to training resources, and MORE. Plus, you could become a Certified QB ProAdvisor if you want to take the test (included with your membership) and you get CPE for it too.