New Book Keeping business

[Stuart FM]

Hi folks

I am at the moment in the process on starting my own book keeping business, with the added services of invoicing and letters for clients for example. I have the skills, qualifications and experience so there are no worries there, the only thing I am concerned about is actually getting clients, particularly in this economic climate.

Can somebody please share their experiences and tell me if they simply put an ad in the classifieds, or is it more a case of leaflet drops? Perhaps word of mouth - getting one client who knows others for example.

The other thing I would love to know is what type of client to aim for. I know some people go simply for owner run businesses whereas others act as outsource staff for larger companies. How can I get to that sort of level and is it considered not cricket to approach local accountancy firms suggesting they outsource some of their book keeping and other work to the likes of me?

So many questions!?

Thanks in advance :)

[accountancyextra]

Stuart,

If you just put out a classified ad and then wait for the calls to come flooding in, you'll be waiting a long time (sorry). Leaflet drops may have more success, but you'll need to circulate hundreds if not thousands to generate much interest. These methods rely on the business owner seeing your ad on the day that he needs your service, so can be very hit and miss.

The key to building a successful business like yours (in my opinion) is get out there and meet people. Network like crazy. I don't just mean these networking events run by chamber of commerce etc, but I mean use every available opportunity to talk to new people. Build relationships with people and eventually, once they get to know and like you, they'll refer business to you. This does take time and isn't a "magic pill", but it works.

Talking to local accountants is also a good idea. I outsource quite a lot of our bookkeeping jobs to subcontractors.

Finally, if you have a search on here, similar questions to this have been asked many times, and you'll pick up some gems of wisdom, I'm sure;)

Good luck

[Alison Jones]

HI

I would have to disagree with the thing about leaflet drops, if you research before dropping to find the best type of companies to drop to then the response will normally be good. I did not drop that many leaflets and I gained enough work to give a 3 day a week job up to be solely self employed, then expanded to a Limited company recently.

Alison

[Gillie]

I would suggest Alison that you were lucky ... traditionally leaflet drops only work on a higher percentage basis for consumer sales rather than B2B.

[DIY Accounting]

Have a read of these notes on obtaining bookkeeping business by

Advertsing
http://www.diyaccounting.co.uk/artic...ookkeeping.htm (http://www.diyaccounting.co.uk/articles/accounting_software/advertising_bookkeeping.htm)


Networking
http://www.diyaccounting.co.uk/artic...ookkeeping.htm (http://www.diyaccounting.co.uk/articles/accounting_software/networking_bookkeeping.htm)

[Stuart FM]

Can I ask a further question?? Obviously when subcontracting there is an element of cost involved. I presume, as a practice you would pay the sub contracted book keeper directly, but how is this rate agreed? Traditionally you can look at practice staff being charged out at £25 per hour and book keepers charging out at £10-£15 per hour. If I were to approach a practice, I would guess the fees I would have to charge would need to be less than what the practice charges out at, but enough for me to make anything out of it, so somewhere in between?!

[Fernhurst Solutions Ltd]

Hiya Stuart

Welcome to the forum, and good luck with your new venture ... have you had a look around your local area to see what other bookkeepers are charging? If you manage to get a meeting with an Accountant to discuss sub-contracting, I would suggest you already have a price to charge them as I cant imagine trying to negotiate a price going down to well ...

As for marketing for new clients - there is no golden rule, different methods work for different people in different areas of the country. Networking, business cards and local targeted advertising are good methods for a 'new start' - target Sole Traders and new businesses could be a way forward as well.

[accountancyextra]

You need to be careful setting out your price to accountants when starting up. If you were to charge me £15 and hour (which is the going rate in our area), I wouldn't give you any work, simply because I can get experienced bookkeepers for the same money who would add a bit more value to the clients work (perhaps spotting potential opportunities etc that a less experienced eye would miss).

Why not see if you can get some meetings first with accountants, and then discuss prices from there

[billie1]

What about calling and emailing. Those two combined could work. Regarding pricing, it just depends on your location. In London bookkeepers can charge anything from £15 to £45 per hour.

[Alison Jones]

I would suggest Alison that you were lucky ... traditionally leaflet drops only work on a higher percentage basis for consumer sales rather than B2B.


Maybe it is the area I am in. I tried a lot of other ways to gain clients, some costing a fair bit to advertise. The most effective was definitely the leaflet drop which was not at a great cost to do and gained enough new clients to give up 3 days a week job.

Some ways of gaining clients are different in the area where you live so you should try all methods to see which is best. I was advised by someone not to telephone companies because sometimes you won't get pass the receptionist who you cannot guarantee leaving a message for the relevant person.

Alison

[billie1]

Regarding telephone companies, yes you sometimes get fobbed off by receptionists. Instead of leaving messages one can perhaps try to get the email address of the relevant person.

This is why I think both telephoning and emailing may help get some clients.