I wondered how other bookkeepers quote for new business?
I have no problem with my regular weekly/monthly accounts. But how do others quote when someone phones up and asks how much it would cost to do their annual accounts, and they describe the 'box' of receipts they have, and you just know it will take ages to sort things out before you even start.
Until you actually start work on them, usually you have no idea how many hours it will take you.
I have, before, told them my hourly rate, but they usually need a 'completed' price.
Any views would be very welcome - and Happy new year to everyone!
I tend to suggest that in order to give an accurate quote, I would need to have a quick look at their accounts first. If they are genuine they would not have a problem with that. This also gives you the opportunity to check the client out !
I have learnt from experience that unless I actually see for myself, then I will probably regret it if, as you say the client gives you a box or bag of receipts.
Thanks also - it was really just for the one off's - the people who just phone up and expect me to say how much it would cost for me to take their box of receipts and transform them into nice neat, filed (!) records and a spreadsheet for the whole year. And when you ask they say - oh not many - it shouldn't take long..........
I quite enjoy taking chaos and transforming it, but not when I thought it would take me much less time, and I have given them a price and have to stick to it.
I really don't know anyone that would give, or could be expected to give a fixed fee rate over the telephone.
At most hourly, but as Julie says - ask to see the work. If they are genuine they shouldn't have an issue otherwise they are most likely time-wasters, not too serious and just looking for cheap.
From experience, those that judge work simply on the cost without consideration for the service and other value are not often "premium clients".
Also like Tracey mentions - unless you are confident in estimating the work involved and have adequate terms in place for extras and the unknown I'd suggest commencing on an hourly rate so you are more familiar before moving to a fixed fee.
If someone phones me up I usually just give them my hourly rate. I then tell them that I can give them an initial free consultation. I usually meet at their premises, this gives you more of an idea of their business.
When I look at all their paperwork you can usually tell how organised they are etc How many receipts etc they have etc.
I then give them a written estimate and state the work I will be doing for that price if undertaken.
