Get a call from a potential client the other day - looking for a new bookkeeper to take on his 'multi-business empire' (his words! - although he only needs someone 2-3 days a month, so can't be that big!!!)
Alarm bells start to rings when he says :-
1) I need the accounts prepared on site, on my PC, so I can control what goes where in the accounts exactly. (Thats not how it normally works?!)
2) 'I've been through a few bookkeepers/accountants lately....'
3) He wants to know what my qualifications are, and can I provide him with 3 references? OK about the qualifications, but 3 references seems a bit OTT.
4) I say that because of the MLR's, I will need a copy of his passport / utility bill to prove who he is. 'Well' he says 'I've never been asked for that before from an employee'. 'But I'm not an employee, I'll be freelance' I say. 'Same difference' is his reply!
So I then spend an enjoyable evening doing a bit of background research on him. (I ususally do this with a new client before we meet for the first time, just so I get an idea on exactly what the business is they have etc.) Digging around on the internet (what did we do before that??!) comes up with a few surprises. He has been MD of more than 50 (yes 50) companies. Seems he opens up, runs the business into the ground, then moves on with another busines name! Of his 6 currently 'live' businesses, ALL have 2011 accounts still due at companies house, with a deadline of 30th Sep 12 coming up. (Perhaps thats his 'There's a bit of a backlog to catch up on' reference?!)
More interestingly, I find a reference on one business that I've not come across before - digging further, I find it means the business has gone into liquidation, and the receiver is unhappy with elements of the accounts!
Oh my goodness! Did I back peddle big time. Called to say very sorry, but have reviewed my work commitements, and cannot take on his work at this time, etc, etc!
Moral of the story is : no matter how desperate you are to take on new clients and expand, there are times when it is safer to just say no!!!
Well done on a good decision there Liz and thanks for sharing.
Hasn't this guy been banned from being a director yet?
all the best,
Shaun.
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
I love investigating people and firms. It started with an interview and i was looking at the company website, next thing i know i'm on companies house website checking out whats what and whos who, that leads to a google search of twitter, face-ache and linkedin etc......
I also do as much investigation about a prospective new client. I once worked for a company who were totally financed by a RDA (when they had money to throw away) I did a little research before taking on the client and found one director had been disqualified many years ago but this should have started alarm bells ringing. We had 3 MD's in 12 months and one managed to run off with £20k. I had been suspicious when he kept spending on the company credit card and booked a holiday in the Maldives but I never got any receipts to marry to the card statement. I reported this to the other directors who did not seem to be concerned until he took a limp sum out of the bank and ran off. I feel sure if it had been their hard earnt cash and not tax payers money, they would have looked at the situation a little more seriously. |I stuck another 6 months and then left them. You really do need to find out who you are going to be working for as there are some rather bent people around.
Looking up information on the London Gazette can prove quite a useful tool if you have names for directors or even sole traders. I know you cannot judge everyone on their track record and we all need a second chance but you really do need to use your own judgement on each case.
Sounds like a client I got rid of a few years ago! He drove me mad, and it was such a relief to get rid of him. He has since had some assets taken via HMRC for failing to pay Vat/Tax etc, I heard this story through someone else, but I wouldn't be at all surprised if it was true. He was so bad it was unbelievable, I have learnt my lesson from that one. Never again.
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