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How To

How to Open a Home-Based Bookkeeping Business

Contributor
By Elaine Stephens
eHow Contributing Writer
(4 Ratings)

Bookkeeping can be a great home-based business for detail-oriented individuals who enjoy working with numbers. A small bookkeeping business can be started with a small amount of cash and some basic office supplies.

Difficulty: Moderate
Instructions

Things You'll Need:

  • Computer
  1. Step 1

    Check zoning laws in the community to determine if a home business is legal in your neighborhood. It is very common for clients to stop by the home office of their bookkeeper, so this is very important. If zoning does not permit clients to visit your home for business, other guidelines must be in place before the business opens. Some communities only allow a certain number of business-related visitors, while other allow none. Disobeying zoning laws can lead to penalties on a business and can even cause it to be shut down.

  2. Step 2

    Evaluate your skills and how they may be of value in a bookkeeping business. Not all bookkeepers need CPAs or a high level of experience in finance. They do need above basic math and problem solving abilities. With a basic understanding of math and taxes, a bookkeeper can target clients that only need the services they can offer.

  3. Step 3

    Set prices by calling various companies for a price comparison. Begin by selling services just above cost, then increase prices as you become more skillful.

  4. Step 4

    Determine your target market based your skills and experience. For example, a plumber may only need to keep very simple books. If you have only basic skills you should avoid marketing to those with complicated systems.

  5. Step 5

    Continue your education, so you may grow with your customers' needs, instead of wasting time trying to find new clients. If you are not already comfortable with basic accounting programs, learn them and become even more valuable to your customers by teaching them skill as needed. As your client base grows, you may also want to become a distributor of the software to earn a little extra insensitive every time you refer a owner to their product.

  6. Step 6

    After gaining basic experience working with clients you found through face to face promotion, try to use other methods of advertising to gain a larger client base. Become an active member in the chamber of commerce and hand out cards to various small companies.

Tips & Warnings
  • Keep detailed records of your hours spent on each project and future goals to work on.
  • Bill each project at least weekly, any more and payments will take longer to come in.
  • Do not forget to keep your own books in working order.
  • The more bookkeeping skills you have coming into the business, the easier finding customers will be.

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