197 ⎸ [Q&A] Tech, Pricing, Client Acquisition, & Services

Hey ambitious bookkeepers!

Are you dreaming of starting your own bookkeeping business but feeling overwhelmed by all the decisions you need to make? You're not alone. As someone who's built a successful bookkeeping practice from scratch, I know firsthand that figuring out what services to offer, how to price them, where to find clients, and what technology you need can feel like navigating a maze.

In this comprehensive guide, I'm going to break down everything you need to know to start a profitable bookkeeping business. By the end, you'll have clarity on the services that are in demand, pricing strategies that actually work, effective client acquisition methods, and the essential tech stack you need to get started.

Listen here or on your favorite podcast player, or watch the video version on YouTube >>

Now let's dive into some highlights!

What Bookkeeping Services Should You Offer?

One of the biggest struggles for new bookkeepers is deciding what services to offer. The fear of creating an offer that nobody wants is real, but there's a simple way to approach this.

Essential Bookkeeping Services

At minimum, your bookkeeping services should include:

1. Transaction coding and categorization - This is the foundation of bookkeeping
2. Bank account reconciliation - Ensuring all transactions are accounted for
3. Balance sheet reconciliation - At least quarterly, if not monthly
4. Financial report delivery - Even if clients don't look at them, make them meaningful with month-over-month comparisons

Additional Services to Consider

Beyond the essentials, these services are in demand but require weighing the pros and cons:

• Accounts Receivable (AR) - Invoicing clients and following up on payments
• Accounts Payable (AP) - Processing bills and managing payments
• Payroll - Setting up and processing payroll
• Sales Tax - Filing and remitting sales tax
• Project Tracking - Cost breakdowns for specific jobs or projects

Here's the reality: AR, AP, and payroll are high-touch services requiring frequent client communication. Before offering these, consider how involved you want to be in your clients' day-to-day operations.

How to Decide What to Offer

1. Market research: Look at what other bookkeepers are offering and their pricing
2. Personal preference: What tasks do you enjoy? What do you want to avoid?
3. Client feedback: Talk to potential clients about their pain points
4. Industry specialization: Different industries have different needs

Remember, you don't have to offer everything to everyone. In fact, specializing can make you more valuable to specific clients.

Finding Your First Bookkeeping Clients

When you're starting out, client acquisition is often the biggest challenge. Here are proven strategies to find your first clients:

Online Platforms

Upwork is where many bookkeepers get their start. For success on Upwork:

• Apply to 10+ jobs daily (yes, really!)
• Be one of the first to apply (after 20+ applications, yours might not get seen)
• Start with smaller projects to build your ratings

Local Networking

1. Contact CPA firms - Many don't want to handle bookkeeping and will refer clients
2. Join local business groups - Chamber of Commerce, Young Professionals
3. Facebook groups - Look for local business owner groups or start one yourself
4. Speak at local events - Offer free workshops at coworking spaces
5. Podcast interviews - Share your expertise on industry podcasts

Building Referrals

Once you get your first few clients:

• Provide exceptional service
• Communicate clearly and consistently
• Ask satisfied clients for referrals

Remember, getting your first client is the hardest part. Once you have one happy client, they can lead to many more through referrals.

The Essential Tech Stack for New Bookkeepers

You don't need to invest in every software tool available when starting out. Focus on these essentials:

Accounting Stack

1. Bookkeeping software - Choose one to start (QuickBooks, Xero, FreshBooks)
2. Payroll provider - If offering payroll services
3. Receipt capture - Hubdoc or similar for audit-proof documentation

Business Operations

1. Scheduler - Calendly or Google Calendar to eliminate back-and-forth emails
2. Video conferencing - Zoom (free for meetings under 45 minutes)
3. Video messaging - Loom for tutorials and updates instead of meetings
4. Project management - Asana (free tier) to document your workflows
5. Email - Google Workspace for professional email and integrated tools
6. Graphics - Canva free version for basic marketing materials

Start with these basics and add more tools as your business grows and your needs change.

Pricing Your Bookkeeping Services

Pricing is where many bookkeepers struggle, often undercharging and burning out. Here's a strategic approach:

Determining Your Base Fee

1. Calculate how much you need to make personally from your business
2. Add in business expenses (software, team costs, etc.)
3. This gives you your revenue goal
4. Decide how many clients you can reasonably handle
5. Divide your revenue goal by number of clients
6. This is your minimum base fee—never go below this number

For my business, our minimum fee is $450 per month. We make this clear upfront to avoid wasting time with clients who can't afford our services.

Hourly vs. Flat Fee Pricing

When starting out, consider charging hourly for your first few clients to:

• Learn how long tasks actually take
• Understand the workload for different types of clients
• Gather data to create accurate flat-fee packages

Once you have experience, transition to flat-fee pricing based on:

• Client size and complexity
• Number of accounts and transactions
• Additional services required
• Your target hourly rate (even though you're not billing hourly)

Raising Your Prices

As you gain experience and efficiency:

• Raise prices for new clients first
• Gradually increase rates for existing clients
• Add higher-tier packages with premium services

Remember, pricing is not one-size-fits-all. It depends on your financial goals, capacity, efficiency, and the types of clients you want to work with.

Final Thoughts

Starting a bookkeeping business doesn't have to be overwhelming. By focusing on in-demand services, implementing strategic pricing, utilizing effective client acquisition methods, and leveraging the right technology, you can build a profitable and sustainable bookkeeping practice.

The key is to start simple and evolve as you learn. Your first offer, your first price point, and your first client don't define your business forever—they're just the starting point of your journey.

Ready to take the next step? Check out my free training at ambitiousbookkeeper.com/training where I dive deeper into building a profitable bookkeeping business.

What's your biggest challenge in starting or growing your bookkeeping business? Share in the comments below!

Connect with The Ambitious Bookkeeper®

🌐 Website: ambitiousbookkeeper.com

👩‍💻 Blog: ambitiousbookkeeper.com/blog

📱 Instagram: instagram.com/ambitiousbookkeeper

📱 Facebook: Facebook.com/serenashoupcpa

💼 LinkedIn: Linkedin.com/in/SerenaShoup

For experienced bookkeepers & accountants:

Learn how to start your bookkeeping business in The Bookkeeping Business Accelerator® >>

Grab my FREE Start your Bookkeeping Biz Checklist >>

Grab my FREE New Client Onboarding Templates >>

For new bookkeepers:

Learn the fundamental accounting skills in Katie Ferro's Become a Bookkeeper >>

For online course creators:

Become a client at my firm, Of Course Financial >>

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