How to Choose a Small Business Accountant in Melbourne
Short answer: choose an accountant who is a registered tax agent, holds a CA or CPA qualification, understands your industry, works in the accounting software you use, and talks to you before 30 June, not just after it. Ask for a written scope and quote before any work starts.
What a good small business accountant does
A small business accountant keeps you compliant and helps you make better decisions. Compliance is the base: tax returns, BAS and GST, payroll and super obligations, and dealing with the ATO on your behalf. The value sits on top of that: cash flow forecasts, advice on structure, pricing and margins, planning before year-end and, eventually, preparing the business for sale or succession.
Bookkeeper, BAS agent, tax agent, accountant: who does what?
| Role | What they do | What to check |
|---|---|---|
| Bookkeeper | Records transactions, reconciles accounts, processes invoices and bills | A bookkeeper who prepares and lodges BAS for a fee must be a registered BAS agent |
| Tax agent | Prepares and lodges tax returns and deals with the ATO for you | Registration on the Tax Practitioners Board register |
| Accountant (CA or CPA) | Financial statements, tax, structuring and business advice | Membership of CA ANZ or CPA Australia |
Only a registered tax agent can charge you to prepare and lodge your tax return, so check the Tax Practitioners Board register before you engage anyone. For more on qualifications, see chartered accountant vs accountant.
Six things to check before you hire
- Registration and qualifications. A registered tax agent, plus a CA or CPA qualification. Chartered Accountants complete a degree, the CA Program and three years of mentored practical experience.
- Industry experience. Ask which clients they already look after in your industry.
- Software. They should work in your Xero or MYOB file with you, not ask you to email spreadsheets. (See our Xero help.)
- Communication. Who is your main contact, and how quickly do they reply?
- Proactive advice. Do they meet you before 30 June to plan, or only after it to lodge?
- Fees in writing. A clear scope and quote before any work starts.
Questions to ask in the first meeting
- Who will do my work, and who reviews it?
- What’s included in the fee, and what costs extra?
- How do you handle ATO letters, reviews and payment plans?
- When would we meet during the year?
- Can you give me an example of advice that changed a client’s result?
- How do you move my records over from my current accountant?
Red flags
Vague fees, contact only once a year, advice only after the deadline has passed, no interest in where your business is heading, or reluctance to explain things in plain English.
How much does a small business accountant cost?
Fees depend on your structure (sole trader, company or trust), how many transactions you have, how tidy your records are, and how much advice you want. Fixed annual or monthly fees give you certainty and make it easier to pick up the phone when something comes up. Gartly Advisory gives you a clear quote after an initial discovery meeting. Our guide How much should I pay for an accountant? explains the main cost drivers.
Why a local accountant helps
A local accountant can meet you in person, knows Victorian taxes such as payroll tax and land tax, and can refer you to lawyers, brokers and financial planners they trust. Gartly Advisory works from 563 North Road, Ormond, and meets clients from across Melbourne in person or by Zoom.
Frequently asked questions
When should I hire an accountant?
Ideally before you start trading, so your business structure is right from day one. Otherwise, when you register for GST, employ staff, or no longer have time to keep on top of compliance.
Can I switch accountants mid-year?
Yes. Your new accountant requests your records and becomes your tax agent with the ATO.
Do I still need an accountant if I use Xero?
Xero records your transactions. It doesn’t choose your structure, plan your tax or deal with the ATO for you.
Do sole traders need an accountant?
It isn’t compulsory, but it’s usually worth it once you have GST, a vehicle, a home office or employees.
Talk to a small business accountant in Melbourne
Looking for an accountant who will help you plan, not just lodge? Read about our small business accounting services or book a discovery meeting with our team.
This article is general information only and doesn’t take your personal circumstances into account. Speak with a registered tax agent before acting on it.
