How to Avoid Being Scammed

Have you ever had your identity stolen? I have. It happened over 20 years ago, but I remember very vividly the feelings, frustration, and fear that I experienced. I don't want anyone else to go through what I did. Eventually the person who racked up over $80,000 in my name buying everything from jewelry to a seadoo on credit got caught. (Perhaps I'll write a follow-up about that experience.) Being a new business owner, I recently attended a couple small business networking events locally, and at one of them, a person came and shared this nearly “to-good-to-be-true” offer where we could earn six figures if we joined her program to become mystery shoppers.

I sensed some red flags, however. That night, I looked up “mystery shopper” and found out from the Federal Trade Commission website that “mystery shopper” scams are quite common. Although it is a legitimate line of work, according to the FTC, it is not possible to replace your regular income with mystery shopper income. I encourage you to look up the other warning signs listed on the FTC website regarding ongoing scams.

Having your financial information stolen and sold to criminal rings is a horrible and frustrating experience. When it comes to hiring someone to do your books, your taxes, or anything that requires giving vital, personal, and financial information, we must exercise extreme caution.

So how can I find out if someone is a legitimate and trustworthy bookkeeper, especially since it is not a regulated field?

Certification

First, look to see if they have been certified. A person doesn't have to be certified, but it's an important time-investment. QuickBooks, for example, takes a fair amount of studying and time to pass their certification. Only people who have passed the five-part ProAdvisor self-study program can have a profile on the QuickBooks ProAdvisor search. Another great certification is the American Institute of Professional Bookkeepers (AIPB). After passing their 6-part home-study program, bookkeepers can receive the AIPB certification. The AIPB guards their certifications closely and send cease and desist letters to people who post false certificates on their profiles or websites. Some community colleges such as IvyTech offer bookkeeping and payroll certification programs. The more certifications, the better.

Being Financially Invested

Second, the bookkeeper will be truly invested in the profession. Bookkeepers will have at least an LLC, which costs money and is public record in their state of residence. Bookkeepers will have overhead including liability insurance, subscriptions to software and apps, and pay for extra training to hone their skills and expertise. Additionally, if they have a paid-for website (not a free Google website or Facebook page), that is a plus - it requires a financial investment.

References

Ask if the prospective bookkeeper has references from other professional bookkeepers or clients. For me, upon request I can easily provide you names of very well-established, top-of-their-industry, bookkeeping professionals who can attest that they have met me regularly online. We bookkeepers realize we need each other and we support each other and we network with each other.

I definitely must add this part: for other bookkeepers out there who are looking to connect with other top of the line people in the field, I highly recommend joining Roundtable Labs. For bookkeepers truly wanting to up their game, become serious business owners and manage growing firms, and receive group mentorship through the weekly meets with seriously top specialists in the field, this is the place to go. Yes, it costs a bit, but the ROI in knowledge is amazing (plus subscribers can find discounts on a variety of needed apps).

Seek honesty and trust your gut

So if an offer seems too good to be true, if they are not forthcoming about their experience and level (yes, it's intimidating to admit being new to the field, but consider that a plus - do you want a bookkeeper who is not transparent?), if your red flags are going off but you don’t know why, trust your gut. Do your homework. Ask the questions. It is fully ok to hire someone who is fairly new, just as long as your bookkeeping needs are not extremely complex, the bookkeeper has gone through the training, and the prospective bookkeeper has plenty of support to help with the tough questions to give you what you need for your business.

Let’s talk and we can see if I can be a good fit for supporting your business. I am all about helping your business thrive!