Selecting an Effective Accounting Firm for Your Restaurant Franchise

It’s no secret that running a restaurant franchise is a complex task with an abundance of moving parts. That’s why having a trusted partner to take the stressful and tedious bookkeeping and accounting responsibilities off your plate can save you time and effort that can be better allocated to strategic business initiatives. 

While there are a number of accounting firms that offer financial services to franchise owners, it’s critical to find the right one that will not only help you navigate your unique challenges and opportunities, but also set you on a path for growth. 

Below are some key characteristics that should be weighed and considered to ensure you pick the most effective accounting partner for your needs. 

Scalability 

For many franchise owners and leaders, growth is the ultimate goal. Therefore, it’s critical that whichever firm you select has the ability, process, and resources to grow with your business. Often times, this means seeking a firm that embraces advanced technology like Artificial Intelligence (AI) and advanced software, ensuring that your billable time is being used for value-based work, instead of paying for work driven by manual processes. Additionally, working with a partner that utilizes smart software will grant you access to invaluable tools like real-time data analytics and key-performance indicators, automation, and enhanced assessments to aid in decision making. 

Partnering with an agile firm that embraces innovation in this way will ensure that your needs are met accurately and effectively, and that growth and protecting your bottom line is a priority. 

Dedicated Teams

An effective accounting partner should provide you with the same care, attention, and dedication as an in-house team. To ensure this is the case, it’s helpful to partner with a firm that assigns focused teams to your business. 

This avoids challenges and disruptions to your financial management that could otherwise arise with personnel changes at the firm. Additionally, a dedicated team ensures that the professionals you’re working with have a deep knowledge and understanding of your business, as well as other similar businesses in your industry, meaning they can respond to issues and questions promptly and bring in the right colleagues with specialized expertise to advise on a unique matter that could impact your financial health and growth objectives. 

Relevant Experience

Each industry comes with its own unique financial nuances, and the restaurant industry is no different. It’s critical to find a firm that has direct industry experience and specialized knowledge to ensure you are getting tailored and informed advice and counsel. That being said, when having conversations with firms that have restaurant industry experience, it’s important to inquire about their background in managing franchises and multi-unit, multi-location operations, as these pose their own unique set of challenges and opportunities. 

Having a team on your side that understands what’s needed to optimize performance across multiple locations while ensuring financial stability is essential to achieving growth.

Cost and Service Transparency

Transparency is critical for any potential vendor you are considering partnering with, but especially for those that will be managing your finances. Keep an eye out for firms that offer a predictable cost structure so you can plan for fixed costs without the worry of surprise billing. Especially in an industry that is unpredictable when it comes to cashflow stability, its best to avoid unexpected expenses whenever possible. 

Additionally, look for a firm that readily overlays services within your agreement to ensure you are benefitting from a 360-degree approach to financial wellness. For example, it’s best to find an accounting partner that offers not only basic bookkeeping services, but tax planning and more within your contract. Cost and service transparency will allow for planning and predictability as you continue to scale and optimize.

CFO-Level Expertise

Finding a firm with CFO-level expertise will optimize your overall budget management, strategic planning, capitalization efforts, and more. That’s because having access to expertise at this level ensures you can best navigate the complex financial decisions that are needed to run a successful franchise. These partners can also help you build effective strategic growth plans with precision and foresight. Often, the direct hiring of a CFO into a growing multi-unit franchise can be cost prohibitive and lead to paying for C-level experience that is utilized for lower-level tasks. Utilizing an accounting firm to outsource your bookkeeping and accounting allows you to have access to fractional CFO services that can be focused on the most impactful issues facing your growing business while not overpaying for underutilization.

While running a lucrative restaurant franchise is a stressful and at times unstable business, your accounting function doesn’t have to be. By considering these important factors when selecting an accounting partner, you can ensure you stay on a course of expansion and success while maintaining your financial health.