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Engaging Your QuickBooks Tune-Up Clients

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Note: The author is not rendering legal, accounting, or other professional services in this publication. If legal advice or other expert assistance is required, the services of a competent professional should be sought.

The QuickBooks® Tune-Up is a popular label for a particular type of service offered by accountants to clients using QuickBooks software. What does it entail? Well, it depends on the firm offering the service, so buyers should be wary. This variation among firms is a perfect reason to define the word “tune-up” in an engagement letter, a legal agreement between the accounting firm and the client.

In a tune-up, some QuickBooks consultants do an account review and balance the account balances to any subsidiary records. Others work with a prioritized list of issues that were agreed upon between the client and the accountant. Still others look for problem areas and correct errors in journal entries. The most common activities, in my opinion, that should comprise up a tune-up are:

• Complete a review of transactions for the year, and prepare correcting journal entries
• Review the QuickBooks setup, including the selection of preferences, to determine appropriateness for the client, and suggest improvements
• Review customizations of reports and forms, and recommend enhancements where these features are underutilized
• Propose any needed training

Another way that tune-ups vary is how the services are delivered. Some accountants make a half-day appointment at the client's site. Others work remotely, requesting a file from the client and sending back a report. Be sure to include this information in your engagement letter so there's no missed expectation on behalf of the client.

The next section of the engagement letter that needs attention is the “When We'll Do It” section. In this section, you'll insert an estimated project schedule. You may also want to put in a 30-day notice sentence, meaning that either party may terminate this agreement by giving the other party 30 days notice.

A sample engagement letter specifically written for QuickBooks tune-up services is provided in Word format. Each word or phrase in bold should be replaced with the appropriate phrase that fits the particular client and project that you're writing the letter for. Be sure to further customize the What We'll Do section. The letter should be provided on the accountant's letterhead, signed, and presented to the client for signature.

You should always check with your own attorney before creating or signing any business contracts. If you're not a CPA, consider asking your attorney his opinion of engagement letters when starting a relationship with a new client.

• Engagement Tune-Up Letter  Word file (16K)