20 questions to ask when looking for an advisor

You will need to hire a number of different advisors such as an attorney, CPA, financial advisor, banker, and an insurance agent to help you in your business decisions. Here are 20 questions to ask before you get into a business relationship:

1. How long have you been in practice?

2. What experience do you have with startups?

3. How many healthcare providers have you worked with? How many chiropractors?

4. What are your qualifications (specific certification for the individual's profession)?

5. Who will I be talking to on a regular basis (the CPA, bookkeeper, or someone else)? Will this be the same person all the time? What if he/she is not available — do others in your firm know my account?

6. What is your general approach to working with clients? (Are you aggressive? Do you advise caution?) Or, what advice do you generally give clients in my field to lessen the likelihood of problems (such as with the IRS)?

7. What is your special interest or area of specialty?

8. What is your fee schedule? How do you calculate fees? If I call you and ask a question, will you bill me?

9. What is your estimate of my monthly expenses?

10. What startup services do you provide?

11. What specific regular services should I obtain?

12. What additional services might I be interested in?

13. Why should I choose you instead of another CPA, attorney, or financial advisor?

14. Do you work on a "retainer" — minimum fee each month for specified services?

15. Will you provide a written agreement for services?

16. Please provide three references who can attest to your abilities in my area (healthcare practice).

17. Have you ever been disciplined by the state board for your profession?

18. What if I'm unhappy with your services?

19. What do you expect of me?

20. What should I have asked you that I didn't?

DIFFERENT TYPES OF PROFESSIONALS

What services should you expect from the different types of professionals? Here are a few:

• CPA. Depending upon your own knowledge, you may want the CPA to provide different levels of expertise. The minimum would be a review of your quarterly P&L (profit and loss sheet) and balance sheet, and to have him/her provide tax advice.

The CPA could also do your monthly bookkeeping entries and provide a monthly statement. Some CPAs employ payroll specialists who can do all payroll tasks involved in paying employees, reporting, and payment of payroll taxes.

• Attorney. You will want an attorney on an occasional basis to discuss issues of employment law, patient relations, reviewing contracts, and general business law. You should not need to keep an attorney on "retainer" (monthly minimum).

• Insurance agent. When you purchase insurance, your biggest concern will be service. Ask for references, specifically for businesses in healthcare and those who have had claims in the past few years, so you can judge service for yourself.

• Financial planner. This person should have the CFP (Certified Financial Planner) certification and specialize in helping small businesses avoid (not evade!) taxes by suggesting various deferred compensation and retirement plan packages.