How to Start a Bookkeeper Business
Setting up an independent bookkeeping practice, from the services you'll offer and the paperwork to the first monthly invoice.
An independent bookkeeping business is built on a clear list of services, a handful of steady clients and the usual set-up work of any new firm: registering, getting a tax ID, insuring the work and keeping a separate bank account. Monthly retainers and hourly catch-up work are explained in the bookkeeper invoicing guide linked below.
The BLS page on bookkeeping, accounting, and auditing clerks (In the US, BLS, last modified August 27, 2026) says "Although not usually required, some bookkeeping, accounting, and auditing clerks may choose to earn professional certification, which can help to demonstrate competency in their field." It also notes: "Bookkeepers who work for multiple firms may visit their clients’ places of business."
A first monthly invoice with sample figures: one client's month of books at 1 × $425.00, three payroll runs at 3 × $50.00 = $150.00 and 2 hours of catch-up work at 2 × $55.00 = $110.00 come to $425.00 + $150.00 + $110.00 = $685.00. Use your own figures; these are only an illustration.
Step-by-step startup guide
Follow these steps to launch your bookkeeper business on solid footing.
- 1
List the services you'll offer
The BLS (In the US, BLS, last modified August 27, 2026) says "In addition, they may handle payroll, make purchases, prepare invoices, and keep track of overdue accounts." Pick the tasks you'll take on and the ones you'll refer to an accountant.
- 2
Decide on certification
The BLS (In the US, BLS, last modified August 27, 2026) says "Although not usually required, some bookkeeping, accounting, and auditing clerks may choose to earn professional certification, which can help to demonstrate competency in their field." Weigh it against the clients you want to reach.
- 3
Register the business
The SBA's launch guide (In the US, SBA, checked October 31, 2026) says "Your location and business structure determine how you’ll need to register your business." Check your state's rules for the structure you choose.
- 4
Get an EIN and open an account
The SBA (In the US, SBA, checked October 31, 2026) says "Your Employer Identification Number (EIN) is your business’s federal tax ID number." It also says "As soon as you start accepting or spending money as your business, you should open a business bank account."
- 5
Arrange insurance
The SBA (In the US, SBA, checked October 31, 2026) says "You also may be legally required to purchase certain types of business insurance." A licensed agent can explain cover for errors in client work.
- 6
Put each client on a written contract
Set out the monthly tasks, what counts as extra work, the price of each and when invoices are due.
Tips for starting your bookkeeper business
- Keep your own books to the standard you sell. The IRS (In the US, IRS, last reviewed or updated May 1, 2026) says "You may choose any recordkeeping system suited to your business that clearly shows your income and expenses."
- Keep each client's files and logins separate, and record who can see what.
- Plan for your own self-employment tax. The IRS (In the US, IRS, last reviewed or updated October 30, 2026) says "The self-employment tax rate is 15.3%."
- Ask your state whether any services you plan, such as tax preparation, carry their own registration.
How Billed helps you get started
Features to look at as you set up your business.
Recurring Invoices
Billed's features page lists "Recurring Invoices": "Save time by sending invoices on a regular schedule so you don’t have to create invoices again and again."
Bill For Tracked Time
Billed's features page lists "Bill For Tracked Time": "Easily create invoices for the tracked time and get paid."
Hourly Rate Projects
Billed's features page lists "Hourly Rate Projects": "Manage hourly rate projects and track time for your projects. Easily bill for time tracked."
Client Dashboard
Billed's features page lists "Client Dashboard": "See all the details related to a client in client dashboard."
Frequently asked questions
More Startup Guides
Send Your First Monthly Bill
Create invoices, track payments and keep your clients' details in one place with Billed.
At a glance
| Stage | What to check | Source |
|---|---|---|
| Certification | "Although not usually required" | BLS (In the US, BLS, last modified August 27, 2026) |
| Registration | "Your location and business structure determine how you’ll need to register your business." | SBA (In the US, SBA, checked October 31, 2026) |
| Bank account | "As soon as you start accepting or spending money as your business, you should open a business bank account." | SBA (In the US, SBA, checked October 31, 2026) |
| First invoice | Monthly fee, payroll runs, extra hours | Bookkeeper invoicing guide |
When this isn't for you
If you're taking a salaried bookkeeping job, these business steps don't apply; your employer runs payroll and registration.