With more businesses moving online, the demand for virtual bookkeepers is at an all-time high. Entrepreneurs and small business owners need help managing their income, expenses, and taxes, but they don’t always want to hire a full-time accountant. That’s where virtual bookkeepers come in.
If you’re detail-oriented, organized, and comfortable with numbers, you can start a profitable bookkeeping business from home—even if you don’t have prior experience.
This guide will show you exactly how to start a virtual bookkeeping business step by step, from choosing a niche to landing your first clients.
For a full step-by-step video tutorial, watch our YouTube guide here:
Step 1: Understand the Basics of Bookkeeping
Before starting a bookkeeping business, you need to understand what bookkeepers do.
What is Bookkeeping?
Bookkeeping is the process of recording and organizing a business’s financial transactions. It helps business owners track cash flow, prepare for taxes, and ensure they comply with financial regulations.
What Do Virtual Bookkeepers Do?
- Record transactions (income and expenses).
- Reconcile bank statements to ensure accuracy.
- Generate financial reports (profit & loss statements, balance sheets).
- Manage invoices and payments for clients.
- Prepare books for tax season (but bookkeepers don’t file taxes—accountants do).
Bookkeepers use software like QuickBooks to manage financial records remotely. If you’re new to bookkeeping, consider taking an online course or getting certified in QuickBooks to build credibility.
Step 2: Choose a Niche to Specialize In
To stand out in the market, focus on one or two industries rather than serving everyone. This allows you to become an expert in that niche and get more referrals.
Profitable Bookkeeping Niches:
- Real Estate Agents & Property Managers – They handle multiple transactions and need organized financials.
- Medical & Dental Practices – Healthcare professionals need help managing insurance payments and expenses.
- E-Commerce Stores – Online businesses have complex transactions with platforms like Shopify and PayPal.
- Freelancers & Coaches – Self-employed individuals need bookkeeping to track their business finances.
Choosing a specific niche makes it easier to market yourself and attract high-paying clients.
Step 3: Register Your Business and Get Insured
Before taking on clients, make sure your business is legally set up and protected.
How to Register Your Virtual Bookkeeping Business:
- Choose a Business Name – Pick a professional and niche-related name (e.g., “EcomBooks” for e-commerce bookkeeping).
- Check Name Availability – Ensure your business name is available as a website domain and social media handle.
- Register as an LLC – Forming an LLC (Limited Liability Company) provides:
- Legal protection (separates personal and business finances).
- Credibility (clients take you more seriously).
- Easier tax deductions (write off business expenses).
- Use Tailor Brands or Northwest Registered Agent to register your LLC quickly.
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- Special $39 pricing to form your company
- Well-established and trusted service
- 1 year free registered agent service ($125 value)
- Fantastic option for new business owners
- Privacy guaranteed so your info stays off public records
- Fast filing and processing times
BEST OVERALL FOR BUSINESS FORMATION
Get Business Insurance
Mistakes happen in bookkeeping, so getting professional liability insurance protects you if a client claims financial loss due to an error.
Step 4: Set Up Your Business Infrastructure
Since your business is 100% remote, you need the right systems and tools to stay organized.
Essential Tools for Virtual Bookkeepers:
- Bookkeeping Software: QuickBooks, Xero, FreshBooks.
- Website & Email: Use Hostinger to build a simple website and set up a professional email.
- Project Management: ClickUp, Asana, or Trello to track client tasks.
- Client Communication: Zoom for video calls, Slack for messaging.
- Password Security: LastPass or 1Password to manage client logins securely.
A professional online presence builds trust with potential clients.
Step 5: Set Your Pricing & Services
How Much Do Virtual Bookkeepers Make?
The average bookkeeper earns $19.35 per hour, but experienced bookkeepers charge $40–$100 per hour.
How to Price Your Bookkeeping Services:
- Hourly Rate: Best when starting ($30–$50 per hour).
- Flat Monthly Packages: Charge clients a set monthly fee based on the number of transactions.
- Custom Pricing: Offer different levels of service (e.g., basic vs. premium bookkeeping).
Higher-value clients (real estate, e-commerce, medical) will pay more for expert bookkeeping.
Step 6: Get Your First Clients
Getting clients is the hardest part when starting, but the right marketing strategies can bring in customers quickly.
Best Ways to Find Virtual Bookkeeping Clients:
1. Leverage Social Media
- Post bookkeeping tips on LinkedIn & Instagram.
- Join Facebook groups for small business owners and offer free financial tips.
- Create a TikTok channel sharing bookkeeping hacks (great for brand awareness).
2. List Your Services on Freelancer Platforms
- Upwork – Many business owners hire virtual bookkeepers here.
- Fiverr – Offer bookkeeping packages for new businesses.
3. Network with Other Business Owners
- Attend local business meetups and virtual networking events.
- Partner with accountants or tax preparers to get referrals.
4. Use Paid Advertising (Once You’re Profitable)
- Run Facebook & Instagram ads targeting small business owners.
- Use Google Ads for local businesses searching for bookkeeping help.
Once you land 3–5 clients, you’ll have a steady income and more referrals coming in.
Step 7: Keep Learning & Scale Your Business
To stay competitive, continue learning about bookkeeping, tax laws, and automation tools.
Ways to Scale Your Virtual Bookkeeping Business:
- Hire an assistant bookkeeper once you have too many clients.
- Offer additional services like payroll processing and budgeting.
- Create an online course teaching business owners how to manage finances.
Final Thoughts: Is Virtual Bookkeeping a Good Business?
Yes. Virtual bookkeeping is one of the best remote businesses because it’s low-cost, high-demand, and scalable. If you learn the basics, market yourself well, and provide excellent service, you can turn this into a full-time income.
Key Takeaways:
- Bookkeeping is in high demand as businesses move online.
- Choose a niche (real estate, e-commerce, medical, etc.) for better-paying clients.
- Register your business as an LLC for legal protection.
- Use QuickBooks or Xero to manage client finances.
- Set competitive pricing ($250–$1,000/month per client).
- Find clients using social media, freelancer sites, and networking.
- Scale by hiring assistants and offering additional services.