"Accounting belongs in the business"

When tradespeople do their own bookkeeping and implement digital processes, they're no longer flying blind, says Jennifer Schöhl. An interview about initial apprehension and the joy of the first accounting entry.

Jennifer Schöhl worked in tax offices for 15 years and now helps companies transition their accounting from paper to digital. She sees herself as a link between tax advisors and businesses, analyzing accounting processes, identifying weaknesses, and developing solutions for efficiency improvements together with the companies. We spoke with Jennifer Schöhl about why, as she says, accounting "absolutely belongs in the company":

DHB: Ms. Schöhl, many tradespeople and small businesses outsource a significant portion of their accounting to tax advisors. However, you are convinced that these tasks belong within the company. What are the advantages in your opinion?
Jennifer Schöhl:  The expectation that tax advisors handle everything is still widespread – but it often leads to misunderstandings. In my opinion, tax advisors are primarily responsible for taxes, financial statements, and strategic consulting, not for their clients' processes and digitalization. The company's own operational procedures – for example, how documents are entered into the system, who checks and approves them, and how payments are made – are the responsibility of the company itself.

Things used to be different because the necessary tools didn't exist. Receipts arrived by mail, there was no on-site digital system, so everything automatically ended up at the tax office. Today, there are tools that allow businesses to manage their own accounting and have access to up-to-date figures. They're no longer operating in the dark. If everything continues to be outsourced to a tax advisor, the company lacks the foundation for informed decision-making. Ultimately, the tax office also benefits when clients work in a structured and digital manner, as it frees up more resources for strategic consulting.

DHB: What are the biggest disadvantages of outsourcing financial accounting?
SchöhlTypically, the following happens: The business owner receives their business analysis (BWA) and accounts receivable list only with a delay, sometimes several weeks later. They have to decide whether to hire a new employee or invest based on outdated figures. They see too late which customers aren't paying and only send reminders when the damage is already done. Early payment discounts are missed because overdue invoices aren't being tracked. But all business decisions depend on numbers.

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DHB: What other mistakes are made in invoices?
Schöhl: A common practice in smaller businesses is for invoices to arrive by email. This means they're already available digitally. They then print them out, punch holes in them, and file them in a folder labeled "due in seven days." Later, the data is entered into online banking. The paper copies are filed, collected, and eventually taken to the accounting firm or scanned. This means each invoice is handled multiple times, and errors can occur at several points. Technically, it would be possible for an invoice received by email to go directly into an accounting system, where it is reviewed, approved, and prepared for payment – ​​including an overview of which invoices are due when. Businesses that work this way are less likely to miss out on early payment discounts, have better control over their cash flow, and save a significant amount of time.

DHB: What role do digital solutions play?
Schöhl: Digital solutions create clarity, are more efficient, and save costs. It doesn't matter which program you use. The important thing is not just to implement any software, but to design processes that fit your business. Many problems arise less from the technology itself, but from a lack of clarity: Who does what, when, how, and with what goal? Programs like "Datev Unternehmen online" are already used by many tradespeople, but unfortunately often only as a simple document repository. I call that the "digital shoebox." Documents are uploaded, sit there – and the tax advisor handles the accounting later.

The possibilities extend far beyond this: Receipts can be processed and pre-coded within the system. Payments can be initiated directly from the system. There are lists showing when invoices are due. Bank transactions can be automatically linked to receipts, allowing for completeness checks. Those who utilize these functions not only have a digital repository but also a tool to manage their cash flow and identify gaps in documentation early on. In my experience, the problem in many law firms is that clients receive login credentials and brief instructions via email, but hardly any individualized training – essentially, a step-by-step guide. This leads to chaos, frustration, and the impression that "digitalization only brings more work."

DHB: Many tradesmen only know the topic of accounting from their master craftsman training and are very hesitant to engage with it.
Schöhl: Yes, accounting in theory can be ugly. But accounting in practice is easy. Once you've made your first journal entry, you lose that fear. Especially when you understand the added value – for example, that you no longer miss out on early payment discounts because you don't have to wait for data from your tax advisor. I advise my clients to spend five to ten minutes a day on their accounting. And if you don't like that, then one to one and a half hours once a week is the minimum. But then your accounting will be fine.

DHB: How do tax advisors view your work? Do you see you as competition or support? Are companies worried that they might upset their tax advisor if they do it themselves?
Schöhl: Tax advisors are grateful for my support, and I also work with some of them as a sparring partner. They value my work and the resulting outcomes because they themselves lack the time and, in some cases, the necessary expertise to advise clients in this way. Tax advisors appreciate it when clients actively participate, understand their business analyses, and can therefore communicate with them more effectively and on equal footing, as this increases the consulting capacity of a tax firm.

I do not replace a tax advisor and am therefore not a competitor, but rather I combine my expertise to create a functioning system for both sides. 

Free initial consultation. Anyone who is interested in the topic and has become curious can book an appointment for a free initial consultation with Jennifer Schöhl here.

DHB: What developments should craft businesses keep an eye on in the coming years?
Schöhl: Firstly, there's the mandatory e-invoicing requirement. From January 1, 2027, companies with a turnover exceeding €800.000 must send electronic invoices that meet certain technical standards. From January 1, 2028, e-invoicing will be mandatory for everyone, including those with a turnover of less than €800.000 in 2027. Companies will need the appropriate tools for this. Traditional Word or Excel invoices as PDFs will no longer be sufficient.

A second major topic is automation and AI. A portion of accounting work – particularly data entry – is becoming increasingly automated. This affects both accounting firms and companies. The role of the tax advisor will evolve even further towards providing consulting services.

The interview was conducted by Kirsten Freund

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