Benefits of Having a Business Accountant
I have a reputation among my family and friends as a Do-It-Yourselfer. Maybe that is one of the reasons I naturally gravitated to being an entrepreneur. While this approach has in some ways benefited me with new learning, and time and money saving, that was then, and this is now. I have gradually shifted to using the services of other professionals who are experts in their field. This includes accounting, both for my business and personal assets. I would like to discuss the top five benefits that I see in working with a well-qualified accountant. And well qualified includes having an accountant who understands your particular type of business.
- Bookkeeping—Unless a person has been trained, this is one of the primary day to day needs for which businesses need bookkeepers. Even if you have some experience, an accountant who also provides bookkeeping will give you regular daily perspective from another point of view and is vital to accurate reporting when tax time comes along.
- Business planning and Growth—A business plan is an early essential in starting a business. An accountant can provide critical financials needed to create this plan. If outside funding will be required, an accountant can help to organize the information in a way that is more appealing to funding sources. And in many situations, an accountant can serve as a temporary operations manager. All of these can assist in having a clear business action plan and implementing it.
- Tax Preparation—This is what we usually think of in hiring an accountant. Finding an accountant who understands your industry, and who shares the same views as you do in aggressiveness or conservativeness in tax filing will take away a lot of the struggle in tax preparation. A good accountant will be prepared to defend every claim in the event of an audit.
- Saving Time and Money—The usual reason people give for not hiring an account is the cost. In a cooperative relationship with an accountant, the average business owner will save both in time and money. Business owners are usually more valuable to the company in other areas of activity that produce income for the company, rather than in dealing with bookkeeping and tax preparation. The cost in business income and growth far outweighs the cost of hiring an accountant. It also tends to cause business owners to be more conscientious about keeping an organizing receipts and expenses, which lessens the amount of time required from an accountant.
There are other major benefits in working with an accountant, such as having someone to consult with in making decisions, and assistance in using complex business software, etc. All should be weighed out, with special emphasis on the four items listed below. A smart business owner understands that there are costs involved in growing your business, and the financial aspect is not an area to skimp on.
Find and interview one or more accountants to make sure that you are creating a good fit for your business, and then provide yourself the relief of knowing that you have someone watching your back and helping you with the decisions that will allow you to protect both your business and your personal access from paying too much in taxes.
1 https://alltopstartups.com/2019/06/05/10-essential-benefits-of-hiring-an-accountant-for-your-business/ from the alltopstartups website.