It’s true, that behind every great business, there’s a dedicated owner with an entrepreneurial spirit at the helm. Supporting every business owner, however, there is a knowledgeable, expert accountant.
Accountants tend to operate in the background, yet they are an essential cog in the machine of any well-oiled business, enabling the business to maintain full control over its finances and manage its overheads. Today, we want to discuss three of the main benefits that working with an accountant can offer to your small business.
First things first, what does an accountant do?
An accountant juggles anything and everything to do with your business's finances, more or less. Amongst other things, they will:
Take care of your invoices and expenses by categorising them and managing your bookkeeping
Prepare your financial records, including sales, assets, loans, stocks and personal income tax
Keep you up to speed with your taxes, ensuring they are filed on time and that all deadlines are met
Take care of your auditing, PAYE payroll, corporate finance, VAT registration and payment
Handle all and any government paperwork and administrative tasks
1. An accountant can boost your business with their invaluable expertise
If you’re working on a tight budget with your small business (let’s be honest, who isn’t?), you have likely spent a great deal of time trying to work out where you can cut costs. When you own a small business, the natural inclination is to juggle as many responsibilities as possible, to avoid costly outsourcing.
So, you may have considered taking care of your own accountancy tasks. Now, if you have a background in accounting and a strong understanding of business finances, it makes sense to omit the cost of an outsourced accountant.
If you’re working on a tight budget with your small business (let’s be honest, who isn’t?), you have likely spent a great deal of time trying to work out where you can cut costs
However, if you don’t have any previous experience and are hoping to learn along the way, you may want to reconsider. If you take care of your accounts incorrectly, you could damage your business.
An accountant provides invaluable support and guidance and can safeguard your business from slip-ups in your finances. They have the knowledge, insight and experience that is necessary to ensure your business can grow and evolve in a way that is fruitful and legitimate. Plus, many accountants offer flexible payment plans that are designed to suit even the smallest of budgets.
2. They’ll keep your taxes clean and up to speed
Another key area of business that your accountant can help you with is tax, both in terms of paying the right amount of tax, and also making savings with your tax.
When it comes to tax, it’s essential that you neither overpay nor underpay. Underpaying, in particular, can get you in a real fix with HMRC. Your accountant will calculate your expenses and allowances accurately enabling you to tap into solid savings whilst also avoiding costly mistakes. It’s their job to stay up to speed with ever-evolving tax laws, meaning they will have the insight necessary to know how you can legally cut your tax costs by making use of government incentives, allowances and business expenses, as well as offsetting losses.
Taxes can be a real stress for business owners. With the help of an accountant, however, you can rest assured that they’ll be mindfully and responsibly taken care of. That’s one less thing for you to worry about!
3. Your accountant can provide savvy advice to your business
Don’t forget, that an accountant typically doubles up as a business adviser. Through the work they have done with a wealth of other businesses, they have a huge amount of knowledge and insight into a variety of different industries and sectors.
As such, an experienced accountant will have witnessed a great deal of the problems, challenges and issues that you may encounter as a small business owner. They can offer brilliant advice, giving you a heads up on potential risks and making you aware of possible opportunities. Pretty good, right?
If you’re looking for support with your finances as a small business owner, we can help. Get in touch with One Two One Accounts today to find out more about the fantastic services that we offer.