Did you know, your accountant can help you grow all aspects of your business, especially your profit?
While you know your business inside and out, you might not have the time - or be truly confident - when it comes to maximising the financials.
Accountants: Why do you need them?
Dealing with the financial side of businesses can be a pain, we know. It doesn’t matter how big or small your business is, the consensus is that balancing your books, managing your finances, and keeping up with the latest tax laws is not how most of you want to spend your time.
This is where accountants shine – we take care of it all, so you don’t have to.
What’s the difference between an accountant and a bookkeeper?
First things first: accountants aren’t the same thing as bookkeepers. A bookkeeper handles the records management side of things. They handle tasks such as reconciliation of incoming and outgoing transactions, invoicing, payroll, and preparation of your data for accountants to manage your taxes. You might hire an employee to do this, or outsource it to an external bookkeeper, or perhaps even manage your records and finances yourself.
Accountants take things a step further. They use the information provided in your records, whether that’s through your own bookkeeping software or a bookkeeper, to analyse your financial position and provide advice on things such as cash flow and taxes.
Accountants are financial experts who have undertaken the studies and obtained the qualifications to help you build, manage, and grow your business.
Essentially, bookkeepers take care of the day-to-day management of your business’s finances and accountants deal with the big picture.
3 key benefits of engaging an expert accountant for your business
- Business planning and structuring
Speaking of the big picture, do you have a business plan? Do you know what kind of legal structure is right for your business? Maybe you’re in the early stages of starting a new small business while on lockdown during the COVID pandemic, or perhaps your business is established and a little bigger but you’re feeling like it could be more focused and structured.
No matter what stage you’re at, an accountant can assist. They can help you to formulate a realistic and actionable business plan by looking at financial projections, statistics, and industry analyses. An accountant can also advise on the best structure for your business in order to meet legal requirements, minimise your tax, and maximise your profits.
2. Government departments and legalities
Dealing with government agencies can be daunting, and it’s exhausting trying to keep up with all of the legal requirements you must comply with as a business owner, whether you’re a sole trader or running a large business with multiple employees.
It’s easy to think of accountants as simply the people you hand your bank statements to at the end of each financial year for them to do your taxes then don’t see them again for another year.
But there’s so much more use you can make of your accountant!
A good accountant can also help your company stay up to date with the latest taxation laws and legislations, keep on top of updating your business’s registration with the government, handle share allocations, and prepare annual statements.
An accountant can also help you navigate the ins and outs of the auditing process. They will advise you on how auditing works, what the government is looking for, and how to avoid violating any tax laws in the future. Accountants offer invaluable advice in the face of the stress and discomfort of an audit.
3. Delegating and outsourcing
As a business owner it’s so easy to fall into the trap of thinking you have to do everything yourself, which is fantastic if you have the time and the resources to manage that. However, more often than not, trying to cover every important aspect of your business by yourself will end up being stressful and confusing. Trying to handle your business accounting on your own takes time and energy and can often lead to costly mistakes.
It stands to reason that by outsourcing your accounting requirements to a qualified and efficient accountant you are making a sound investment for the future of your business, giving it the best chance of success. By letting an accountant take care of the nitty-gritty of financial ins and outs you’re freeing yourself up to focus on your business’s core activities.
Contact our team of experienced accountants
Whether you’re a new business trying to understand the many financial rules and regulations, an established business looking to take your business to the next level, or simply looking for ways to streamline your accounting processes, the Profacc team can help you navigate the complexities of running a business. Speak to our team of experienced accountants to clarify your strategic direction, set financial goals, and build a successful business.