You’re a growing business with a lean approach and you’re not looking to add any extra expenses. You’ve got yourself to this point, you’ve got good books and you’ve just about managed some cash flow forecasting. Spending money on an experienced and knowledgeable accountant might seem like throwing money down the drain. However, there’s only so far most businesses can go without specialist financial expertise – if you’re ready to expand then it might be time to bring in some expert help.
Why is knowledge and experience important?
Many people assume that numbers are numbers when it comes to business accounting. However, while any accountant can do your tax return or provide you with some basic strategy advice, working with someone who knows your type of business makes all the difference. An accountant who already understands the challenges a business like yours faces can help you to avoid the pitfalls and make good use of opportunities you might not have spotted.
7 good reasons to work in an accountant
- Advice about legal structures. LLP, Limited Company or Sole Trader? An accountant can help you identify the most effective and tax efficient structure for you.
- Business valuation. If you’re looking for financing or investment then you’ll need to be able to provide a sound business valuation. An experienced accountant will be able to help you tailor this for your industry, size and the people you’re sending it to.
- Business review. The best accountants can help you get to grips with how your business is performing now, as well as how it could do in the future. From analysing your current level of business efficiency, to financial performance and future growth objectives, an accountant has a lot to add.
- Competitor analysis. You may know your market and the others who occupy it but the financial analysis of their operations, in comparison to yours, is somewhere an accountant can really add value.
- Cash flow forecasting. An accountant can help you to improve your own cash flow abilities and provide accurate and detailed forecasting that ensures the businesses always has the cash where it is required.
- Detailed accounts. Maintaining records and accounts provides the foundation for growth. An accountant can ensure these accounts are organised, detailed and accurate.
7. Flexible support. Business finances are incredibly fluid and subject to constant change. An experienced and knowledgeable accountant will be able to guide you through the troughs and help you to optimise the peaks so that your business can grow further without restrictions.