Would you believe that over 50% of small businesses don’t use an accountant? Almost a third of that 53% simply record their finances using pen and paper. If you’re one of those businesses, it might be time to consider using the services of a professional accountant.
Whilst those businesses using pen and paper might be doing just fine, the breadth of knowledge and experience that accountants offer cannot be underestimated, for best practice and for peace of mind when it comes to your most important asset, your money. Here are some key reasons why it makes sense to seek the help of an accountant:
- Get all the deductions you’re entitled to
When the tax deadline is fast approaching, most business owners are desperately thinking of ways to maximise on their deductions. However, by the end of the year, it’s too late to act on that. You can be helped out by an accountant throughout the year as an accountant can identify these opportunities as you go. This helps you to make better strategic decisions come year-end. Business owners overlook possible deductions in things like expenses, working from home office space and depreciation.
- Don’t get an audit
One other strong reason to seek the help of an accountant is to avoid being audited. Many people only seek an accountant’s help after they’ve been audited to fix any problems. If you’re getting excellent guidance all year round, chances are an audit can be avoided.
- Save time
If you think you can’t justify the cost of hiring an accountant, think of the time you spend trying to manage your finances when you could be doing something else. You could be unknowingly making bad financial decisions that are losing you money or you could be making reporting errors resulting in losses. The benefits of hiring an accountant far outweigh the cost. Consider outsourcing as an even more flexible way of having your accountancy needs taken care of. For outsourced accounting services, visit Mushroom Biz.
Business owners should be free to focus their efforts on running the business and having the peace of mind that outsourced accounting services are taking care of all the necessary financial stuff on their behalf.
- Future Planning
Knowing how to effectively plan for the future is another top benefit of working with an accountant. You can sit down together and look at reports from previous months to see what’s going on seasonally for your business. This can help you to make decisions regarding the purchase of inventory and budgeting for big investments to keep you competitive.
It’s also easier for an accountant to take a step back and look at your financial state and business affairs with objectivity, which is perhaps something you, as the owner cannot do as well.