3 Reasons Your Small Business Should Hire an Accountant
Whether you need someone to do your bookkeeping or you are looking for business advice, an accountant makes your life as a business owner easier. And what an accountant can do is much broader than this.
In Canada, it is difficult for a successful company to function without an accountant on staff or a connection to one of many top accounting firms in the country. It’s a vital part of any finance team.
This is even true for the smallest of businesses. Because all businesses pay taxes, all businesses are based on some sort of business plan. All businesses want to be successful. An accountant can make all of this easier.
An Accountant Saves You Time
And, in the business world, time is money. But it is not only money, but time is also a vital commodity in and of itself.
Time is required for a business, particularly a small business, to develop. It is required for capital to accrue. Without this time, your business is unable to expand, to move forward, and to beat out the competition.
Unfortunately, time is in short supply for the business owner. An accountant can help give you this time because one business aspect tends to eat up more time than any other. And that is finance.
An accountant can do the bookkeeping, file taxes, record receipts, set financial targets, and do any number of other time consuming but necessary tasks. This gives you more time to focus on what is truly important: expanding and growing your business.
An Accountant Can Save You Money
The money spent to hire an accountant or accounting firm is always a smidgen compared to the money that they will save you in the long run. It’s their job to cover all of the bases and help maintain the financial well-being of your business.
An accountant will keep track of all expenditures, as minor as they might seem, and make sure that they are being handled fairly and correctly. An accountant will catch any financial wrongdoing or problems early, while it can still be fixed.
And then there are taxes. Tax returns can seem straightforward, but generally, they aren’t. And filing them incorrectly can cost you a lot of money. An accountant will make sure that this doesn’t happen.
An Accountant Can Offer a Wealth of Small Business Advice
And this begins with your business plan. A business plan is much stronger if it includes financial projections and other financial reports. Going forward, this can make it easier to know what to expect financially and can be a big selling point to potential investors.
In addition, an accountant can help you create your company’s legal structure. This means picking the correct legal business for you and your company, setting you up as sole proprietor and being personally liable, or your business as a limited liability proprietorship, or any number of other options.
It is also important to have an accountant around should you wish to sell or close your business. In fact, an accountant can walk you through any major financial decision that you may face as a business owner.
And these are only a few of the many reasons that connecting your small business with an accountant will make your life as a business owner easier. This is important because as any small business owner knows while owning your own business is incredibly rewarding, it can also bring along a fair amount of stress.