Accountants deliver an incredibly valuable service for individuals and business owners operating in all sectors. Whether you’re running an art business from your home studio or a busy cafe with several employees, an accountant can do alot more than just crunch numbers. If you don’t know the perks a professional accountant can bring, you’re missing out. Here are five signs you need to hire an accountant.
1. You want to start a new business
Starting a new business is exhilarating, but it comes with some hefty financial risk. You’ll need to know whether your big idea is actually profitable before you dive in. An accountant will not only help you navigate some of the administrative components associated with starting a business, such as deciding on a business structure or whether you should register for GST, but they’ll be able to walk you through startup and operating costs and create reliable revenue forecasts. They can also discuss your finance options and advise you on the right lenders.
2. Tax time is causing you stress
If you’re a small business owner and preparing your business activity statement (BAS) and keeping up with quarterly GST reporting is causing you stress, then it might be time to bring in a professional. An accountant can tell you what small business tax concessions you’re eligible for and advise how to maximise your deductions in time for the end of the financial year. They will be up-to-date with changing rules and regulations, so you can rest assured when it comes to tax compliance.
3. You’re losing control of your finances
Are your expenses astronomical and you’re not sure why? Perhaps sales are up, but profitability hasn’t changed. Is your business’s debt getting out of control? An accountant can look at your financial reports, measure key metrics, and highlight areas where you can create efficiencies or cut costs. They can also look at how your debt is structured and make recommendations on when to pay back what’s owed and when to reinvest.
4. Your business is growing
Almost all owners want to grow their business, but is now the right time? Growth is an exciting prospect, but it can be dangerous to move too soon. Hiring an accountant to manage the transition while scaling is wise. Not only will they be able to provide sound financial advice on the best growth strategy for your business, but they’ll take care of the new financial and administrative pressures that come with opening more stores, hiring more staff, and serving more customers.
5. You think you’re paying too much tax
If each year you’re scratching your head over your tax bill, hiring an accountant could shed light on the issue. A good accountant will investigate why your tax bill is so high and show you how to set up periodic payments accurately to avoid it in future. They will also advise you on how to make tax savings in other areas, such as when to pre-pay expenses and write off obsolete inventory or bad debt. Ready to find an accountant? Connect with a QuickBooks certified ProAdvisor to take your small business to the next level.