There is a handful of people that every business needs on the payroll, and accountant is one.
Still, that doesn’t stop a lot of firms from disregarding them altogether. Instead, they try and handle their finances in-house or with the help of new age technology.
Although this method can work, it’s never going to be better than having a professional in the room crunching numbers.
Here are the reasons why.
#1You Need Advice
‘Looking after the books’ is hard because it’s complicated and hard to understand.
Plus, there is so much raw data that it can make you feel as if your head is going to explode. So, who do you turn to?
You can’t ask an employee for help because they are just as clueless, and you can’t ask a software program because it can’t speak.
The only person you can confer with is an accountant. And, graciously, they will give you all the info you need to write a business plan or structure the finances so that you always have cash reserves.
#2 Mistakes Have Consequences
In fact, accounting errors have dire consequences in a lot of scenarios.
The problem with making a mistake with money is that you can’t afford to make it in the first place. If you make an error and lose the money, you can’t get that money back and that can harm the firm.
Plus, the authorities aren’t flexible when it comes to the books as they want everything to be as clean as a whistle. Otherwise, they will impose hefty fines and jail sentences.
The stakes are very high, which is why a professional with years of experience is the best option because they will get it right.
#3 Multiply By Two
There is no doubt that financial technology is an excellent asset.
With the correct software, a business can take care of everything from receivable financing to tax issues. What’s better is that the tech doesn’t cost a fortune, so it’s a win-win.
However, it’s more beneficial in the hands of an expert. When you have an accountant with technology, the world of finance is your oyster.
It’s because they can use their knowledge and the power of the software to take care of a host of tasks. The result is that the firm stays in the black and everything runs smoothly. As the saying goes, two heads are better than one.
#4 Keep Options Open
All companies want to expand at some point.
To do so, they need an influx of cash from a lender such as a bank. The problem is the bank won’t lend you the money if they see gaps in the business’s finances.
Thanks to an accountant, however, this won’t apply to your company. The number crunchers have a way with numbers that makes banks think ‘wow.’
As a result, a loan will never be a problem. Even better, they can help you pick the perfect loan so that you don’t have to deal with high-interest rates.
And, they can offset the loan through other areas of the business to negate the impact.
Does Your Business Have an Accountant?
If you don’t have an accountant, it might be time to consider one. I recently did this myself and it has been a breath of fresh air.
In fact, I handed over all of my payroll to my accountant back in January and this has helped me in a lot of ways and most of all it means less hats that I need to wear in the business.
Are you thinking about hiring an accountant to offload your some of your financial responsibilities? I would love to hear how this has improved your business in the comments below.