When starting a business, you are most likely to hear the following statistic: “almost 90% of start-ups fail because they don’t keep track of their key objectives and how the business is performing for these”. That is why accountants are crucial for the growth and even the survival of any business.
1- A good accountant both generate and save money for your business.
It should not come as a surprise that the first thing that comes to mind when thinking of success is money. Businesses need cash flow to keep their operations running, and hiring a good accountant is a sure way to make sure that you have a financial plan for where your money should go. This financial plan will help check your credit control quality and see what cash management policies are needed to have all the funds and information available readily for your activity. For success, a business needs to both generate cash from its activities -from its financial investments, financing activities, etc.- and to manage the cash it has on hand to meet short- and long-term needs.
2- A good accountant reduces the hours and improves the quality of tasks.
Accountants are crucial in reducing your workload. You may think that with enough hard work everything can be done in-house but hiring a specialist will greatly reduce the number of hours needed to run day-to-day financial operations while also improve their quality. And as your business’ finances become more and more complex with the growth of its operation, the accountant will show its value by taking care of compliance, tax, or bookkeeping. Accountants not only come with the knowledge of how to do these tasks efficiently but also with tools to save time and money. They provide to businesses the expertise and tools to become their most precious business advisers. As such, an accountant will give you not only expert knowledge in future trends on the financial market but also unbiased support for business ideas by keeping track of the potential risks or opportunities.
3- A good accountant keeps you up to date with technologies, trends, and regulations.
With today’s constant progress of technologies and trends, new rules and regulations appear much more frequently than before. Accountants are crucial in keeping track of these changes and their key pressure points for the different business stages. An accountant will be able to use their skills -forecasting, presentation skills or expert analytics- to ensure that the business financial plan includes the major economic uncertainties, trends or regulations needed for the business to thrive.
When joining your business, accountants bring with them growth management tools such as cloud accounting software, which is crucial in keeping track of financial information no matter the location and time.
Finally, an important part of business evolution is to keep track of how your competitors are doing on the market. Accountants through health checks and financial evaluations of your business and its surroundings will be able to provide you with an easy to understand and to use industry benchmark, crucial for business’ operations.
4- A good accountant provides legal structure advice.
Both when starting a business or when expanding operations and franchising, an accountant will help to decide what legal structure best suit the business’ needs. Without an expert’s help and proper training, it is difficult to navigate between legal jargon and choose whether a partnership, a corporation or a limited company is the best fit for you. An accountant will translate all that jargon and advise you on which structure brings what advantages and limits.
In conclusion, to achieve business growth it is crucial to know how, when, and where to grow. A good accountant will help you find the answers to these questions while saving you the time and expense to train yourself on the matter. As such you will need an accountant you can trust and rely on, such as Archimedia Accounts specialised in business growth accounting in the UK.