Many small businesses hesitate when it comes to hiring an accountant. Still, it is best to prevent the potential problems of accounting and bookkeeping errors and obtain the maximum possible benefit from your accountant. A good accountant is worth their weight in gold.
Of course, every business owner has a unique set of needs and circumstances, so here is how you can judge if it is time for you to hire an accountant. If you don’t know it yet, here are some signs your small business needs an accountant:
1. Your Books Might Be a Mess
Have you ever looked at your business’s account books and thought, What the heck is this? If you said yes, you need an accountant. Financial books can get messy quickly. Without a sound system to keep them organised, accounts will easily get mixed up with everything else.
For example, corporate credit cards are a hot spot for this accounting problem. Instead of using separate credit card accounts, some companies use their business credit card to track expenses. Unfortunately, this can make it very hard to keep track of expenditures.
2. Your Cash Flow is Low
This could be a sign that your accountant is missing in action. Keeping up with your business’s cash flow is an essential task of an accountant. If you don’t have an accountant, you might be missing critical information about your business. It’s important to know what is happening with your finances regularly.
If your business suffers from low cash flow, your accountant may forget to send invoices on time or charge for the hours worked. Unless you are as lucky as Ebeneezer Scrooge, you need a way to keep up with the financial state of your business.
3. Your Taxes Are Giving You Headaches
Of course, you need to pay your taxes. However, if you have trouble figuring out how much you owe, you might need to call an accountant. Taxes are confusing, and if you’re not in business for yourself, keep in mind that you may not have the financial acumen to deal with taxes.
Hiring an accountant can make filing taxes easier, especially if you don’t have experience doing so. Of course, you might have a financial background, but do you have the time or patience to file the taxes yourself? Many business owners hire accountants to handle their taxes because they know their finances but lack the time actually to do the filing.
4. Your Business Is Suffering
There are many types of businesses out there, and it might be time for you to hire an accountant if yours is not thriving. Not every business is created with the same purpose. Of course, some companies are designed to bring in money and make clients happy, which is what they’re designed to do.
However, not every business can be successful if it puts profit over its customers. If your business is suffering somehow, you may need an accountant to help you find the correct cost-effective solution. For example, if you have an eCommerce website and do not see any sales, an accountant could help you eliminate unnecessary costs and improve your website’s design.
There are many different types of businesses and accounting needs. Every business is unique, so you must find the right accountant for your needs. Having an accountant can help you bring in more profit and create a better work atmosphere for your employees.
BarettStacey Accounting offers professional bookkeeping and accounting services that enable clients to save time and money. From start-ups to long-established businesses, we help keep you on top of your financial paperwork, anywhere you’re at in your business journey. Whether you’re just starting up or want help scaling your business, our over 14 years of industry experience and skills enable us to help you achieve that. If you need an accountant in Bristol, we’ve got you covered. Get in touch with us today and let us know how we can help!