Running a small business and keeping on top of your finances can be complicated – hiring an accountant could be the answer. If you needed a little persuading, here’s 6 reasons why investing in a company accountant will help your business.
1. Business planning: If you are creating a business plan, hiring an accountant can give you help deliver effective financial planning. This will allow your business plan to be realistic and increase your chances of success.
2. Company legal structure advice: Are you going to register as a sole trader, limited company or limited liability partnership? An accountant will be able to explain the legal business structures to you and will be able to give you tailored advice.
3. Cash flow management: Having a professional control your debtors and creditors can help you stay on track. Plus, chasing invoices as a business owner is never fun.
4. Deal with HMRC forms and returns: Accountants can help you with more than just your tax returns. Hiring one can help ensure you stay on top of all your regulatory and compliance requirements.
5. Business loan or overdraft: If you want to apply for a bank loan an accountant will be about create accurate projections including, balance sheet, profit and loss account and a cash flow forecast to help convince the bank and demonstrate your ability to payback.
6. Buying and selling a business: As your business grows and develops, you may decide on buying out a competitor or consider selling your own business. An accountant can help with such tasks, assess a company’s financial performance if you are buying or put together financial records and produce statements for prospective buyers.