Signs That You Should Hire an Accountant
If you are like most small business owners, you probably handled all your accounting and finance tasks during the startup phase of your company. However, you may be finding that these extra duties are taking you away from your primary task, planning for the future of your company. These are some signs that you may need to hire a professional to handle these financial tasks.
Your Company Finances Have Gotten Complicated
At first, you may be concerned with incoming revenues that meet your outgoing liabilities. However, as your business grows, your financial tasks get more complicated. You may add accounts payable and receivables. You may receive grants, loans or other financing options that need to be tracked.
Your accountant can also help you track key business metrics and handle complicated tax and employment laws. This professional can also identify any areas where you are personally liable for company debts and help you eliminate this vulnerability.
You Need To Write a Comprehensive Business Plan
Many business owners write a business plan before opening their doors, but others wait until they need a financial influx to grow their companies. No matter when it happens, at some point, you will need a plan to guide your company forward and stay motivated through the tough times.
Comprehensive business plans have in-depth financials that include your past and current status as well as projections for the future. A finance professional can help you build realistic projections. In addition, your plan will look more professional and accurate.
You Want To Buy or Sell a Company
You should always get advice from an accountant or other finance professional before you purchase or sell a business. First, these individuals understand what to look for in a successful company. They can review all the financial records and identify any signs of mismanagement, insolvency or potential. They also understand the value of a company’s assets, including its equipment, and evaluate its financial ratios.
Second, an accounting professional can help you prepare your financial statements and paperwork if you plan to sell your company. Then, you can share this information with prospective buyers to get the best sale price.
You Have Government Dealings
Few people are comfortable dealing with the government. Whether you are audited or just need to update your legal compliance documents, an accountant can help. These individuals stay up-to-date on new tax laws, prepare your quarterly and annual financials and can defend them and organize your stock or share allocations. These individuals also understand both employer and employee responsibilities regarding income and other taxes.
An accountant can help you at any stage of your business, but pay close attention to the signs that you should invest in some accounting help.