If you’ve spent time researching the statistics relating to businesses, then you’re probably already well-aware of the fact that approximately half of them close their doors within the first five years of opening. And while there are literally dozens of reasons for why that is the case, one of the top ones is due to debt. And one of the causes of that debt is business owners not managing their finances properly.
The good news is that there are several things that can be done to prevent this from being a personal issue. You can open up a business account. You can create a strategy for putting your profits back into your company. And you can hire a reputable accountant.
If you’re curious to know some of the specific reasons for why having an accountant can be one of the best things that you will ever do, please keep reading:
An accountant can help you keep your records straight. Good bookkeeping is essential to the success of any business. So, if you choose to save a few dollars by doing the bookkeeping yourself, it’s still a good idea to hire an accountant. That way, when it comes to your expenses and ledgers, etc., they can alert you to if there are any errors that need to be corrected, especially as it specifically relates to the next point.
An accountant can assist you with filing your taxes. Although there are plenty of websites that will help you to file your own taxes, if you speak to just about any professional tax preparer, they will tell you that going that route can ultimately cost you thousands of dollars each year. An experienced accountant is going to know tax laws pretty well. That means they will be able to know what to do to get you as many deductions as possible without it resulting in an audit in the process.
An accountant can alert you to wise investments. A smart business person is someone who is open to investing and oftentimes, an accountant can provide you with all kinds of tips on what are considered to be wise investments. So, whether you’re looking to invest for personal or professional reasons, it can always work in your favor to have an accountant advise you in this area.
An accountant can help you plan for your professional future. Say that you made an appointment with Benham, Miller and Harris, Inc. to discuss some of the other reasons why hiring someone to do accounting for business for you is a wise choice. Something that they might mention is that an accountant can help you to create a solid plan for your company’s future. They can assist you in strategizing how much money you can afford to spend and also how much you should hold on to so that you don’t end up making a grave financial mistake.
An accountant can save you time and money. For all of the reasons offered and many more, hiring an accountant for your small business is an effective way to save you time and money. An accountant can assist with your books, prepare your taxes, and provide you with insight that will help your company thrive. And when you’re doing all that you can to be a savvy business person, that is perhaps the best reason of all to hire one. For more tips on how to develop your small business, visit SBA.gov.