Small businesses usually have limited staff handling the core functions of the business, like sales, marketing, production, and more. Even the owner is involved in different business operations to ensure smooth functioning.
Businesses of any scale need an accountant because it is crucial to maintain financial records and accounts and ensure small business tax compliance. Expert accountants also offer crucial insights to enhance profitability and strategic advice on cash flows, budgeting, and, most importantly, cost-saving opportunities.
Small businesses often make the mistake of hiring accountants in-house. The better alternative is to outsource the job to a professional accountant firm to support the business’s financial health and success in the long term.
The big question is –
How Can Accountants, In-house or Outsourced, Help Small Business Owners?
Before we answer this question, here’s a brief synopsis of what an accountant is skilled at.
- Manage the entire finances and financial health of the business
- Assist with financial analysis
- Ensure proper integration of accounting software and compliance
- Advise business owners on growth strategies and ways to prevent revenue loss.
Irrespective of the size or scale of your business, an accountant can be your biggest asset.
An accountant can make a big difference in a small business because not all business owners know about basic bookkeeping. A small business gets into the growth phase fast, thus needing an experienced accountant to keep a rein on the finances. As an owner, you have other priorities related to the core activities of the business and cannot afford to get diverted by cash flows and record keeping.
Of course, you can use accounting software, and it can help you get done the basic work. But, for the analysis and insights, you will need a competent human mind. For your small business, the accountant works as your chief custodian of the business’s cash, income, and revenues.
What Can an Accountant Do For Your Small Business?
Bookkeeping
The first job that a small business accountant will help you with is keeping records of the business’s financial transactions. This way, the accountant keeps track of the business revenues & sources of income and assesses the monthly expenses for better financial management.
Strategic Advice & Guidance
This basic work will consume a lot of time, and a good accountant will work round-the-clock to ensure due diligence in keeping track of your business’s finances. They will keep you informed step-by-step of the revenues, earnings, and expenses so you have complete know-how of the profits and losses. Then, advise how to sustain the profits and turn the losses into profits.
Reports & Analysis
The accountant will handle the year-end reporting, offering key insights to help business owners make crucial decisions. The reports will present a summary of your business’s financial conditions, accompanied by key analytics to support your business decisions.
Typical financial reports include the balance sheet, the P&L statement, and the cash flow overview.
Financial Statements
These statements give you an absolute and transparent view of your business’s exact conditions. They show the source of the revenue flowing into the business and the money going out. Besides helping you during the tax season, financial reports like cash flow and a balance sheet help business owners understand where their business stands in the financial context.
Other Services
Experienced accountants can also assist with other services, such as opening a second business account, improving payroll procedures, increasing sales, sustaining financial growth, data analysis, HMRC compliance, and more.
Paying an Accountant For Small Business Accounting
Whether you hire a professional accountant or use accounting software, there are costs involved. The human counterpart should help save your time and money. Also, take the stress out of understanding the finances of your business. Thus, an accountant should be worth small business owners’ money when hiring one.
Is Accounting Important For Overall Cash Flow?
Yes, accountants can make a difference when the objective of the business is to save money. Irrespective of whether the business is small or a sole trader, an accountant will help you understand the financial basics of your business.
Bookkeeping is crucial and can be a big asset in your business development or strengthening your client base. Outsourcing bookkeeping to an accounting firm is an excellent idea as it helps save your time while keeping your financials on track. They also help prepare your accounting records for HMRC assessment.
Accountants also ensure that due diligence and 100% accuracy are implemented for the overall success of your business. This way, the business’s profit and loss and cash flow are accurately monitored and competently maintained. You might consider using a suitable accounting software system, but it cannot analyze data and offer insights crucial for decision-making.
Cangaf Ltd: Seek Accounting Help For Your Small Business
At Cangaf Ltd., we are committed to offering your small business the much-needed expertise to prepare and file statutory accounts. We support you with setting up all your internal computing and software systems so that you have access to the correct information to grow your business.
Are you looking for professional accountants who will work as the backbone of your business’s finances? Call or email us today to discuss your accounting requirements. With our proven track record & expertise, we will take you through our various service points that will support your business growth.
You can alternately fill out the online form and allow us to contact you.
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Contact Details:
CANGAF Accountants
235 Tonge Moor Road, Bolton BL2 2HR
Email: info@cangafltd.com
Phone: 01204 859315
Let CANGAF Accountants manage your finances while you focus on excelling on the pitch.
