Three Reasons You Might Need An Accountant
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Most small business owners are constantly looking for ways to increase profits. It's a good thing: it means they are ambitious and have goals to grow to a level that represents their definition of financial freedom.
Increasing profits means driving growth and lowering tax liability. To accomplish both strategies often requires the assistance of an accountant or tax relief company.
Many start new businesses assuming they can use the latest free version of accounting software and get by independently. For some, this is a viable option and works out great. For example, I use Wave for my business accounting, and it works great.
However, I also have the power of an accountant behind me, looking through those transactions and helping me identify areas where tax savings and savvy financial strategies can help my business grow.
Here are three reasons your business might need an accountant:
You need to make tax season more manageable
A tax accountant can help you to get through tax season without the stress or worry that you're missing something significant that might come back to haunt you later on.
Business tax returns are far more complicated than those for individuals. Hiring an accountant means you recognize this challenge, and you can get the advice you need without putting your business at risk.
Accountants can help you plan for tax season long before tax day arrives. From understanding how to take advantage of tax breaks for remote working to managing tax-deductible expenses and knowing when to pay quarterly tax payments instead of annual ones, an accountant is an invaluable member of your team who's worth the investment.
You need expert financial advice
You do not have to be an expert in accounting to run your business, but having one in your corner is a wise business investment. Having an outsider's perspective on business investments, growth strategies, or partnership considerations can mean the difference between long-term success and closing your doors unexpectedly.
An accountant can help you plan for new pricing strategies, demonstrate financial models based on two different trajectories, and plan for long-term implications you may not anticipate on your own.
You want industry-relevant expertise
It's one thing to have someone take care of your cash flow statements and run a balance sheet. It's something else to have an experienced accountant in your corner who can help you think through innovative opportunities and make strategic business decisions that have significant financial ramifications.
For example, before forming a partnership with another business owner or even taking on a new line of business, an accountant's extensive experience and knowledge of business practices can help you navigate challenges in a more informed manner.
Having a business accountant is not reserved for large companies or businesses with millions of dollars in revenue. In fact, small businesses may benefit more from accounting professionals as each decision made can potentially impact the business in significant ways.
As with any professional investment, do your research to find a local accountant who understands your mission, your vision and aligns with your company values. They'll be a member of your team, and it's critical to ensure it's someone you trust.
One Nine Design is a digital marketing company helping small businesses and nonprofits learn how to use their website and email list to grow their reach and make a bigger impact!
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