Owners of small businesses are often so busy and so confident in their own abilities, they forget the benefits of having a good accountant on the team. Aside of tax preparation, accountants can also be highly valued advisers when it comes to all manner of business matters all through the rest of the year. If you are in the position of looking for an accountant for your enterprise, here are the key areas you should ensure they are competent in, in order to maximize their value to your company.
Tax and End of Year Accounts
Of all the skills an accountant needs, this one they should know inside and out. There are so many tax laws, codes, rules and loopholes that you really need someone who has been doing this for some time to make the most of their services. Try to find an accountant who specialists in working with small businesses, or even better one who works with small businesses within your own industry. With the right skills, knowledge and experience, a good accountant should be able to advise you on tax planning throughout the year as well as improvements to the business structure to minimize your tax liability.
Financial Planning
Aside of tax related skills, your accountant should be able to help you with your money management in the business in general. They should be able to guide you through your financial planning for the year, and suggest solutions to times when cash flow is going to be tight. As a business owner you will also be able to ask your accountant for personal investment advice and money management help, so choose your candidate wisely as they could end up being one of your best friends.
Employment Law
Whether you need to consider benefits or labor laws, accountants should be abreast of the legal issues relating to employment and the workplace. From payroll to insurance, your accountant will be able to make sure you are offering your employees a fair package whilst also staying on the right side of the law, leaving you free to get on with running your business.
Projections and Planning
Numbers are an accountants best friend, so get them on board with your future plans for the business and get them to help you crunch some numbers to see how things are going to work out financially. He should be able to provide you with forecasts of profits and loss and give you the information you need to optimize your businesses growth and performance.
Financing
If you are going to be seeking capital at any point in the future, a good accountant is a valuable weapon to have in your arsenal. He will be able to look at your financial statements and quickly interpret what your lenders need to see from you in order to be successful. As a professional in his field, he will also have industry contacts and resources that may just give you the edge against the competition for successfully securing that funding.