Just as all companies are not the same, all accountants are not the same either! It’s true that all businesses have income and expenditure, but that’s about where the similarity ends. As a business owner, you need a firm that not only understands the small business environment
Despite the advantages of the cloud and the world of eCommerce and online shopping being thoroughly mainstream these days, when it comes to buying ‘services’, people still have a tendency to stay close to home. Leaving out sometimes the best accountants for your industry.
This one is really vital. Part of what you need from an accountant will be a set of specific services – tax return, HST/GST return and so on – but an good accountant will do far more than that. You need someone who you can pick up the phone to, if you need some advice – or to chat about any aspect of your finances that might be bothering you. A good accountancy firm will wrap all of that into a fixed monthly fee, so you always know where you stand.
As a business owner, you’re going to be busy all day, every day – but somehow you still have to deal with the admin side of running a Limited company. But if a bookkeeper rather than an accountant handles your books, then you might find yourself spending more time on the phone reminding them who you are and what your situation is, than actually dealing with issues that need to be addressed.
A good accounting biz must be able to review your financial health. Ideally, you should be getting key health indicators on a day-to-day basis (e.g., gross profit margin, net profit, aging accounts receivable, etc.) because the more relevant information you have, the better informed your business decisions will be.
DIY Accounting without proper coaching could result into a mess of books and going through your business without the proper information to make the best decisions for your bottom line.
An audit for a small business could cause an unexpected bill from the accountant. There is an assumption that the accountant should cover the bill because if one gets audited it was due to the accountants reporting. Unfortunately, there are many reasons that could trigger an audit and if the accountant is not experienced in this field the process could take longer and as a result more billable hours that the business owner will have to pay.