You may have an accountant who helps you with your accounting and tax work, but are you sure you’re maximising the benefits of working with one? After all, accountants are more than bean counters or a necessary evil; they can help you with various problems, including the difficulty of creating an overall strategy for your business.
In this article, we’ll explain how you can maximise the benefits of your accountant by explaining how else they may be able to help you. We’ll then discuss what you can do to get more out of your accountant – regular and honest communication is the simplest way to explain it.
Getting the most out of your accountant’s services
Tax planning services
Your tax services may include more than just submitting a tax return once a year – it’s also about minimising your tax bill and planning for payments. Your accountant should be able to help you with the following.
- Strategic tax planning: Your accountant can help you identify opportunities to reduce your tax liabilities throughout the year. By strategically claiming business expenses, capital allowances and tax credits, for example, your accountant may be able to save you some money.
- Forecasting and budgeting: Accountants can help you create tax forecasts to help you plan for your future liabilities and cashflow needs. This will help you budget effectively and avoid unexpected surprises that can detail your finances.
Optimising your business structure
Sole trader, partnership, limited company. Confused about the difference? Your accountant may be able to help because many can work as your business adviser, providing you with all sorts of advice, including on your business structure.
- Choosing the right structure: Your accountant can help you decide whether a sole trader, partnership, or limited company is the most tax-efficient and legally sound structure for your business. For instance, incorporating your business could reduce your tax burden, depending on your income and growth plans.
- Restructuring for growth: As your business grows, your accountant can review whether your structure is still suitable. If you’re expanding operations or entering new markets, your accountant can advise you on how to restructure to meet these needs efficiently.
Improving your financial reporting
Effective financial reporting is critical for business decision-making and regulatory compliance. Your accountant will help streamline this process, ensuring that the financial reports you receive are accurate, timely and actionable.
They will also be able to examine these reports to provide action advice that will help you make the best decisions for your business, whether regarding cost-cutting, investment, improvement, or exiting the business entirely.
Getting the most out of your accountant
It’s unfortunate that some accountants don’t constantly provide you with details and updates – but with a gentle nudge, they will. Our point is that you need to remember that accountants are only human, and so to get the most out of them, you need to treat them like one.
- Don’t be a stranger: Your accountant will struggle to help your business if they only see your figures once a year. You need to be proactive and provide them with information. To work with an accountant ultimately requires some work on your end.
- Be honest: We understand that sharing can sometimes be embarrassing, especially when things go wrong or you make a mistake. But if your accountant doesn’t have the full picture, they won’t be able to help you. They’re a partner to your business, not an invigilator.
- Ask for advice: Accountants aren’t afraid to share one-off advice for free, so why not ask? And if they can’t provide it, that could be a sign that you need to switch accountants – or at least switch in the future when your business is big enough to benefit from extra advice and services.
If you need an accountant who can offer you great value for your business, get in touch with us. We’ll do our best to help you succeed with our accountancy and tax services – nothing would make us happier. Get in touch with us today.