Benefits of Hiring an Accountant for Any Start-up
There are so many benefits hiring an accountant can offer your business. The most obvious is perhaps having someone to deal with tons of paperwork and basically cutting through the whole red tape that new businesses usually have to face. Yes, a good accounting will be able to do more for you than simply balancing your books.
Below are the most crucial advantages that an accountant can offer your start-up business:
You’re a business owner, not an accountant, so your time is your cash. An accountant buys you time to concentrate more on your business. Compare your per-hour rate to the cost of this accounting expert.
You have to keep track of countless deadlines, on top of deadlines with your own clients. Keep in mind that if you lose track of any of those dates, you be paying IRS fines and penalties, which only makes everything more costly for you.
Valuable Information Source
The U.S. tax code is not structured to benefit individuals, but rather job-generating businesses. Besides that, the tax code is complicated by nature, and even if you do own a business, you will still not get all the tax benefits possible, unless you understand the code like a professional does. And take note that the code is always evolving – what you understand now may be different next year. One thing’s for sure though – mastering taxes is not what you’re in business for.
Personal expenses are hard enough to track. Adding your business into the mix can only make it messier. Unless you have an accountant who is seeing to it that your cash flow is well-monitored, and that your personal expenses are kept separate from the finances of your business. The IRS can be particularly hard on those who combine the two. There’s a chance you’d trigger an audit, and the burden of proof in terms of establishing that the questionable expenses are indeed business-related, is all on you.
Business Growth Support
It is the goal of all business owners to grow their business. The problem is when you have too much love for your business that you start making irrational emotional decisions. It’s no secret what risks that brings, and that is why working with an accountant who has no emotional investment in your business, is most probably a good move.
Finally, when you hire an accountant, you don’t only have someone who will manage your books. It also means having professional help with many other things, like business incorporation, business deductions, paying salaries, and so on. Of course, not all accountants are created equal, and it’s crucial to do your homework before actually hiring someone.