WAYS IN WHICH AN ACCOUNTANT CAN HELP A SMALL BUSINESS

If one is however either bootstrapping, or is however  starting a small business which is thus  on a limited budget, one would however  have probably spent some time trying in order to figure out where one can however  cut business costs and also  do more on his  own however in order to stretch the funds which one has available.

 

One area which one may however consider for thus doing it himself instead of thus hiring it out is  accounting. If one however has an accounting background and also thus  a solid understanding of business finances, then this thus however  may be a good place in order  to cut the  costs.

 

However, if one lacks  experience in however managing the books of a business and also thus expect to learn as one  goes , one  should however  think twice. Managing the own accounting system incorrectly can however  hurt the business which is thus  not only now, but thus  also in the long-term.

 

The purpose of this article thus is to make the reader aware of the ways in which an accountant can help while an entrepreneur starts a new business.

 

Most of the accountants would however love in order  to take on the role of the  trusted business adviser. However, the problem is, that many of the  small business owners thus generally  do not take full advantage of this professional associate, perhaps this is thus  because of the disinterest which is however in the entire “financial analysis conversation” or either time constraints.

 

Here is thus  a rundown of the things which an accountant can however  do for a small business owner. Reading this list carefully will however make a person realise the reason as to why an accountant may be a good source to add to the small business team if one is unsure.

During the Start-Up Process

When one however  starts  a business, there are thus  a number of actions which one thus needs  to take and the systems which one however needs in order  to set up in order to create the foundation which is thus of a successful business. Here are thus some of the ways in which an accountant can help:

  1. In order to determine the best business structure (i.e, sole proprietorship, LLC, corporation, partnership) for the  situation
  2. Also however assist with the financial analysis in the business plan
  3. To Provide advice thus on the type of accounting software which one may need

4.To Provide advice and also assistance on thus opening a business bank account

  1. To Make sure that the accounting procedures however comply with the government regulations and requirements
  2. To also Provide advice on how to track the expenses during the daily business activities
  3. Also , Explain the importance of thus keeping personal and also business expenses separate

During Your Regular Business Operations

Once the  business is thus  off the ground, one will thus  need in order  to maintain the accounting system that the  accountant had however  helped in order to set up. Here are thus some of the  specific actions which the  accountant may take in order to assist one on an ongoing basis:

  1. Help in order to ensure that the independent contractors are thus classified as such (and not the employees) by the IRS
  2. Explain the financial statements so one can thus understand the ins and outs of business
  3. Oversee the company payroll and also the payment processes
  4. To Provide advice on the estimated tax payments which one should make during the year
  5. To Determine when, and to whom, one should however send W2 and 1099 forms
  6. To also Close out the books and then create financial reports at the end of the year
  7. To also Compile and submit the taxes, financial reports and also all necessary paperwork to the IRS

During the Business Growth Stage

When one is however ready in order  to grow the  business, one’s  accountant can however  be an integral resource who thus  provides advice and also helps one in order to  manage the process. Here are thus  some of the examples of what an accountant can thus do:

  1. Help one in order to determine the areas for growth by thus providing an  insight on the cash flow patterns, inventory management, pricing and also  business financing
  2. To also Provide advice on the property and equipment leasing and purchase
  3. To also Help one in order to prevent getting audited by the IRS
  4. To also Prepare one for and also guide one through an audit, if necessary
  5. To Create the financial forecasts so one can however make better decisions in business
  6. To Work with entrepreneurs in order to create a business budget that will thus support the business goals
  7. Provide an advice and also the resources in order to assist with the sale of business

 

These are thus just some of the ways in which an accountants can however  work with the small business owners. One can thus also opt to hire an accountant for thus  all of the financial activity, or one  can thus also choose a combined approach that thus limits his or her hands-on activity, reducing the expense.

 

Thus, The most important thing which one can do when it thus comes to the business finances is thus recognize when one needs in order  to enlist the help of a professional, and thus then find an accountant who will however help maintain the fiscal health of business.

 This article has been contributed by Simmi Setia, Content Writer at LegalRaasta, an online portal for GST software, GST Return Filing, GST Registration, Section 8 company registration, Nidhi company registration, IEC registration.


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