As a new year begins, most business owners think about closing last year’s books and completing their tax return preparations. But now is also a perfect time to consider whether you need to move beyond your in-house accounting system and have an outside expert analyze the financial health of your business.
As your business grows, so does your need for outside accounting expertise. Chances are you or your in-house bookkeeper can’t respond to your need for increasingly more sophisticated information to help you make the right business decisions. It may be time to obtain expert help from an accounting professional.
The accountant who prepares your tax return may be able to help. For example, he or she can help you uncover more relevant decision-making information from your business’s financial statements by providing analysis on a quarterly or monthly basis.
When deciding whether to engage your accountant for further work, identify the services you will need, including whether he or she is available for ad hoc phone or email questions for those times when you need assistance quickly.
Discuss when and how you should submit your accounting files, and when you’ll have access to the information your accountant gleans from them; it should be sooner, rather than later, as you will need the information in order to act quickly, as the owner of a growing business often must.
Having a sound knowledge of your business’s finances can help you make smarter decisions that will more than pay for the extra accountancy fees.