How an Accountant Can Help Your 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, with a good accountant, there’s more that you can expect them to do besides balancing your books.
The following are the most important advantages you can expect from an accountant for your star-up:
As a business owner and not an accountant, your time is your money. An accountant buys you time to concentrate more on your business. Try comparing your hourly rate to the cost of this professional. If you are paid $150 hourly and an accounted charges $150 per month, that will be $150 well spent because there’s no way you can do all of your accounting responsibilities monthly in just one hour.
You have to keep track of countless deadlines, on top of deadlines with your own clients. Remember, losing track of those big dates will mean IRS penalties and fines, which only adds to overall costs.
High-Value Information Source
The American tax code is not designed for individuals but rather for businesses, which are job creators. 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 note that the code is always changing year after year. One thing’s for sure though – mastering taxes is not what you’re in business for.
Personal expenses alone are already difficult to keep a tab on. Adding your business into the mix can only make it messier. Unless, of course, if you have an accountant who helps you monitor your cash flow and separate your personal and business finances. The IRS is actually quite tough on businessmen who mix the two. You may just trigger an audit, which is a headache you’ll never want in your wildest dreams.
Business Growth Support
All business owners want their business to grow. But the problem is when your love for your business is too much that you begin to make irrational, emotionally charged decisions. We all know where there can lead, which is why hiring an accountant with a dispassionate view of your business, is usually a smart step.
Lastly, working with an accountant doesn’t just mean having someone to balance your books. It means that you will be getting other kinds of professional help in other areas too, such as business incorporation, financial reports, business deductions, and the rest. Of course, accountants are not all the same, so you have to do your homework before actually choosing someone.