Did you know that 90% of startups in India fail within the first 5 years? One of the major reason for this is poor financial management.
Despite this, many small and medium sized business owners do not have a professional managing their finances and account records. Most of them have a misconception that accountants can only help in tax filling.
That’s not true!
An accountant can help manage your finances, cash flow, guide you with financial decisions, provide you reports and forecast of your business’s position and keep a record of all transactions.
Another concern for business owners is confidentiality. They do not want to share details of how their business is run with an outsider. But hiring a professional to manage your finances and accounts will definitely help you in a long run. Here are top 3 reasons every business needs an accountant.
- TAKE ADVANTAGE OF ALL THE DEDUCTIONS- An accountant keeps a track of all deductions you can get and suggest necessary decisions you must take year round to avail these benefits. This means you will not have to worry at the year end to look for ways to increase your deductions.
- COST AND TIME EFFECTIVE- As a small business you might feel that an accountant is an added expense. But hiring an accountant will save you time, energy and effort of managing financial records which could be full of errors. An accountant will ensure zero errors, help avoid poor decisions and will help you focus on other business aspects.
- PLAN FOR PRESENT AND FUTURE- An accountant can be your financial adviser who will help you in taking regular budgeting decisions as well as cash flow monitoring on a daily basis. This will ensure you take better real-time decisions. In addition he can analyze your past performance reports and financial records to make future plans for growth of your business.