Learn How Accounting Can Help Your Small Business Succeed!

Small Business Accounting

January 29, 2021

Accountancy services have evolved considerably from what they were at the start of the year 2020 to what they are in 2021. The Covid 19 pandemic has just completed a year but what a year of tremendous change it has been! Accountancy no longer remains in its traditional shell, gone are the days when accountants were comfortable solely with paperwork and files. Now accountancy has taken on a whole new day to day perspective with advice coming to the forefront. Thus, it is not just your invoices, receipts, taxes and bank entries that accountants can manage for you. Now an accountant’s role has expanded to giving business advice and being a sounding board for management strategies as who better than your accountant to advise you on the amount of business capital you have expended and the true profits that have been made?

It is not just about keeping the books

Keeping the books is hardly a task to be sneezed at given the meticulous nature of the activity. The actual challenge is not only getting things inputted (and that too, correctly) but also to remain compliant with the changing legislation. 2020 has been a real challenge on this front due to the frequent changes the HMRC was compelled to make. For an employer staying up-to-date is increasingly difficult as it shifts focus from one’s business. So, how exactly can accounting help a small business to succeed? Well, for starters:

  • - Suppose you are just about to start a business then what type of business is best suited to your needs – whether you should be a sole trader or consider a partnership – this is also where an accountant can help you
  • - Apart from first time business owners even experienced owners have problems understanding jargon and the HMRC’s new measures which an experienced accountant can simplify for you. This can immediately provide returns as your time as well as the effort you otherwise would have to put in are reduced
  • - Creating a business plan that is grounded and practical too becomes much easier with an expert’s advice. Achieving the targets on your plan not only will lead to a sense of achievement but also aid in raising capital in the future
  • - Raising finance too becomes easier as does the application process of loans as an accountant would be aware of - what documents and paperwork are required as well as what other opportunities are available as optional financing solutions
  • - When it comes to the expansion or reaching out to new markets then an accountant can point you out in the right direction by being an ideal sounding board. The same applies to issues like Brexit that are complex in nature and impact trade practices directly

Is Do-It-Yourself the right option for Business Accounting?

Accounting has certainly become a lot easier due to the user-friendly accounting software that now floods the market. Yet despite this, the need for a good accountant has in no way abated. Actual expert understanding of the software and where to put what is something that can only be created by a package of experience and expertise. With accounting software now going cloud - based becomes even easier to do accounts on the go. However, it is better to trust an account with the same as buying and updating software, is a whole new ball game. Also, since GDPR has opened new avenues to security an owner would have the additional hassle of seeing that all data stored is secured as per the compliance norms or be penalized.

Small Business Accountants – how to find the perfect one?

Every business owner has a different set of requirements. For instance, are you interested in having someone locally placed so that you could pop into their offices if needed? Or would you prefer instead to have your accountant visit you? How documents are to be relayed, how you intend to communicate and send instructions and your comfort level with the options offered is what matters. Qualifications as whether they are members of the ICAEW too matters.

  1. 1- Approachability

A crucial but often undermined part of the accountancy package is communication. There need to be multiple avenues of communication kept open. For example, since during the lockdowns and social distancing measures imposed by the pandemic since face-to-face meetings were not possible video conferencing, Skype and Facetime was one-way accountants could reach out to clients to discuss accounts face-to-face.

Doshi Accountants has over two decades of UK accounting experience. With experts who are ready to communicate with clients – business owners find that this emphasis on communication is what makes all the difference. Email communication is encouraged as that way you have a written record of instructions or changes which works out better in the long run since memory can be tricky.

  1. 2- Flexibility

There might be times when even with the best intentions you face a delay and need to send your accountant things in a rush with expectations of ASAP processing. Though it doesn’t do to make this a habit, it is something that can catch anyone off their guard. Your accountant should be able to process payroll on the go – within 24 hours at least and have your accounts down in a month and less. Quality work delivered on time is what you should expect.

  1. 3- Experience

An accountant who has handled various types of clients – various nature of businesses – with specialized UK accounting and taxation expertise would be more suited. If the accountant has handled both large businesses along with smaller ones then it is an added bonus.

  1. 4- Fees

Fixed fees with no hidden costs are a client’s right. In fact, by shifting your accounting work out-house you should be facing a lower bill as you are now being billed by the hour.

  1. 5- Services

What services your accountant provides too can help you get more value for your money. Doshi Accountants for example not only offers a dedicated consultant to look after all your accounting needs but also free pick up and delivery of your documents at the time of your convenience as client’s matter. Just as your customers matter to you it would be nice to have someone give you the same attention and dedicated service. The proof indeed is in the pudding which is why Doshi Accountants is among the top 100 UK accountancy firms.