If you are a sole proprietor or a small business owner, you understand better than anyone just how many different hats you must wear throughout the day.
One moment, you may be your lead salesperson. The next, you are a marketing expert. Then, the moment after that, you are your company’s head of IT. You want your business to succeed, and that often means getting your hands dirty in all areas of the business.
One part of business that most small business owners dread to even think about is accounting.
Accounting can be time-consuming, complicated, and stressful, but that doesn’t change the fact that it is incredibly important. Most business owners have three options when choosing how to manage their books: do it themselves, hire in-house accounting staff, or work with an accounting firm.
Chances are you didn’t go into business for yourself just to follow your passion for accounting. In addition to not being passionate about accounting, there are a number of other reasons you should consider working with an accounting firm.
1. Dedicating Your Time Where It is Needed Most
Time is a valuable resource for small business owners. You are essentially the backbone of your business. Most likely, you put in a lot of hours. In fact, studies show that about half of all small business owners and sole proprietors work upwards of 50 hours per week.
It isn’t hard to argue that the most valuable resource for most small businesses is you, the owner/operator. So, why should such a valuable resource be dedicated to working on accounting when you can make a much greater difference in other areas of the business?
The less time you spend on accounting, the more time you can spend focusing on what makes your business unique and great.
2. More Cost-Effective Than Hiring In-House Staff
Having an in-house accountant is a nice luxury but not always one that small businesses can afford. A fully educated accountant will demand a salary that reflects their skills. This is a professional-level salary that could instead be dedicated to growth opportunities, hiring frontline staff, or launching new products and services.
In addition, for many small businesses, a full-time, in-house accountant may be overkill for their needs. Working with an accounting firm can provide the same benefits as having a full-time accounting staff at a fraction of the cost.
3. Accountants Aren't Just Bookkeepers
Some people believe that accountants simply prepare financial statements. However, an accountant does much more than that. When you hire an accounting firm, you are paying for expert advice and insight. Budgeting, tax planning, and payroll advice are all part of an accountant’s territory. Accountants can be your CFO to sound ideas off of and can provide guidance on how to financially realize your dreams for your business.
Having the full range of knowledge of an accountant working with you is a valuable asset. Accountants go through years of education and stay up-to-date on the latest changes to ensure their clients get the very best advice.
4. Simplifying Your Business
Business owners who do their own accounting usually have to purchase specialized accounting software, create their own filing and organization systems, dedicate time to do the accounting, and ensure that all documents are completed on time.
This adds a lot of moving parts to what is already a busy workday for most business owners.
Working with an accounting firm simplifies your business by handing over one of the more complex tasks involved in operating a business. When business owners pass off their accounting responsibilities, it means less planning around specific accounting duties.
5. Accounting Firms Can Reduce Errors
An error in accounting can prove to be costly. A simple oversight could earn the ire of tax authorities or result in incorrectly calculated balances. In addition, with rules constantly changing, what may have been perfectly acceptable just a year prior could be an error today.
When you hire an accounting firm to work with your business, you are hiring experts who dedicate their time to providing exceptional service and knowledge.
Focus on Your Business; Let Us Handle the Rest
At Glass Jacobson, we live and breathe accounting. Businesses of all sizes, across many different industries, have trusted us with their accounting duties so they can focus on what they do best.
Want to learn more about the benefits of working with an accounting firm? Contact us today or schedule a convenient time when we can reach out to you.