There are a number of benefits to having a good accountant. It’s not just about keeping your financial accounts up to date, your accountant should actually help save you money and ensure your business remains profitable.
1. Prevent getting you into legal trouble
It is the law for a business to provide records of their accounts informatively and consistently to meet tax deadlines throughout the financial year. If one of these deadlines are missed this will result in a penalty. An error or a single delay can result in businesses having to pay interest on top of late fees.
Errors in accountancy documents and inconsistent in reporting can get you in trouble with HMRC.
2. Make profitable business decisions
Accuracy in accounting is not just a legal requirement, it is an essential component to the operations of your business.
In order to make a good business decision you will need to know the financials of your business such as financial history, current state and future forecast. Without knowledge of your finances your business could end up losing more than it could ever make. An accountant will help you become more profitable by predicting the most profitable path to make, that can determine the success of your business.
3. Reduce your taxes
Accountants will find legitimate ways to keep your tax rates as low as possible, this could be through certain government schemes and initiatives, flat rate schemes or expense claims that many businesses don’t know about.