As we headlong into a post-pandemic landscape, many people who are not excited about returning to the same old same old, are considering becoming entrepreneurs and starting up their own businesses. There are endless possibilities open to new business owners, but the first and most critical part of your startup is the business plan and running through the viability of your potential business financially. Although people assume that they need an accounting company only after they grow, getting one from the start is the best way to start it up!
If you are opening a new business, there is no way to know how things will go, but you can prepare for all the obstacles and what might be. If you wait until you have opened up shop and secured financing, there is no way to know if you have potentially missed out on common pitfalls or things you could have anticipated financially if you had recruited an account from the start.
Avoiding Hurdles and Pitfalls
Often people worry about the cost of hiring and paying an accountant early on, you are missing out on a great investment. Sure, startups are expensive as is, and who wants to waste money on things that you may or may not need? When it comes to forming a business plan and model, having a financial expert is about as critical of a piece as you will ever find. While only about 30% of startup businesses hire an accountant at the start, 29% have found themselves audited the first year due to not hiring one.
You Will Be Busy With the Startup
Starting up a new business is time-consuming, to say the least. When you have to worry about wearing too many hats, the ball is bound to drop. Everything from payroll to invoicing to paying bills will soon be your reality. Are you prepared to take care of running a new company while also playing accountant, when you don’t have to? While the reality is that most small businesses won’t make it, why take a chance on being one that could have if you’d have had the help you needed to make it through the first year? Often, we end up spending dollars to save pennies, and when it comes to your business either making it or not, isn’t it worth the investment?
What Can A Business Accountant Do to Help
Of course, the most obvious thing that a small business accountant will do is help you with tax-related issues and filing, but they also help with many of the infancy things that you will need to get your startup started. These are all things that an accountant can take care of:
- Financial reports
- Document preparations for potential investors
- Making financial projections
What to Look for in Hiring an Accountant
The first step to hiring the right professional is accessing exactly what your needs will be. What type of organization will you be running? It can be risky to hire an accountant on a full-time basis up front, which is why most people skip it out the gate. But if you hire an outsourcing CFO, they can help you not just in the startup process, but going forward. An excellent CFO can help take your business every step of the way and minimize growing pains while also focusing on the big picture of growth and expansion. If your head is too focused on making it to the black, you are going to miss opportunities to expand in the midst!
Although most people think of an accountant as someone you need to bring on after your startup is, well started up, having the expertise and advice of an accountant from the business plan on through to a thriving business is the best way to be prepared for greatness through the process. At Current Accounting, we love small businesses and would love to help get you successfully off the ground. Contact us today to get started!