Are you excited because you are getting ready to start your own small business? The most important aspect of running a small business is to keep track of the finances, which can be done more precisely with assistance from a professional accountant. Take a look at the information in this article for a list of the services that a professional accountant (such as Teri J Henderson, CPA, P.A.) can provide to your small business.
1. Keep Track of the Money Coming In
Knowing how much money is coming into your small business is essential for making sure it doesn't fail. You must keep track of money that is owed to your company because neglecting to do so can lead to a financial bind that is hard to get out of. An accountant will keep thorough records of the invoices that are sent to clients that you do business with. If any of your clients fall behind in paying off their debts, the accountant will send them a reminder and inform you so the account can be closed before your business is negatively affected. For instance, continuing to provide products to a client that is indebted to your company can lead to you losing business profits and inventory.
2. Make Sure Vendors & Employees Are Paid
You must make sure that your employees and vendors are paid because failing to do so can land you in legal trouble. The reputation of your business can also be damaged if you don't make sure payments are made on time and in the correct amount. You can put a professional accountant in charge of paying vendors so he or she can send payments on schedule. Doing the task on your own is not ideal because you can easily fall behind on payments when you are focused on numerous other aspects of the business. The accountant will also keep precise payroll records to make sure that your employees are not over or underpaid.
3. Assistance with Business Taxes
The worst thing that you can do as a small business owner is to keep inaccurate financial records. You must keep in mind that everything concerning the profits of your business must be reported to the Internal Revenue Service (IRS). You should also report the losses since it might qualify you for a tax break. An accountant will make sure that the IRS is given accurate financial records to help you avoid being audited. If you happen to get randomly audited, the accountant can assist you with getting through the process in a smooth manner. Hire a small business accountant as soon as you can.