Top Tips For Start-Ups – Guest Post
Starting your own business can be a daunting prospect and few areas can be as intimidating as keeping on top of your financial commitments and obligations. Finding a good accountant can save you both money and time in the long run, but there are things that you can do to reduce your accountant’s workload and, in turn, save you money.
An accountant can help you to do more than simply submit tax returns. If you’re in the process of starting up your own business then you should consider seeking the advice of a chartered accountant. A fully qualified accountant will be able to help discover funding options available to you as well as provide advice on how to keep start-up costs to a minimum. From making the most of local grants to finding private funding options and helping you pick the right legal structure for your new business, an accountant can be an invaluable source of information for anyone looking to get a new business off the ground.
Once your business is up-and-running then an accountant will be able to advise on the best practices for keeping overhead costs low to maximize your profits, as well as submitting claims for business expenses to get back money already spent.
In order to make the most of your accountant’s services there are a number of things you can do to help your accountant provide the most relevant advice and save both time and money.
Keep your receipts – In order to be able to claim back on expenses you will be required to submit receipts as proof of purchase. Even if you don’t intend to claim back on a purchase or can’t, it is good practice to hold on to all your receipts for bookkeeping purposes and in case of an audit.
Track your income and expenses – It’s extremely important for you to keep a log of your income and expenses. Doing so will not only help you to keep an eye on cashflow and sales analysis but a well-kept inventory of money coming in and out of your business will enable your accountant to create tax returns faster and in turn save you on accountant fees.
You can use professional bookkeeping software for this which will save the most time and money in the long run but you can just as easily keep a spreadsheet of income and expenses in something as simple as Microsoft Excel.
Monitor your cashflow on a regular basis – It’s very important that you keep an eye on where your cash is going. Not only can this help you understand the sort of cashflow your business requires to stay afloat and remain profitable but it will also help you to respond quickly should you ever be subject to fraud or billing errors.
Shop around for the best deals – Take your time to do your research before you commit to anything. This is especially important when you’ve just started out but it’s also a valid tip for companies that are already trading. Don’t be afraid to switch services or providers if you find a better deal!
Keep an updated business plan – Keeping an updated business plan is an often overlooked step but it can be an invaluable resource to keep you on track as well as provide a realistic picture of your business as it stands and your future goals.
It’s worth bearing in mind that while money may be at its tightest when you’re just starting out, it’s always worth investing in the services of a good accountant as they will be able to save you more money than they cost. And having your accounts in order from the very beginning will help you avoid costly surprises in the future!
Article Written by Rachel Briggs on behalf of Murray and Lamb.