Accountancy | NatWest



 

Woman paying in shop
Add your signposting title here… The value of an accountant

If you’re starting a business, one of your first considerations is likely to be where you can cut costs. When listing things you can do without, hiring an accountant is something you may consider a luxury. However, if you lack experience when it comes to managing the books, employing someone to organise your finances should be regarded as an investment, rather than an unnecessary expense.

An accountant’s role is, quite simply, to help you make the most of your money. However, the tasks carried out by accountants are far more varied than simply preparing accounts and sorting out tax returns; they can help various aspects of your business become more efficient and, subsequently, more cost-effective. 

Man with paperwork
Add your signposting title here… Five ways an accountant could help you
  • Administering payroll - Sorting out a payroll can be time consuming, especially if you are focussed on growing your business. it can also be complicated - taxation and pension schemes can be fiddly. Most accountants can help you set up payroll and teach you how to manage the system going forward
  • Adapting business plans - Many accountants offer services that would have been the remit of business consultants or advisers, and can tell you where your plans are going wrong or right, and where you may need to make changes
  • Negotiating business deals - Accountants can draft contracts and analyse associated paperwork so you avoid any snags
  • Helping with long-term vision - Reaching business goals is rarely straightforward - your accountant can help you avoid pitfalls encountered by other businesses and also help with forecasting, financial planning and raising capital
  • Offering updates and advice - Accoutants can help you keep up to date with legislative change, and how to react in an efficient and compliant way
Determined to do it all yourself?

If you have the time and the know-how, you could sort out the financial nitty gritty yourself. But you need to be confident that you can do as good a job as an accountant.

The key to managing your accounts is to be organised and accurate. Leave no room for error - check and double check everything. Just one misplaced number in the wrong column could completely throw out your forecast and see you paying more/less tax than necessary.

From the outset, it’s essential that you prioritise. Setting up and then subsequently running a business in not a walk in the park; you’ll need to dedicate plenty of time to various tasks in order to get your operation off the ground.

If your vision is to launch an innovative product, it might well be worth focusing your energies on that, and getting someone else to handle the numbers and admin.

Remember that running a business takes time. It’s something that will require devotion and consistency, otherwise you could end up on a slippery financial slope. There’s a thin line between confidence and competence; if you aren’t absolutely certain in your own abilities when it comes to handling accounts and managing finance, then going it alone could be an expensive mistake, and could end your company before it’s even had a chance to get started.

Set Tab for lightbox