Start-up businesses need a lot of support and guidance from various sources. Accounting companies and individual accountants have one of the biggest roles to play in this respect. What do accounting companies and accountants offer in terms of helping start-up businesses?
The most obvious help an accounting company gives to a start-up business is by doing the role in their name. The success of a small business is so often reliant on its ability to give as much focus as possible to their actual industry area. In addition, creating accurate business accounts is much more challenging than many people realise. It is much more than a collection of ins and outs. As well as being accurate accounts have to meet certain standards for submission to Companies House, too.
Accurate accounts also mean that other things are done correctly, like our next example.
Tax would be easy if all you did was pay a percentage on what you had coming in, although without factoring in the outs you’d pay much more tax than you needed to, and given the sums of money involved there would probably be loads of businesses going under.
Many start-up entrepreneurs won’t have the first clue when it comes to taxes, so accounting companies use the accounts to calculate accurate tax liabilities.
Accounting companies will also provide great advice around what things are tax-deductible expenses and any ways in which services or products can be purchased in a more tax efficient manner. Payment of the correct VAT is also included under this banner.
As well as doing all the “technical” jobs you need doing, accountants’ fees will also often include unlimited advice and guidance, which won’t just be limited to the tasks listed above. Accountants are often great for helping to identify any excessive costs that might be coming out of your business and will generally just help you to be more efficient.
If you have an accountant that specialises in your particular industry then you also get some very specific advice that you can put to good use in your company. This will help a start-up to drive good practice in their operations from day one.
The start-up business owner will need their own personal tax return and affairs managing, too, which is often a service included with business accounting, while any payroll requirements, including when you start taking on employees, will usually be offered in a business accounting package, too.