When your company is growing, hire an accountant
Companies don’t always grow at a steady rate. A new client or a big project can mean you need to grow your business more quickly than expected.
An accountant can help you handle growth transitions, such as hiring employees or taking on more office space. They’ll look after the detail (payroll, employee tax management, property tax, utility payments and so on), leaving you free to look at the bigger picture of the way your business is growing.
An accountant can also use accounting software to analyze your cash-flow, inventory management and pricing. They can also provide insight into how to properly grow your business through financial analysis. They could even help determine when is the best time to introduce a new product or service offering to your range.
When you apply for a business loan or overdraft
Banks like to know they’ll get back the money they lend out. Since the credit crunch, lending to small businesses has dropped in Canada. This makes it all the more important that you have a sound business case when you apply for a loan or overdraft.
An accountant can help improve your chances. Even the fact that you have an accountant might sway the bank in your favor, as it implies you’re serious about your business. With good accounting software, your accountant can present facts and figures that back up your application for funding. They’ll also be able to answer any questions your bank might have about revenue projections and expenses.
Your accountant can also help you choose which loan to go for, and tell you whether your bank’s terms and conditions and interest rate are favorable to you.