The last thing most people today worry about when they set up a new business is the possibility of employing an accountant. This is largely because they are a lot more preoccupied and fired up over the new project that they are commencing, and end up forget about the issue associated with accounting. Several London accountants including Alexander Ene; say they experience this kind of issue on a regular basis.
In a way, this is understandable. Firstly, if they do not make any money then there will be little or nothing to account for. There is also the fact that a number of people feel that accounting is something be worried about later on when a business starts trading. Other people may see accounting issues as something that are there to trouble them and make an already demanding process even more complex. The other day I met a woman who has been running a business advising men how to approach women for the last three years. To my horror, this woman has not bothered to get an accountant to help her with her business finances since she started the business. Suffice to say that she has no idea how well her business is doing financially.
These suppositions are inaccurate for the following three reasons. Firstly, to ensure success of a business, people have to prepare carefully right from start, not just in the middle of the sailing. It is much like leaving on a journey without a suitably planned route. It’s obvious that you’re going to have issues in your journey along the way.
Secondly, the reason why you have to think about accounting services and tax advice right from the start is legislation. There are lots to think about and to plan for right from the beginning. There are Tax, PAYE, accounting dates as well as the various trading vehicles that should be looked into. For anyone doing work in specialist areas there might be unique tax guidelines in that market to be considered. An example will be the construction business where you can find exclusive rules with regard to sub-contractors that may turn out to be very expensive whenever they are not appropriately followed. Getting any or all of the legal parts drastically wrong can become costly depending on your sector; the amounts involved and how long before any mistakes are identified.
Thirdly, the advantage of acquiring accounting and tax tips is regular guidance that could truly benefit the enterprise. They’re what you could call minor problems which crop up and only a professional accountant in Finchley can help solve it. An example will be, when one should register for Value-added tax.
To conclude, my suggestions to anyone who is starting a new small business is to find themselves a business accountant that could assist them with any challenges right from the start. A good one will not only offer tax help but ongoing commercial assistance as well.