What can an Accountant do for a small business?

justjohn

if you get an accountant and there rates are cheap they will pay for themselves with the saving they make.


however an expensive accountant will be unlikely to save money on a small business.

Opinion

WantToBeSE wrote: »

The person I am taking over from is helping me by going through everything with me, and says that I shouldn't need an accountant really.

This would be a big, red flag for me. The only reason I would suggest to someone that they wouldn't need an accountant whilst taking over my business is if my books weren't tickety boo.

System

An accountant is a luxury in my opinion.

Its not hard to keep a record of ins and outs.

Although if you have creditors and debtors, then you will need accounts software and possibly an accountant

Opinion

berbastrike wrote: »

An accountant is a luxury in my opinion.

Its not hard to keep a record of ins and outs.

Although if you have creditors and debtors, then you will need accounts software and possibly an accountant

I should think 9/10 business owners would agree that a good accountant is worth their weight in gold. I'm not quite sure why they are a luxury- to me a business without an accountant is a bit like a car without petrol, or a house without a roof.

justjohn

Opinion wrote: »

I should think 9/10 business owners would agree that a good accountant is worth their weight in gold. I'm not quite sure why they are a luxury- to me a business without an accountant is a bit like a car without petrol, or a house without a roof.

Problem is some accountants are carp. glorified book keepers that file tax returns lol


the accountant should save money not just sling your final figures into hmrc.

DermotFlanigan

berbastrike wrote: »

An accountant is a luxury in my opinion.

Its not hard to keep a record of ins and outs.

Although if you have creditors and debtors, then you will need accounts software and possibly an accountant

You're doing well if you're keeping up to date with the latest tax laws, tax reliefs and other various schemes whilst running your business and gaining any finance without an accountants certificate

cazziebo

WantToBeSE wrote: »

The person I am taking over from is helping me by going through everything with me, and says that I shouldn't need an accountant really.

Alarm bells ringing! I think a self employed person with low costs, few clients and good organisational skills might manage without an accountant - but even then would worry that they miss out on certain tax reliefs etc.

However, if I was taking over another business, the last person I 'd seek advice from is the person selling it! You DEFINITELY need a third party expert here to look at whether you're getting the whole story, are there any hidden liabilities, what protections are in place if anything rears up post transaction. Please don't say there are staff involved - if so, you probably need a lawyer too!

densol_2

What business are you taking over ?
What are the annual takings
How much are you paying
Are you taking over any leases or buying business premises ?

With that info - some of us can maybe give you a more tailored answer as to costs v risk of no accountant

PS - edited to add the OP has been thanked over 21 thousand times on here ! The least we can do is give back some advice !

hunnie

Whilst I would agree that it would be sensible to have an accountant look over the books of any business you are considering buying, I do not think an accountant is always necessary for a very small business with a relatively low turnover and simple accounts.


HMRC have made self assessment as easy and painless as possible and provide plenty of info/guides to help decide what to include as allowances.


Accountant or not it is the taxpayer's responsibility to keep records of income and outgoings anyway, so unless accountants know of some hidden loopholes an individual can complete the online form themself.

cazziebo

Looking at some of the OP's previous threads, it looks like this is a cleaning company. This suggests there are existing employees and contracts. There may be TUPE considerations, and there may be contract clauses which affect any change of ownership.

Specialist expert advice is needed.