While many tradies are more than capable of managing their own finances, juggling this with the other aspects of their business can be burdensome. As your trade grows and the revenue increases, you may need to consider engaging a qualified tradies accountant.
The mistake many tradies make is to see an accountant as just another expense. But when you’re working in your own business, every single dollar matters. It’s important to be smart about your finances and make sure that you are not losing more than you have to.
Here are our top 5 reasons why you should hire a tradie accountant.
1. Save time
Think about how much time you spend trying to manage your finances on your own. This is time that can be spend on the tools. As a tradie, your focus should be on running your business and engaging a qualified accountant can allow you to do exactly that. Furthermore, a professional accountant will be much more experienced ensuring that all accounting processes from budgeting to invoicing a completed in the shortest possible time.
2. Tax compliance
One of the key things finance is tax compliance. The Australian tax system can be complicated and if you fail to submit the right taxes for your business, you can be hit with fines and penalties. A professional accountant will be knowledgeable and will advise you on your tax requirements early in advance making the whole process a breeze.
3. Save money
A professional accountant can help prevent losses that can arise from possible accounting and invoice errors. Again, regardless of your trade, there are many deductions that you are probably not taking advantage of. With the right accountant by your side, you won’t have to be in the dark. You will be in a position to take full advantage of the deductions on the tools of trade, transportation cost, phone costs among others, saving your business a considerable amount of money.
4. Cash flow
In any business, cash flow is king. If you suspect your earnings have increased but still your cash flow is lagging behind, you need to hire an accountant. They can take an objective look at your overhead costs and point out areas where you can cut costs or make other adjustments to increase your receivables.
5. Growing your business
A tradie accountant understands your field can be a great source of advice in helping you grow your business. A qualified tradie accountant can help you plan and execute business strategies and even serve as a consultant. They can also help you seamlessly navigate growth transitions while keeping all of your expenses, profits, sales and assets in order, to ensure you’re not spending or losing more than you have to.