04 Jun Accountants for Startup in London
In any given business, a systematic process of recording, measuring, and communicating financial information and transactions should be in place. That is where the concept of accounting comes in. Accounting is essential in regulating the business cash flow, taxes, and everything else that has to do with a company’s finances.
If you are a start-up company, having proper accounting is important, particularly because you haven’t been in business for very long. It’s best to see how your finances flow as a start-up in order to make a sound business decision. The good thing is, there are people whose expertise lies in dealing with financial stuff, no matter what level your business is at. You can rely on these professionals called accountants, who are trained to handle financial matters. Accountants can help you sort out your company’s finances.
That said, finding an accountant can be tricky. You need to be sure that you hire the right one for your start-up. Here’s what you should do in order to find the right accountant.
You can kick off your hunt for an accountant with preparation. You need to figure out what you’re looking for in an accounting firm. It’s best to look for one that is similar to your business in terms of headcount. Such a firm will understand the complexity of your finances. When choosing an accountant or accounting firm, you also need to consider reputation, competence, and credibility. It’s best to make sure that your accountant is authorized to undertake specific services such as auditing, investment business, or insolvency work. One last thing, it’s very much preferred if the individual or firm you hire is a member of a recognized accounting body.
After you’ve figured out what to look for in an accountant or accounting firm, the next course of action is to invest time in finding the right one. As the relationship between you and your accountant can potentially be long-term, you have to be keen on contacting the prospective ones. You can start by contacting three to six firms. Out of these six, you can arrange to meet with at least three of them. Keep in mind that you may be charged for the said appointment, so it is wise to ask about payment before or even after the meeting.
When you’ve finally met with the accountant, now is the best time to see if the accountant or the firm he represents is the right one for you. First off, you should tell the accountant what your business entails, what your cash flow is like, and what the areas of opportunities are. From there, you can ask how the accountant sees your business, how he will go about managing your finances, and what he plans to do with whatever financial loopholes and lapses he finds. You can also discuss what the accounting firm’s services entail and how much the firm charges. This is the only way to assess if the accountant or the firm itself is appropriate for your business type.
After the appointment, you may have already made a decision. Once you’ve finally hired an accountant or firm, you will be receiving a letter from them stipulating the terms and conditions. Soon after the appointment, you have to make sure that you get in touch with your accountant. You always have to keep an open line of communication, not only at the end of the year when you need to provide the records so the firm can prepare your accounts. It’s best to always keep in touch with your accountant or firm about the finances of your business, particularly if there are changes in the business operation and cash flow.
Finally, what better way to ensure a great collaboration than to establish good interpersonal relationships with your accountant or the firm they represent? After all, you need to have confidence in your accountant since you will be letting him or her take charge of your finances. As much as possible, you can rely on your accountant to help you run the business. You can use your accountant’s accumulated financial experience and expertise to make wise business decisions. Therefore, establishing rapport and building a good relationship with your accountant is a must.
Accotax is an accountant for startups in the UK – get in touch today to see how we can help.