Hiring your company’s first accountant—internal or external—is a significant step toward expansion. It offers further reassurance that the financial health of your business will be maintained. Yet, the first or current accountant you work with might not be the best option for your company, as your company grows over time.
It’s simple to grow accustomed to an accountant, but you want to make sure that when your company expands, you can still count on them. We have identified a few signs that may indicate it is time for you to start searching for a new accountant, as it is crucial to work with someone who cares about your business’ best interest.
#1 Routine Financial Reports Are Missing
There are always important decisions to be made as a business owner. How could one expect to make informed decisions without consistent financial reports that reflect the company’s financial standing?
If your accountant fails to provide clear and understandable financial reports, as a business owner, you may not have a clear picture of your company’s financial health. This includes Profit and Loss Statements, Cash Flow Statements, Balance Sheets, Revenue Cycle, and other key data. Understanding these financial documents thoroughly will provide you with a precise view of the profit margins, business costs, and Cash Flow the company is experiencing.
#2 Inaccuracies and Mistakes in Financial Statements
You might receive reports on a regular basis, which is great, but you find errors in them. As a business owner, you should never become accustomed to the occasional “minor” errors. These reports provide crucial statistics but with errors they have the potential to hide far more serious problems. Dealing with an accountant who is unorganized and lacking a set of procedures to follow is not the best scenario for a company attempting to expand and grow.
If mistakes are frequent, your accountant might not be the best fit for your business.
#3 Communication isn’t a Primary Focus.
Communication is key, especially regarding the people in charge of your finances. As a business owner or manager, you shouldn’t have to worry about your accountant getting back to you on your time-sensitive requests.
Moreover, miscommunication can lead to misunderstandings and errors, which can have severe consequences. Therefore, it is crucial to have an accounting team that prioritizes clear and timely communication with its clients. With a dedicated accounting team, you can expect personalized attention to your business’ financial needs. Having a dedicated accounting team makes a world of difference for businesses.
#4 Numbers are all you get.
Not every business owner has a strong background in accounting. For a comprehensive understanding of your company’s financial position, your accountant should furnish a detailed analysis of your business’ financial status, coupled with financial reporting. If you discover that your current financial team is only updating the book and concluding processes without taking any additional steps, consider the option of hiring a new accountant.
Are you feeling like your accounting department or external accountant just isn’t cutting it? Consider outsourcing with Stauffer & Associates. With the help of our tailored full-service accounting services, you will have the resources, expertise, and accuracy needed to have the most accurate financial records and the most amount of growing potential.