What is the role of an accountant in Small Scale Business?
To commence with, accountants are responsible for tax and compliance work. Regardless of the size of a business, in UAE the government encourages all the business types to make the best use of business accounting services. In respect to the small business specifically, an accountant acts as an excellent strategic advisor and a troubleshooter. In the upcoming paragraphs, we will discuss the role and duties of an affordable accountant for your small scale business.
- Helps in a startup:
The first step of a business is to start with an idea and the idea for a business has to be implemented as mere thoughts will not fetch you any business. Business accounting service consultants do a lot more than you think. There are a lot of things that you need to do while starting a business like convincing the investors, raising capital and other such things. The best accountants will test your ideas and let you know if the business can be expected to grow. They will guide you with the investor details and help you pitch your proposal to the investors.
- Assistance with business strategies:
An efficient business accounting services personnel will help you keep the focus on all the aspects of a business. They will guide you as to when which part of the business needs more attention. They will help you with setting goals, they will give you tools to measure the performance, and they will keep you updated with the current position of the business. With the use of right software an accountant will set up dashboards that will help you analyze the key performance indicators (KPIs) and if things are not going in the right direction, an efficient accountant will find out the errors and take immediate actions to get going.
- An accountant will manage your debts:
In business, there is a possibility that while handling cash, you might come under some debts and it is the job and responsibility of the accountant here to get you out of such a situation. He will identify whether the debt you are under is good or bad. If you are in a situation to borrow money then the accountants will guide you best as to which investor will be least expensive. Accounts always plan financial contingencies and they guide you with the right time to utilize that spare money for repayment of loans and furthermore reinvestment.
The above-mentioned points make it clear that having a business accounting services manager will ease your work and help you save time and efforts which can be applied to the other aspects of the business.
Moving ahead, if you are running a small scale business and you are wondering as to what are the most affordable ways to handle your business accounting services then you are at the right place. We will guide you with the factors to be kept in mind when you choose an affordable professional accounting service:
- Cost effective: While selecting either software or an accountant for your small scale business accounting services, make sure it is affordable in accordance with the budget that you have.
- Its use and set- up: Another factor to be kept in mind is that software should be so easy to use that a person without the knowledge of bookkeeping must be able to use it. And in case of an accountant, select a person who has the relevant knowledge of both the business as well as the market.
- Management of account receivables and account payables: While selecting a professional accounting service for your small scale business, make sure he/it is capable of creating invoices and tracking payments and also, he/it has the ability to enter and make bill payments.
- Accepting payments:
In the era of digitalization, it is important for your business to have software’s which allow online payment collection facility. Nowadays, a lot of applications have been launched for facilitating payments and it is advisable for you to compare the rates of each application and select the best and affordable one for your business in order to initiate payments through the online portal.
- Preparing key financial statements: The software must have the ability to generate various business accounting services books like profit and loss statements, balance sheet and statements related to cash inflow and outflow.
The above-mentioned points will give you a clear picture as to what you need to select. It is always advisable for all the small scale business owners to hire the best professionals for handling the business accounting services. Along with this first, you should look at your pocket and check your affordability. Then you must analyze and compare the performance of the firms which are under your parameters and then take the action to select the business accounting services firm which would be best for you.
In a country like Dubai where tax has been introduced recently, it is advisable for you to have a business accounting services provider so that things are easy for you and your business to grow efficiently. Understand the importance and need of a professional accountant and get going.