ACCOUNTING SHOULD BE FRONT LINE IN BUSINESS CRUSADE
BUSINESS
by Paul Nixon of Wilkins Kennedy
WE HAVE NOW ENTERED THE “ GOLDEN YEARS ” FOR SMALL FIRMS . IMPROVED ACCESS TO FINANCE AND BETTER TECHNOLOGY HAS PAVED THE WAY FOR A RECORD NUMBER OF SMALL BUSINESSES IN THE UK , WITH 5.4 MILLION PRIVATE SECTOR BUSINESSES TRADING AT THE START OF 2015 – AN INCREASE OF 146,000 SINCE 2014 AND 1.9 MILLION SINCE 2000 . IT IS NO WONDER THAT MANY START-UPS CAN FEEL LIKE THEY ARE ENTERING A STAND-OFF FOR THEIR MARKET SHARE .
In to the fray Not only do entrepreneurs face competitive battle , but they also face a combat between the running of their business and delivering on day-to-day work . Whilst there is a keenness to get going and get stuck in to a launch of a new product or service , the excitement stops when it comes to an accounting system . I agree that thinking tax returns over new equipment and shiny offices can seem like a bore , but , ignore at your peril .
Pick your battles Letting your guard down for the taxman is one sure-fire way to trouble . Filing late returns or incorrect information can lead to hefty fines , which is exactly what you don ’ t need on top of the already stretched finances of starting a business .
But accountancy is more than just dealing with HMRC . An accountant can also help you to build a reliable business plan which is probably the most important tool needed for success . A solid business plan will also help you to make accurate financial forecasts , predict revenue streams and anticipate challenges which may lie ahead .
Arm yourself As well as a business plan , I ’ d recommend any time-pressed entrepreneur to consider using a professional business accounting software to help avoid financial mismanagement . Here at Wilkins Kennedy , we offer cloud-based solutions that keep track of all financial records including expenditure and revenues , so profit and loss can be calculated in real-time . Not only will this help you to plan and manage any issues which may arise , but an accurate accounting system set up in the correct way can be a requirement for investors , before during and after the funding process .
I know that for most start-ups in their race to market , accounting is not in the front line of battle , but an accurate accounting system will pay you dividends , quite literally . It can also save you time and money in the long term .
Wilkins Kennedy already helps many clients run up to date accounting systems that prove to be the lifeline of their business . Most of these systems operate via the cloud and Wilkins Kennedy is currently working to improve this offering to make the day-to-day running of the systems as easy as possible . All you need to do is hand over your accounting systems to the cloud accounting team – we can take care of the rest !
For more information , email Partner , Paul Nixon , at paul . nixon @ wilkinskennedy . com or call on 01233 629255 .
www . wilkinskennedy . com
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