Five Things Your Accountant Wishes You’d Tell Them Sooner
Most business owners contact their accountant when they need something: a tax return, a set of accounts or an answer to a pressing question.
But some of the most valuable conversations happen before a decision has been made. Here are five things we would always rather hear about early.
1. “We’re thinking of taking on a big new contract”
A substantial contract can be exciting. It can also create pressure if you need to pay suppliers and staff well before the customer pays you. Talk through the payment terms, working capital requirement and likely margin before you commit.
2. “We’re planning to recruit”
Adding someone to the team may unlock growth, but the full cost goes beyond salary. Reviewing the financial case in advance can help you decide when to recruit, what you can afford and what level of additional work the role needs to support.
3. “We want to buy equipment or premises”
The way a purchase is funded, the timing and the available tax treatment can all matter. A decision made purely on the basis of a potential tax saving may not be the best business decision. Discuss the numbers and the commercial rationale first.
4. “We’re considering a change in ownership”
Bringing in a shareholder, buying out a partner or passing shares to family can have legal, financial and tax implications. These transactions are much easier to plan when advice is taken before terms are agreed or paperwork is signed.
5. “Something doesn’t feel right with cashflow”
Please do not wait until the bank balance becomes an emergency. A slow-paying customer, a change in margins or a run of unexpected bills may be manageable when spotted early. We can help you understand the position and work through realistic options.
The conversation does not need to be complicated
You do not need a fully developed plan or a spreadsheet full of forecasts to get in touch. Sometimes the starting point is simply, “We’re thinking about doing this — what should we consider?”
That gives us the chance to ask questions, identify risks and help you make an informed decision.
The Exchange perspective
We want our clients to feel comfortable picking up the phone before a big decision, not just after it. That is what a proactive relationship with your accountant should look like.
If you would like to talk through your business finances and plans, contact the team at Exchange Accountants. Let’s Grow Together.
