The method of the financial year-end is a familiar dread to many business owners in the UK. It is the season when the office desks are cluttered with receipts, the spreadsheet is getting out of control, and the worry of an HMRC investigation begins to creep in.
During the initial years of a start-up, it is only logical to manage the books personally to save money. But, with a growing business, DIY accounting or, more overworked internal accounting staff can become an expense.
What makes you decide to get the professionals in? Here are five clear signs that your business is ready to outsource its year-end accounts.
Administrative work is taking over your time.
You did not begin your business to make your evenings go through balancing your bank accounts and classifying all expenses. In case you realize that financial administration is gaining precedence over the core business operations, then it is time to change.
When you take the time to sort receipts and you could get to land more customers or enhance what you are offering; then you have reached the limit of an opportunity cost. With outsourced accounting services, you have more time to do what you are best at, expanding your business, and leave the numbers to be handled by a dedicated team.
You are concerned about Consistency and Timelines.
The tax law in the UK is complicated and constantly changing. Out of Making Tax Digital (MTD) announcements to Corporation Tax rate changes, staying updated with the current HMRC requirements is a part-time task in itself.
Filing late may lead to huge fines and dent your company’s credit score. An outsourced accounting firm is like a safety net, all the deadlines are met with one hundred percent accuracy.
Your Books Are "Messy"
Nothing is worse than sitting and looking at a bunch of accounts that are yet to be reconciled for months. Without a clear real-time picture of your cash flow, or with inconsistent and unorganized bookkeeping, your annual accounts will be a nightmare to prepare.
Professional accountants do not simply file the forms, but assist in clean-up of the data. Through outsourcing year-end accounts, you have a team that is capable of enforcing sound procedures in order to cleanse your ledger so that the year-end process is not hectic but rather orderly.
It Is Less Expensive to Outsource than to Hire In-House.
People often have the mistaken idea that accounting outsourcing is a luxury that only large companies can afford. As a matter of fact, in the case of small and medium-sized enterprises (SMEs), it can be the least expensive alternative.
Take into consideration the expense of acquiring a full time or a part-time in-house accountant. You are subsidizing their salary, holiday payment, sick leave, and accounting software licenses. In the case of outsourced year-end accounts services, you get a high-level price at a fixed charge. You get a team of professionals at your disposal at a fraction of the price of a full-time worker.
You are Missing out on Strategic Advice.
Do you view your year-end accounts as an exercise in compliance – something just to get the taxman off your back? If so, you are missing a massive trick.
A proper set of accounts narrates your business. Whereas outsourcing to someone experienced, such as Finex Accounting, you are not just receiving a spreadsheet, but some insights. We analyse your data to enable you to realise the tax saving opportunities, increase profit margins, and plan accordingly. When your existing financial structure has a zero strategic value, then you are set to upgrade.
Ready to Simplify Your Year-End?
Finex Accounting is a UK-based accounting firm that specialises in relieving the burden of year-end accounts services. You do not have to worry about compliance, Companies House filing, HMRC filing, and financial reporting that we do.
Do not allow another financial year-end to waste your time and energy. We can assist you in making your accounts a growth tool.
