Do you feel that familiar buzz in the air? That’s right – it’s tax time. If you are the owner of a small startup company, tax time can be anxiety inducing. Not only do you have to get all your books together, but you also have to make sure everything is accurate. As a small startup company, not only do you want to maximize your write-offs – to save your business money – but you also want to avoid getting an audit. Bookkeeping for your business is a delicate matter, which is one of the reasons why it can be so convenient and surprisingly economical to simply outsource your accounting. Here are five benefits of outsourcing accounting for your startup.
- Outsourcing accounting is cost effective. As a startup, there is a good chance that you can’t hire a full time in-house accountant to do your books for you. So, it is much more affordable and cost effective to simply outsource. Moreover, outsourcing eliminates the issue of having to take valuable hours out of your day – or a manager’s day – to crunch the numbers and prepare tax returns.
- It eliminates distractions and allows you to focus on growing your business. If you have a young business, you need to focus on your company. This takes very special attention and the attention of anyone that works for you. So, outsourcing your bookkeeping can allow you to focus and not to be distracted by the stress of having to file on time. There is also a good chance that you just don’t have the time to focus on your bookkeeping, which can lead to making mistakes on your taxes or hurting your business in some way.
- Professional bookkeepers and accountants know the best way to file your returns. An accounting firm, like Bowman & Company, will be able to prepare your taxes according to the newest laws and tax regulations, which means that you will be able to rest easy knowing that your taxes are being prepared correctly. You also want your accountants to record all applicable write-offs. In the end, new businesses are allowed to make necessary tax cuts for start up costs, so you want to know exactly what you can and can’t write off.
- Access to tools and other accounting methods that your business just doesn’t have. There is a good chance that your business doesn’t have the newest and best programs to crunch your numbers. An accounting firm, however, has all of these tools, so that they can do your taxes efficiently and send it in on time. Promptness is critical when it comes to your tax returns.
- Reduce the chances of an audit or investigation. The last thing you want for your young company is to be tacked with a bunch of regulatory fines because you didn’t file your taxes appropriately. In the end, outsourcing your bookkeeping will allow you to sleep better at night knowing that you won’t be audited or put under a microscope, which can be quite damaging for a new company or startup.