Inspired by our recent podcast episode, ‘What Entrepreneurs Lack but Need,’ we wanted to dig a little deeper into what proactive trusted business advisors do for entrepreneurs.
Being an entrepreneur often means wearing many hats. When you first start your business, you are everything: CEO, accounts receivable, administrative assistant, and janitor all rolled into one. As your business grows it becomes vital to get out of your own way so you can continue to grow your business.
When it’s time to get out of your own way
There comes a point in your business where you need to fill a vital position to help you navigate hurdles and keep momentum moving forward. Conversely, doing without this position can mean stunting your business potential. Every entrepreneur needs an accountant, yet 70% of small business owners are operating without one.
What you may think accountants do
Often our view of accountants is that of someone who enters data into a spreadsheet, records debits and credits, prints the reports and files our taxes once a year.
While it might be true that you can learn how to enter data and file taxes when you think your situation is simple, how can you be sure that you are treating all income and expenses correctly- or tax efficiently- for your business? Beyond taxes, are you confident in the trends and information your financial statements show you?
By choosing to handle these jobs yourself, you rob yourself and your business of experiencing the true super power of a good accountant: proactively advising and guiding you through every milestone of your business toward your ultimate lifestyle and/or business goal.
What proactive business advisors really do
It’s more than crunching numbers and filing tax returns. In fact, taxes are just part of the process. A good accountant is a business advisor who helps you move beyond managing your business from your bank account so that your business thrives.
In order to make the best financial decisions that often have tax implications, you need to understand key financial indicators and trends in your business. And in order to know that, you need great tax and financial guidance from a trusted partner who understands where you are going and how to help you get there.
Proactive business advisors also help you understand how to look at your financial statements that reveal the health of your business. They stay focused on the ever changing tax code and regulations, interpreting the data, and empowering you to make a plan.
Being an entrepreneur can be a lonely journey, full of questions, trial and error, and learning as you grow. You deserve to have an expert on your side, someone who understands your business goals, your roadblocks, and the path to get you to your wins and your definition of success.
Set yourself up for success
Getting a read on your financial situation at tax time or even quarterly will have you making decisions reactively, only looking backwards instead of forward.
We get it, talking about money can be an uncomfortable, scary conversation. However, we find that entrepreneurs who are willing to partner with a proactive CPA business advisor are able to get off the hamster wheel and move quickly to the ‘aha’ moments and celebrations of financial freedom.
Being an entrepreneur is a wonderful thing. Why make it harder than you have to? Bringing in an accountant who is a strategic business advisor will provide the freedom to focus on why you went into business in the first place. It’s getting out of your own way, doing what you do best, and empowering others to do the same.
Are you an entrepreneur wondering if it makes sense to work with a proactive business advisor? Schedule a free, no pressure consultation with Harper & Company CPAs Plus, and get answers to all of your questions.