Six signs that you’ve outgrown your accountant
Is it time you moved to a team that suits your business?
All businesses grow and evolve; it’s a fact of life. What worked for you in year one, doesn’t necessarily work for you in year three, five or ten. Your accountancy practice is the perfect example of this and it is imperative that you have the right people in place to facilitate your business’s development. Whilst growth represents new challenges, you shouldn’t be alone in what should be an exciting time. To help you determine if now is the right time to start looking for an accountant that suits your business today, we’ve put together six signs that you’ve outgrown your accountant.
Here are six signs that you’ve outgrown your accountant
Communication is critical to the success of your business. A good accountant keeps you in the loop and constantly updated on progress and key dates in the year. As your business grows, the value of your time increases. If you’re finding yourself chasing your accountant for numbers, details or files, question whether or not they have the infrastructure in place to deal with your needs. Ask yourself when the last time they called was. If they are, it’s a sign that they are overworked by your business, or even prioritising another client, which will become more of an issue if you expand your business.
- Are they specialists?
As your business grows, the need to have an accountant with experience in your sector becomes more important. Many small businesses start with a general accountant, but after a few years, their lack of specialist knowledge may begin to tell and hold your business back. Does your accountant have a shared vision of where your business is headed, based on experience with similar companies within the same industry? Identify what specific requirements you expect from your accountant for now and the future of your business and ensure that your new accountant shares the same ideals.
- Hidden fees
Are you incurring hidden fees from your accountants because you require extra services? A better-equipped accountancy firm will likely offer these services as part of their standard rate, ensuring you know exactly what you’re getting as part of your package. As a result, this becomes a more efficient option in the long run, especially as their specialist, bespoke services are likely to have the most benefit.
- Are they forward thinking?
Do your accountants plan ahead or do they consistently complete work just before tax deadlines? If work is completed last minute, it is likely to be rushed and mistakes could be made. What’s more, any issues or extra tasks will likely mean that work is completed late which could incur a penalty. If your accountants work isn’t timely they are lacking crucial awareness, running solely on short-term deadlines rather than seeing the bigger picture.
Similarly, are they planning for your growth? Have they planned for your business to double in size over the next two years and made arrangements for the potential tax implications? If these are not discussions you’re having on a quarterly basis with your accountant, you might need to think about switching.
- Are you getting the attention you require?
As a growing company, you will need constant support to ensure you are operating in an efficient manner. A small accountancy firm will likely operate in a reactive way but not offer support when you need it. A bigger accountancy firm supporting you would ensure that you continued to grow in an efficient, stable manner.
- Are they adding value?
Ultimately, the main question is whether your accountants are actually benefitting your business as opposed to simply filing your accounts. If they are too small for you, they could be the bottleneck for growth and making your business inefficient. A larger, more experienced firm would relieve that pressure as well as offering additional services that will enable your business to thrive. Particularly important is the expert guidance and consultancy that an experienced firm offers, a feature many smaller accountants can simply not offer.
Sometimes, it may seem like an unnecessary burden to change accountants, but with technology today, it is incredibly simple to make the switch with minimal disruption. If you recognise these six signs that you’ve outgrown your accountant, while it may seem like a leap of faith, the additional services make Morgan Reach the efficient option for your business and we will ensure the smooth handover of all of your accounts and financial matters. Call 0121 236 0777 today to find out how we can support your business and guide you through your future steps.