An accountant is a professional who advises business owners on how to handle their finances. Accountants handle everything, from business planning to investments. Not all accountants are the same, however. Some are better than others. As with any business decision, you need to carefully weigh up desirable qualities, so that you can find the accountant that is best for your business. A poor quality accountant can cause your business a lot of problems.
You don’t need to worry about finding an accountant anymore, however. This article will explain six qualities that every good accountant has so that you can hire the right one:
Tax Exemptions
The primary benefit of hiring an accountant is that they can help you to get relief on your taxes, with their expert knowledge of tax exemptions. In the words of tax specialists from https://www.suretax.co, accountants can help you to file and complete your taxes, and to see which exemptions you qualify for.
This saves you time, money, and stress, not to mention that if you incorrectly fill in your tax return, HMRC could find you. There are lots of tax exemptions that you may not have even known existed. Make sure that any accountant that you hire knows about all possible exemptions.
Good Judgment
An accountant should have good judgment, being as they are responsible for your business’s finances. Many accountants will also make suggestions on investments, purchases, and your business’s future. If the accountant that you hire has poor judgment, then these decisions might not be in your business’s best interests. Determining an accountant’s judgement is relatively simple. You can do this in your interview with them. Simply ask a series of questions designed to assess their judgment, such as “what investment advice would you give me if I handed you £1,000,000.”
An accountant’s judgment is everything. In addition to asking them questions, read their reviews and ask for testimonials from former customers. Both of these things will give you a clearer insight into the accountant’s judgment and character.
Professionalism
Professionalism is everything. If your prospective accountant meets you wearing shorts, sunglasses, and their hat turned backward, you should probably find another. The accountant that you hire needs to take themselves seriously. If they don’t, how can you be sure that they will take your money seriously?
An accountant’s appearance, character, and manner of speaking are all very important things to pay attention to. In addition to all of this, pay attention to the way that they present themselves in their CV and cover letter. They need to have relevant qualifications and professional experience, which we will address next.
Financial Expertise
Financial expertise is fundamental. If an accountant doesn’t have it, then they aren’t worth hiring. For this reason, carefully study each prospective accountants’ resume, educational record, and qualifications. In addition to these things, you might also want to send them a questionnaire to fill out as part of the hiring process, with a view to establishing the extent of their expertise.
If an accountant isn’t a financial expert then they absolutely cannot be trusted with your business’s finances. A single bad financial decision on their part can cause untold damage, including bankruptcy. While this might seem a little severe, remember that your accountant will be making investments on your behalf.
Industry Connections
An accountant should have connections in your industry. This isn’t absolutely essential but is beneficial. The reason for this is, as we will explain next, that accountants also act as business planners and financial advisors.
If an accountant has connections within your niche, then they will be able to help you even more with expanding and growing your business by putting you in touch with alternative suppliers, clients, and business connections.
You shouldn’t necessarily disqualify a prospective accountant from the hiring process if they do not have industry connections because it is a big ask, but it is a serious bonus if they do.
Business Knowledge
Business knowledge is very important, for the reasons previously stated. Your accountant will double as your business advisor, helping you to grow your business. They will advise upon suitable courses of action for growing your business, from hiring more staff, to letting them go.
An accountant will only do these things if you ask them to, however. You must specify this during the hiring process, otherwise, you could lose them after you have hired them. Most accountants are business experts, so won’t have any issue with this. Some will even expect you to treat them as business advisors.
Accountants are incredibly beneficial, both to your business’s future and to its finances. Becoming financially independent and successful hinges upon sensible spending and financial planning. An accountant can help you to achieve these things.