We trust our accountants and bookkeepers with the financial health of our businesses. We rely on their expertise to guide us through the world of taxes, regulations, and financial reporting. But how can we be truly confident in their abilities? While qualifications are important, they only tell part of the story. Like any skilled profession, true expertise in accounting comes with hands-on experience.
Think of it like this: a newly licensed driver might technically be qualified to drive, but would you feel comfortable with them navigating a busy city centre during rush hour? Or tackling a motorway in heavy rain and wind? Probably not. You’d want someone with plenty of driving experience, someone who has encountered various road conditions and knows how to react to unexpected situations.
The same principle applies to accounting. An experienced accountant or bookkeeper will have encountered countless financial scenarios, dealt with complex tax issues, and guided businesses through periods of growth and uncertainty. This experience allows them to:
- Proactively identify potential problems: Experienced accountants can spot red flags and anticipate challenges before they escalate, saving you time, money, and stress. They possess a deep understanding of financial regulations and can ensure your business stays compliant.
- Look beyond the rulebook: Every business is unique. An experienced accountant can analyse your specific needs and provide customised solutions to optimise your financial performance. They can help you develop effective financial strategies, identify areas for improvement, and make informed decisions about investments, budgeting, and growth.
- Provide valuable insights: Beyond crunching numbers, an experienced accountant will become a reliable advisor. They can offer valuable insights into your business’s financial health, identify opportunities for growth, and help you navigate complex financial decisions.
- Build strong relationships: An accountant will take the time to understand your business goals and build a strong working relationship with you. They’ll communicate clearly, explain complex concepts in simple terms, and be readily available to answer your questions and address your concerns.
What about your internal bookkeeper?
I’ve talked in the past about bookkeepers, who aren’t bookkeepers. The people who have fallen into the job of managing the finances. It’s not an area of expertise for most business owners or directors meaning they are out of their comfort zone recruiting for their finance support team. This is where the value of an experienced accountant becomes clear. Your new bookkeeper may have a qualification, but they may only be driving on a ‘probationary’ P plate. They still need to gain on the road knowledge, to be a true asset to your business. It’s no coincidence that insurers offer better rates to experienced drivers, the chances of an accident are lower. And the same applies to your accounting, with inexperience comes the chances of a slip up. I’ve had a director in tears because she trusted her bookkeeper and now realises that she was not competent, and the books were in a mess and not to be relied on. One of Hydref Accounting’s core services is as a mentor to your less experienced finance team members. By offering training and ongoing support to help you build a strong and reliable finance team. If you have a nagging doubt about your bookkeeper’s ability to be fully in control of the finances, it’s time to partner with an accountant who can help you achieve your goals. Whatever your needs I can help you move your business from surviving to thriving. Get in touch on 03333 449270 or book an appointment through my Calendly link.
