While it is thought that the majority of small business-owners were largely in favour of Brexit, the long-term future of SMEs in the UK is increasingly uncertain now they the UK has voted to leave the EU.
While this is having an impact on SME confidence in the UK, however, it would be far better for smaller firms to focus on elements of their operation that they control in the short-term. Optimising their accounts and developing detailed financial plans represents a relevant case in point, as this will help to reduce the spending and their business capital go further during a difficult economic climate.
3 Ways in which an Accountant can help your SME?
Ultimately, this means that hiring an accountant is an outsourcing decision that can help to prepare your business for the fall-out from Brexit and drive future growth. Here are three additional and practical ways in which an accountant can help your SME: –
Become Compliant with Tax Laws
As a small business or SME, it is crucial that you understand your tax requirements in careful detail. There are numerous different tax codes that relates to various business types and structures, for example, from sole traders to limited companies and other, subtle variations. Hiring an accountant therefore not only ensures that you have an infrastructure which minimises the amount of tax owed, but it also enables you to accurately calculate the necessary repayments and make these in a time-effective manner.
Avoid Tax in a Legal and Compliant manner
On a similar note, the difference between tax avoidance and tax evasion is something that even seasoned business professionals struggle to comprehend. Accountants have no such issue, however, making them ideally placed to assist your business in a compliant way. More specifically, they can suggest methods that will help your business to avoid tax and minimise the cumulative amount that it pays on an annual basis, creating a beneficial situation for all parties involved. Attempting to do this on your own represents a significant risk, so partner with a financial expert to guarantee your businesses long-term well-being.
Benefit from greater cooperation and superior local knowledge
Interestingly, the latest breed of accountancy firms have strived to establish a presence in numerous localities and regions. Take Just Accountants, for example, who operate in a number of UK regions nationwide. The benefit of this model is that it enables service providers to deliver quicker responses to queries from local firms, while also enabling face-to-face consultations whether your business is based. Also, local outlets can offer the type of local knowledge and insight that can prove invaluable to SMEs, so this is certainly something to consider when selecting a service provider.
While Brexit is hitting the UK economy hard and causing short-term volatility, it is important that small business-owner remain focused on improving their business-model to meet these demands. As the economy adapts to external market conditions, it will be easier for SME’s to build for a more prosperous future.