5 Situations That An Accountant Can Be Hired For
Companies of any size can hire an accounting professional. As CEO’s and other members of a board of directors don’t necessarily have accounting experience, hiring someone who does is in their best interests. Accountants can also be hired by a Sole Trader for various situations. Whatever the reason, there are many scenarios which an accounting professional can be hired for:
During an audit
Any company in the UK can be audited by Her Majesty’s Revenue and Customs (HMRC). The same accounting professional that submitted a company’s tax return can also be present when an organisation is being audited. As technical questions will be asked about corporate accounts, they will be able to answer them.
Every company claims for expenses. Whether it has a handful of employees or several hundred people are in their workforce, there will be many expenses to calculate. An accounting professional can help in this situation because they can work out all expenses throughout a tax year. When provided with all receipts, they can even calculate expenses at the end of a tax year. As it can take a long time to calculate all expenses, an accounting professional can be responsible for doing so and not a supervisor or manager.
Managing cash flow
If a company doesn’t have adequate cash flow, an accounting professional can help. Taking into consideration all forms of income and every outgoing, they can make suggestions regarding how to improve cash flow. As an accounting professional has helped many other companies with managing cash flow, the advice they’ll provide will be invaluable. Thanks to their suggestions, a company could have more cash flow. As a healthy supply of cash flow can be used for various expenditures, it is in a company’s best interests that it has more than enough in order to pay for any unforeseen circumstances.
Submitting a tax return
An organisations’ tax return normally has to be submitted by an accountant because it is required by law. Even if senior personnel have accounting experience, they are unable to submit a company’s tax return because this is against the law. Hiring an accounting professional in order to submit a tax return is not only working within the law but very convenient. This is because a company won’t have to do anything apart from providing all of the relevant information and paying an accountant’s fees.
Investing in assets
An accounting professional can help not just with the aforementioned but also with investment. Before purchasing assets or buying shares, a thorough assessment can be carried out by an accounting professional. Consequently, a company won’t waste a single penny because potential investments have been looked at. An accounting professional can also bring to their client’s attention any investment opportunities which they believe should be chosen.