If you’re wondering, “What should my accountant do for me?” you’re not alone. A study last year found that just over 50% of UK adults have no idea of the full extent of the work of an accountant.
The same research discovered that 55% believed accountants only serve the wealthy! A good accountant is actually a key figure in a successful business – regardless of the wealth of its owners.
Worldwide research last summer found that many entrepreneurs avoid leaning on the expertise of accountants. Only 40% of those questioned said they consult their accountant regularly. That’s despite 74% of small business owners worldwide saying accountants can help grow their business.
So, if you’re asking, “What should my accountant do for me?” let us explain…
What should my accountant do for me?
Here are just some of the services accountants offer. Some people believe that the meter is running whenever they contact their accountant. But that’s not the case. Most of the time, you’re already paying for the service as part of your fee.
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Keep you compliant
Keeping you compliant is the most basic service your accountant offers. What that means is your accountant should make sure you are meeting legal obligations. This includes preparing and submitting your annual accounts, Corporation Tax returns and (if applicable) VAT returns and payroll filings.
But it’s not just about ticking boxes. A proactive accountant will keep you informed about deadlines, remind you what’s due and when, and make sure you avoid costly penalties. You shouldn’t have to chase them. And they should ensure you never miss any deadlines.
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Help you pay the right amount of tax
This is where a good accountant earns their keep! No one wants (or needs to) pay more tax than necessary. Your accountant should be identifying legitimate ways to reduce your tax bill. That could be through allowable expenses, tax reliefs or structuring your business efficiently.
And that doesn’t mean they’re doing anything dodgy or risky. It simply means making sure you’re taking advantage of the rules. If your accountant isn’t talking to you about tax planning before the end of the financial year, you could be missing opportunities.
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Give you clear and understandable information
Accountants need to understand reams of information about laws and regulations. And that is why they often seem to be speaking another language!
But a good accountant should be able to translate regulation and rules to you clearly. It’s OK if you don’t grasp the details at first, just ask for it to be re-explained!
Your accountant should help you understand key things like:
- How profitable your business really is
- Where your money is going
- Whether your pricing is working
- How much you can safely take out of the business
If you’re just being handed a set of accounts with no explanation, you’re not getting full value.
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Support your business decisions
Your accountant should help you look forward. Whether you’re thinking about hiring staff, investing in new equipment or expanding your services, they should be someone you can turn to for guidance.
They can help you model different scenarios, assess affordability and understand the financial impact of your decisions. In short, they should help you make choices with confidence, not guesswork.
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Keep an eye on cash flow
We have a clear ethos at Concept Accountancy: Know Your Numbers! So many business owners don’t really know the true figures that illustrate whether their business is healthy.
For many business owners, the focus is fixed on profits. And that is important! But cash flow is the real key to keeping your business alive. It’s not helpful if, on paper, you’re selling goods and services profitably if your invoices aren’t being paid!
A good accountant will help you stay on top of your cash position and avoid nasty surprises.
This might include:
- Forecasting upcoming income and expenses
- Highlighting potential shortfalls
- Advising on payment terms or financing options
If you’ve ever been caught out by a sudden tax bill or a quiet month, you’ll know just how valuable this can be.
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Be accessible and approachable
You shouldn’t feel like you’re bothering your accountant when you have a question. Whether it’s a quick email or a longer conversation, they should be available and willing to help.
Equally important is how they communicate. You want someone who speaks your language, not just accounting jargon. A friendly, approachable accountant can make a huge difference, especially if finances aren’t your favourite topic.
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Embrace technology and efficiency
Modern accounting is about more than spreadsheets and paperwork. Most accountants now use cloud-based software that gives you real-time access to your financial data.
Your accountant should be helping you streamline your processes. This includes setting up digital invoicing, automating expense tracking or integrating your systems. It not only saves time but also gives you better visibility over your business.
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Act as a trusted adviser
Your accountant should feel like part of your team, not a distant expert you only call on once a year. They should understand your goals, your challenges and what success looks like for you.
Over time, they should become someone you trust…and not just with your numbers. They should also be aware of your plans. If your accountant is only in touch once a year, it might be time to ask whether you’re getting the support you really need.
And finally…
Your accountant should be doing much more than simply “keeping the books”. They should be helping you stay compliant, save tax, understand your finances and grow your business with confidence.
If you’re not getting that level of service, it’s worth having a conversation with them, or you could explore other options. It’s important that your accountant is someone you feel happy to chat to, not fear!
And if you’re still wondering, “What should my accountant do?”, then contact us today for a chat.
