Starting and running a successful business requires entrepreneurs to understand a wide variety of business functions, including accountancy. Good bookkeeping can provide you with a clear picture of your current financial situation, as well as helping you plan for future growth.
Let’s be real – paying bills, chasing overdue client accounts, knowing how much you are owed, managing cash flow, running payroll and growing your business all at the same time, is tough!
At Gnosis, we offer a variety of tailored accounting and bookkeeping services to help power Bermudian businesses, including day-to-day bookkeeping, providing additional project resources, managing accounts payable and receivable, and even offering a virtual CFO (Chief Financial Officer) advisory subscription service.
Here's why hiring an accountant is a great idea for your business:
1. Expert Insight
Public accountants normally have extensive education, experience and expertise that can help entrepreneurs with setting up their own businesses. They will likely have assisted similar companies and have come across the same challenges you are facing as a new business owner. This knowledge means they can share how they’ve overcome similar obstacles in the past.
2. Accounting systems
Does the sound of debits and credits make you cringe and want to pull your hair out? Accountants normally have experience working with a wide variety of accounting systems, and can recommend a software solution that will fit your budget! Spending a few dollars each month on good accounting systems can save you hours of manual work and cut the amount of Excel tracking sheets required in half, at least! Accountants can even help with setting up the system and provide user training. If you are willing to learn the system and invest in training, it can help save on future monthly costs.
3. Determine profitability
Ultimately you want your business to be profitable – the only way this is possible is to have accurate and complete accounting records. Even though your company might be generating high amounts of sales, if you are not able to manage your costs / expenses, your business may be doomed for failure. As a business owner, you need to understand how you can use your assets to generate revenue. This becomes even more important if you are applying for financing from a bank or investor – they want to know if you will be able to meet your repayment terms.
4. Forecast financial estimates & budgeting
You need to plan - be proactive vs. reactive. This is even more important if you have employees who rely on you for their monthly income. You need to have a plan about how you are going to grow sales, at what point will you need to hire more staff, and how you will manage expenses. A good accountant will help you navigate this and assist with preparing forecasts and budgets based on company trends. Often, if you have borrowed money to fund your start-up, you will have to submit up to date financial records and forecasts/budgets to financial institutions. They will request this information in order to determine whether you will be able to meet your repayment terms.
Think accounting, think Gnosis. Gnosis is a team of business and technology experts providing unrivalled knowledge and advice you can trust – we want to grow with you.