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The benefits of hiring a specialist accountant in Liverpool

Liverpool is a great city for business. It already has good infrastructure, transport links, a big pool of well-trained workers and much more besides. In short, it has everything a company needs to be successful.

Importantly, the council and other bodies are looking to the future and working to make Liverpool an even better place for companies to do business. Take, for example, transport connections – both the Mersey Travel Transport Plan and the Long Term Rail Strategy look forward at least 30 years.

Gain a competitive edge

Unsurprisingly, more firms are choosing to set themselves up in this forward-looking city. This is great news for you, because it means that you have a constant supply of new potential customers. However, you also end up having far more competitors over time because some of these new firms will no doubt be offering the same products and services as you.

As a result, you need to work smarter to gain a competitive edge and keep it. Hiring a Liverpool accountant with experience in your sector can really help you to do this.

Benefit from their specialist experience

Over the years, somebody who has worked in your industry will have amassed a great deal of valuable knowledge. They will have a far better understanding of your business than someone who is completely new to the sector. This is knowledge you can potentially tap into and benefit from.

A good example is the dentistry industry, where finances are often complicated. Dentists need expensive equipment, specialist personnel, and ongoing qualifications. A good understanding of lease financing, NHS billing practices and research finance in this sector can make a big difference to how successful a dental practice can be.

An everyday accountant can handle the books of a dentist, but it will take them time to find their feet and gain a full understanding of certain aspects of dentistry financing. The dentist that hires them will inevitably have to spend time explaining the ins and outs of certain aspects of his or her business. This can be time-consuming. If you hire a Liverpool accountant that has already worked in your sector, they will not need anywhere near as much training and input from you.

An understanding of seasonality

Many firms work in a seasonal way. At some points in the year, they are swamped with work, while at others they are left searching for clients. This pattern of work creates unique cash flow issues. An accountant who is used to working in your sector will be aware of this and should be able to suggest ways to deal with this difficult business challenge.

They will also tailor your contract so that there are hours spent on managing your accounts at your busiest times. This makes sure that your accounts are always 100% up to date, so at any point, you know exactly what the financial health of your business is. This is vitally important in today’s fast-moving world when you need to quickly decide whether you are financially strong enough to take on a new opportunity.

Make it easier to secure funding

All businesses need access to cash in order to expand and take advantage of new opportunities. An accountant with experience of working in your industry will know enough about your firm to be able to put together a strong business plan when you need one. This can be very important when it comes to securing finances, especially from traditional finance sources like banks.

Relevant business connections

Occasionally, you can secure funding from grants and other sources. An accountant that has already worked in the sector is likely to have had to secure finance for other clients using these methods. This means that they know the ropes and can put together a successful application for you.

Plus, over time, your accountant will have built up good connections within the sector in which you operate. Therefore, you can potentially tap into their network to garner information and build profitable business relationships.

Reporting enhancements that provide better information

Accountancy reports are vital for any business. Without them, it is impossible to see how you are doing. You need to know which products and services are making you the most money and which are eating into your profit margins.

Your accounting reports also help you to spot issues like a lack of cash flow at an earlier enough stage to do something to avert disaster. The quality and accuracy of your accountancy reports is vital to your business surviving and thriving.

A firm of Liverpool accountants that has a good understanding of your business will be able to provide you with a better suite of reports than one that without knowledge. For example, if your business is seasonal, your accountant will be able to factor that in when producing your profit and loss reports. They will include the seasonal swing, so you are not left worrying unnecessarily about a downturn in business that is actually quite normal.

A good understanding of specialist tax legislation

Your accountant needs to be familiar with the legislation that impacts how you do business. For example, if you work in the construction industry, a good accountant will be very familiar with the legislation surrounding whether someone should be paid and taxed as a contractor or as an employee.

This is a distinction that is particularly important if your accountant is going to take care of your payroll, as getting it wrong can lead to all kinds of problems including prosecution and fines. Besides that, while you sort this issue out, you could find yourself without enough staff to complete the job.

Hire your accountant as you would any other team member

As you can see, there are several reasons why it makes sense to hire an accountant that has experience of working in your industry. When choosing an accountant, you need someone that can quickly fit in with your company and the way you work. After all, your Liverpool accountant is actually a very important part of your team.

Therefore, when you hire one, you want to approach the task in the same way you would when hiring a new employee. For most business owners, relevant experience is high on the list of what they are looking for in their employees. That makes it certainly something you need to think about when hiring a new accountant.

Posted by Louise
March 2, 2018

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