Small businesses often start when a passion is transformed into a company. An auto service shop may be established because of an owner’s love of cars. A restaurant may open because of an owner’s enthusiasm for a particular cuisine. Business owners are motivated by turning their passions into profit. However, day-to-day financial responsibilities — including bookkeeping, payroll, taxes and other accounting functions — are necessary for all small businesses whether the owner has a passion for them or not.
Regardless of whether you have the knowledge, time or skills to perform accounting functions, they are critical and required to effectively manage a business. For many small businesses, outsourcing accounting and tax services is an ideal solution. In fact, there are many benefits to outsourcing these services and Gift CPAs can help with locations in Harrisburg, Mechanicsburg, Myerstown, Ephrata and Lancaster.
“I’ve been client of Gift CPAs since 2015,” said Diane Hodges of Hodges Veterinary Group located in Lancaster. “Their small business advisors are always helpful with accurate accounting advice and are prompt in replying which is very important when you are running a business. Their attention to detail and commitment to finding solutions no matter how big or small the problem is unmatched. We appreciate the support and partnership their outsource accounting services provide. Working with the Lancaster Gift CPAs team has been a great experience.”
Here are five reasons why hiring an outside accounting and tax service may be right for you and your business.
1. Free Time to Do What You Do Best
Your business needs your full attention to grow and thrive. While it is tempting – and sometimes necessary – to take on all the aspects of running your business, outsourcing accounting functions can free up valuable time to focus your talents directly on what you do best to drive your business. Additionally, outsourcing bookkeeping, payroll and tax services can ensure that these functions are handled by experts who are trained, skilled and experienced in performing them. You and your business will benefit in the long run.
2. Maximize Tax Deductions and Profit
Accounting and tax rules are not only complex, they also change regularly, leaving small business owners who don’t have time or expertise to focus on these matters at a disadvantage. According to a survey by QuickBooks, only 56% of small business owners take full advantage of tax deductions. Oversights can mean missed tax credits and lost net income for your business. Outsourcing your accounting and tax functions to an expert like Hodges Veterinary Group in Lancaster does can help you maximize tax deductions and, in turn, maximize your profit.
3. Easily Enhance Your Business’s Cash Flow
Hiring an outside accounting service can help ensure that your finances are in order to maintain a positive cash flow. In partnership with an outsourced accountant, you can identify efficiencies in expenses, uncover ways to better put your cash to work, and implement methods to maximize cash inflows to your business. As an advisor, an outsourced accountant also can help strategize how to protect your business from periods of negative cash flow.
4. Receive Robust Financial Reporting
The importance of complete and accurate financial reporting for your business cannot be overstated. To understand and evaluate the performance of your business, and make sound short- and long-term business decisions, it is crucial to have up-to-date financial statements at your fingertips on a regular basis. Outsourcing accounting for your business will ensure you receive a package of key financial statements monthly, as well as other important financial reporting for tax and compliance purposes.
5. Gain Access to a Trusted Advisor
More than helping to manage a business’s finances, an outsourced accounting service also can serve as a trusted professional advisor. What is the most advantageous structure for your business from a tax perspective? Is there a way you can reduce your invoice-to-pay cycle time? Would it be wise to obtain a business line of credit? If so, how do you best position your business to apply? An outsourced accountant can be tremendously valuable to address these questions and others that have a strategic impact on your business.
Lastly, even better than hiring a sole outsourced accountant is hiring an outsourced accounting team. Outsourcing to Gift CPAs offers access to a team of bookkeeping, payroll and tax specialists who work together to keep all the accounting aspects of your business functioning like clockwork. Gift CPAs can grow with you as your business grows, just like we do for Hodges Veterinary Group in Lancaster, with customizable packages of services tailored to your needs.
Get Connected Today
Contact Gift CPAs for more information on our full scope of accounting and business services. We have years of experience working with small businesses to help with bookkeeping, taxes and other business needs. Make an appointment to meet virtually or at one of our five locations in Harrisburg, Mechanicsburg, Myerstown, Ephrata or Lancaster!