A lot of business owners think that most office skills can already be handled by the people they hire and train. But not accounting. If you’re running an oil and gas company, accounting should be left to the pros. Here’s why you should hire a professional accountant.
Is less costly
Some might think that hiring another person will only add up to the overhead cost of a company. But, hiring an accountant will be the opposite of that. An accountant can actually help you find areas in your business where you can save money by going for a tax reduction.
Accountants are well versed when it comes to figuring out tax breaks. So, if you hire an accountant, they can help you come up with a strategy for your company to be able to maximize tax reductions for the end of the year.
Helps you focus
An accountant will take care of the bookkeeping side of the business. They will also help you figure out how much tax you will pay by the end of the year. This way, you won’t have to burden yourself with those details. In turn, you can focus more on expanding your business.
Helps you decide
Another advantage of having an accountant on board is that they can help you decide on certain matters. Say, would it be the right time to add more items to your inventory? Or, should you wait for your business to triple its revenue?
An accountant can tell you how well, or how bad, your company is doing financially. You’ll then have a clearer view on how to use the money that your company has.
You might think, for instance, that because your company is doing a lot better financially this year, you could afford to add another person in your sales department. You might even think that you could afford to ramp up your marketing plans.
But your accountant might see things differently. They might see that this year, your company will encounter more expenses, and adding another person to the fold might not be the wisest thing to do. That’s what your accountant is for: advising you if the expenses you’re about to make will be beneficial or detrimental to the company.
Protects your business
Another advantage is that an account can help you keep your business from making mistakes that would merit an audit. Mistakes such as tax form errors, excessive write-offs, and other questionable financial decisions can alert the IRS and make them audit your company to see if you’re doing anything illegal.
If you don’t have the full scope on income tax issues, you could do something wrong that will be construed as illegal. If you have an accountant to help and guide you through these tax mazes, then you’re well protected.
If you really want your company to thrive and also be protected from erroneous financial decisions or tax issues, you should hire an accountant to help you. It’s one investment you’ll never regret.