Tag: Baton Rouge Financial Consultant

Three Tips for Running a Profitable Business | Baton Rouge CPA

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Establishing your own success is one of the most exciting and fulfilling aspects of being a business owner. Entrepreneurs may work independently or as part of a partnership. Regardless, they’re at the top of their game. Being the CEO of a small business entails a number of additional responsibilities. It is extremely valuable for business leaders to invest time in ensuring the profitability of their businesses. In order to do this, you must have a thorough understanding of matters such as overhead, revenue, and marketing strategies. Here are a few tips to make your business more profitable.

Take a look at your expenses.

If a business is interested in increasing profit margins, this should be its number one priority. Leaders should keep a detailed record of their monthly expenses. Equipment, supplies, employee salaries, liability insurance, and rental costs or property taxes are included in this category. Examine this list carefully to identify anything that is not strictly necessary or that your business spends an excessive amount of money on. By cutting down on certain supplies, finding smart ways to limit your insurance payments, or even deducting more expenses, you may be able to reduce your overhead. Your overhead can be reduced in a variety of ways. All of them begin with a careful examination of your expenses. The use of a certified accountant is a very effective way to ensure that this work is done accurately and efficiently. 

Identify growth objectives.

It is often the case that businesses without specific goals are their own worst enemies. You are more likely to fall into a state of complacency with your organization if you lack concrete objectives. Complacency, of course, leads to stagnation and a loss of profits. In order to increase profitability, businesses should map out where they wish to be in three months, six months, a year, and five years. Identify the number of clients you would like to acquire within each time frame, and develop strategies that will assist in achieving that goal.

Learn how to market online.

The majority of people looking for your business in their area will use the internet to locate you. Statistics indicate that 90 percent of Americans use internet search engines to locate local businesses. You are also included in this category. In order to gain a foothold in these searches and ensure that your business’s website is seen by as many people as possible, what can you do? Online marketing, in particular search engine optimization (SEO) marketing, is the answer. Search engine optimization marketing has one simple, powerful objective: to get a business’s website and content ranked as high as possible in search engine results. Today, where Google, Bing, and Yahoo dominate how we discover small businesses, this is an extremely crucial step in increasing profits.

We can help you make your business more profitable by providing expert advice and assistance. Contact us today. With our expertise, we can help your business reach new heights of success.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

The Importance of a Profit and Loss Statement for Your Business | Baton Rouge CPA

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Is your business successful? How do you know? You can take a look at your online reviews; positive reviews indicate that you are doing something right. You can analyze your customer base; serving new or more customers every month means that the word is spreading about your business. You can also search online for your business—if it shows up near the top of the search results, you’re on the right track.

However, these methods are abstract methods of measuring success. A business’s true success is determined by its financial performance. Does your business generate a profit? Are you losing money? If a business isn’t performing financially, it can fail.

You can measure business success through a profit and loss statement. Along with a balance sheet and cash flow statement (more on that later), it is one of the most significant financial statements for your small business. Continue reading if you’re ready to discover your true business success.

How does a profit and loss statement work? Why is it important?
A profit and loss statement, also known as an income statement, summarizes the income and expenses of a business for a given period. Profit and loss statements are typically generated monthly, quarterly, and annually.

Essentially, a profit and loss statement tells you if your business is profitable or losing money.

Profit and loss statements can be used to determine whether your business earns enough money to cover its costs and expenses. They also help to determine whether you can afford to pay yourself as a business owner and if your business model is sustainable.

Profit and loss statements can help you identify your top spending categories and where you might be able to make cuts if your profits aren’t where you want them to be. As a result, you can make informed business decisions-such as pricing your products and services-based on your lowest earning revenue streams.

Alternatively, if you’re doing well, the profit and loss statement can show you your top earning revenue streams, allowing you to concentrate on those.
A profit and loss statement can chart your business growth, reveal sales trends, and provide you with the information you need to make smart financial decisions.

Profit and loss statements consist of three key components.
Every income statement includes three main components, depending on your business’s income and expenses.

  1. The amount of money earned (or revenue received).
    A company’s income or revenue is defined as its operating revenue or revenue generated by its primary business activities, such as the sale of goods or services.

    Additionally, your profit and loss statement will include non-operating revenues or other income generated outside of your core business operations. Income from business capital, rental income, or strategic partnerships (such as advertising) all falls into this category.

    A company’s income statement may also include gains or one-time non-business activities that result in income, such as the sale of a company vehicle or long-term assets.
  2. Expenses
    The first expense on the profit and loss statement is the cost of goods sold. Materials and labor costs are included in the cost of goods sold by your business.

    An organization’s primary expenses include employee wages, sales commissions, and utilities (such as electricity).

    Other expenses or secondary expenses will also be included in the profit and loss statement. In general, these expenses are related to non-core business activities, such as paying interest on a loan, paying taxes, or paying one-time expenses such as legal fees.
  3. Net income (or revenue) amount
    Last but not least, the profit and loss statement will result in a net income figure. An increase in this number indicates that your business is profitable. In the event that it is negative, you have spent more than you have earned.

    Net income is calculated by taking into account all expenses, even unusual or one-time expenses. Thus, you can determine whether you earned or lost money during a given period. However, net operating income may be a better indicator of your business’s day-to-day operations.

    Profit and loss statements: how to prepare them.
    How does a profit and loss statement look in practice? What is the best way to create one? Using accounting software such as QuickBooks, generating an income statement is nearly instantaneous. Your income statement can be accessed and reviewed at any time using QuickBooks, which tracks and organizes your business’s accounting data for you.

    In the event that you do not use accounting software, a bookkeeper can prepare this report for you. If you are a new small business owner, an Excel income statement template may be a helpful starting point. As your business grows, it will become more difficult (and less accurate) to keep track of everything in Excel.

    You can rely on our accounting firm for all of your accounting needs. If you require assistance preparing a profit and loss statement or have questions about how to do so, please contact us. We are always available to assist you.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

Protect the Fruits of Your Labor With Wealth Management | Baton Rouge CPA

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Many people, especially small business owners, require advice about their financial planning—pensions, investments, retirement planning, and business protection, to name a few. A knowledgeable financial adviser can prove crucial to protecting your legacy.

Wealth management: what is it?

After a customer has signed a contract with a wealth management firm, the company provides advice to the customer on how to effectively manage their personal finances or investments.

What are the benefits of hiring an accountant?

The majority of accounting firms have a network of independent advisers who can provide impartial advice on any of the following topics:

Pensions: Are you considering investing your pot in order to receive an adjustable income? Do you plan to mix your pension options? Would you like to contribute more to your pension? Choosing the right accountant can be beneficial.

Planning for retirement: It is critical to prepare for tomorrow and beyond. When you reach retirement age, you may have amassed large sums in pensions, redundancies, or inheritances that you are uncertain how to protect.

Management and advice on investments: Understanding all the opportunities and associated risks will help you turn your pennies into pounds.

Tax planning for inheritances: Protect your family’s financial future, reduce your tax exposure, and prevent poor investment decisions.

Life insurance and critical illness coverage: There is no one who wants to think about the unforeseen and unexpected events that life sometimes brings. Therefore, it is all too easy to overlook the benefits that protection insurance might provide financially in the event of an accident, illness, or death. However, we insure our cars and houses without hesitation, so why not insure ourselves and our family members as well? Make sure that your loved ones don’t have to worry about money should the unthinkable happen.

Protecting your business: You need to ensure your business is adequately protected in case a key employee leaves. Directors and employees are fundamental to the long-term growth of a business.

Will writing: Many people do not have one, or believe it is too challenging to arrange, although it is one of the most significant documents you can have. With the help of an advisor, you can specify what should happen to your estate (whatever you own) and financial assets after your death.

Mortgages: Obtaining advice on the most appropriate mortgage for your circumstances will give you peace of mind when committing to such a major investment. As opposed to heading straight to your bank (who can only offer you their own products), advisers look around the market to find the most competitive rate for your situation, whether you are a private homeowner or a developer/landlord.

Whether by choice or not, life is often complex and inevitably involves change. A sound financial plan should be multifaceted and flexible enough to accommodate life’s unforeseen changes where possible. A professional adviser will make value-for-money recommendations and solutions based on your unique circumstances.

It is our mission as accountants to communicate complex information to clients with objectivity, integrity, and clarity in order to help customers readily comprehend the knowledge and advice that we are sharing with them. Please contact us to schedule a consultation if you would like to discuss any specific investment or gain advice regarding our wealth management services.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

6 Tips for Successful Business Accounting | CPA Baton Rouge LA

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In order to succeed as an entrepreneur, you must be structured and ensure that nothing is overlooked. It is essential that you have an action plan in order to achieve your future goals. In addition, you need to know how to reach your customers effectively through marketing. It is important to stay on top of your finances to make the best decisions for your situation. Keep all invoices and receipts for this purpose. Your financial situation will be reflected in these reports.

Here are some tips for managing your business accounting.

Organize your expenses by category
Separate your receipts into different envelopes or put them in a compartmentalized binder. You may not be able to deduct all expenses, so categorize them based on deductibility. Put a special stamp or write a note by category (100% deductible/partially deductible/non-deductible).

Keeping track of your sales evolution
If you use accounting software, you will probably know the evolution of your sales. Additionally, you can pull out a cash flow statement to see how profitable the business is now. If you are not profitable, you may want to consider these options:

  • Take a look at your prices. Do you set the right price for your services? Calculate your hourly rate using this magic formula if you’re unsure:
    An hourly rate is calculated by multiplying the desired annual salary by the annual taxes, expenses, and holidays you would like to work.
  • Are you targeting the right niche with your marketing strategy? Are you using good marketing tactics and strategies to reach your potential customers?
  • Are your expenses too high? Is there any area where you could save money?
  • Take a look at your service offering: is it comprehensive enough?

Decide on a billing method
In most cases, entrepreneurs have to charge their customers. Keeping track of your invoices and making sure they are professional and personalized is therefore essential.

Reconcile your bank accounts on a regular basis
There is a tendency for entrepreneurs to neglect this part of their business. Bank reconciliation (or account reconciliation) is essential if you want to see how your finances are doing. Sometimes figures in your accounts don’t match those on your bank statements and vice versa.

Examine your financial statements on a regular basis
When you are just starting out, it is a good idea to review your financial statements on a monthly basis. In this way, you will be able to gauge your financial health more easily. You will also be able to verify whether you are following the financial forecasts in your business plan. Quarterly financial statements are sufficient once you move out of the startup phase.

Get in touch with your accountant
A good financial decision can only be made by an entrepreneur with the support of someone they can rely on. Your accountant can advise you on what steps to take next and what strategies to implement. Managing your business is your job, not doing the accounting.

You can count on our accounting firm for help. We invite you to contact us today for a consultation.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

Accounting Is Essential For Your Start-Up | Baton Rouge LA Accounting

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The process of starting a business often requires entrepreneurs to understand and complete a variety of business functions. Accounting plays an important role in starting a small business. Although entrepreneurs may fear sifting through endless piles of financial documents, accounting often provides the clearest picture of their business’ success. For tax and legal purposes, entrepreneurs must keep copious records regarding their small business startup.

Small businesses that started as a hobby or side business often use cash basis accounting. When cash changes hands, this accounting method records and recognizes the transaction. It provides entrepreneurs with a simple method for maintaining accounting records. Companies may need to switch to accrual accounting as they grow and expand. It records and recognizes transactions as they occur, regardless of whether money changes hands.

Estimates of future financial performance
Banks, lenders, or investors may require entrepreneurs to provide a financial forecast for their new venture. This information is essential in order to obtain outside financing for the startup costs of a business. An entrepreneur usually writes a business plan, which includes an economic forecast, expected monthly expenses, and a pro forma financial statement. Lenders and investors heavily rely on accounting information to ensure the entrepreneur has an accurate and reliable picture of financial expectations.

Budget Expenses
Creating a budget is one of the most important accounting functions for a small business. Various aspects of the business are outlined in budgets. Capital may be budgeted for hiring employees, advertising strategies, inventory purchases, and other business expenses. It is important for entrepreneurs to stick to a budget in order to avoid wasting money on non-essential business expenses. Small businesses can use budgets to track how they spend capital on consumer goods and services.

Analyze profitability
In order to determine a company’s profitability, it relies heavily on accounting. Despite being able to generate high amounts of revenue, a small business may fail if it does not generate enough profits. It is important for entrepreneurs to understand how well they are using assets to generate services and how the cost of inventory compares with the profit margin of the company. In order to ensure that they are repaid in a timely manner, banks, lenders, and investors may also require small businesses to release financial information.

Expert Insight
An individual public accountant (CPA) or public accounting firm can provide advice to small businesses. When helping entrepreneurs set up their small business accounting operations, professional accountants typically offer a wealth of education, experience, and expertise. Small businesses may also be able to benefit from lower rates from these individuals to help defer the costs of starting up. A professional can also help entrepreneurs file tax returns and ensure that all business matters are accounted for at year’s end.

Our accounting firm can help you get started on the right path if you are looking to start your own business. Schedule a consultation with our team of experts today.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

Why is Accounting the Most Important Thing for Your Business? | CPA in Baton Rouge LA

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As a business owner, you know that there are a lot of things to keep track of. You need to make sure that your product is high-quality, that your employees are happy, and that your customers are satisfied. But what you might not realize is that accounting is the most important thing for your business.

Why is accounting important?

Accounting is critical for any business, large or small. It provides owners and managers with information that they can use to make sound decisions about the company. Accounting also helps businesses track their progress and performance over time.

There are many different types of accounting, but all businesses should have at least a basic understanding of financial accounting. Financial accounting focuses on the financial statements of a company, which show the company’s financial health. These statements include the balance sheet, income statement, and cash flow statement.

While accounting may seem like a dry and boring topic, it is essential for all businesses. A solid understanding of accounting can help you make better decisions about your company and improve your business’s bottom line.

The benefits of good accounting practices

There are many benefits to good accounting practices. Perhaps most importantly, good accounting helps ensure the financial health of a business. It can also help businesses save money, avoid legal problems, and make more informed strategic decisions.

Good accounting practices are essential for any business, large or small. By keeping accurate records and making sound financial decisions, businesses can avoid many common pitfalls and set themselves up for success.

The importance of financial discipline

Many people believe that financial success is all about making a lot of money. While it is true that you need to have a certain amount of money to be financially successful, it is not the only factor. One of the most important things to remember is that financial success is about more than simply making money. It is also about having the discipline to save and invest that money wisely.

Without financial discipline, it is very easy to spend all of your money and never achieve your financial goals. If you want to be financially successful, you need to be disciplined about how you manage your money. You need to have a budget and stick to it. You need to make sure you are saving enough money for your future. And you need to be willing to make sacrifices in the present to achieve your long-term financial goals.

The bottom line: how accounting can improve your business.

Accounting is critical to any business, large or small. It provides essential information about a company’s financial health and can be used to make key decisions about the future of the business.

While many businesses view accounting as a necessary evil, it can actually be a powerful tool to help improve your business. Our accountant in 70808 says that by understanding the basics of accounting and using it to your advantage, you can make your business more efficient, more profitable, and more successful.

In conclusion, accounting is the most important thing for your business because it provides critical information that you need to make sound financial decisions. Without accurate and timely financial information, it would be very difficult to run your business effectively. If you need assistance with your accounting, please contact our Baton Rouge accounting office today to schedule a consultation.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

Effective Inventory Management Tips | Baton Rouge Accounting

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A company’s inventory management is a crucial part of its profitability, but many small businesses don’t practice good inventory management when it comes to the products they sell. The shortage of inventory in some businesses means they are unable to supply enough available products to meet customer expectations. Often, this drives customers away, sometimes permanently to other businesses. 

Alternatively, some businesses go the other way, overstocking items just in case. Although your customers will always have the items they need, this strategy may lead to you losing money. In addition to tying up valuable cash flow, excess inventory also costs more to store and track. 

Inventory management lies somewhere between these two extremes. It takes more work and planning to achieve an efficient management process, but your profits will reflect your efforts.

The following are tips to help you effectively manage your inventory for increased profitability and cash flow.

  1. Determine which items are most important.

Inventory can be classified into priority groups to help you understand what items you need to order more of and more frequently, as well as those that are important to your business but may cost more and move more slowly. Typically, our Baton Rouge, LA accountant suggests separating your inventory into groups A, B, and C. A-group items are higher-ticket items that you need fewer of. The C category includes items with lower costs that sell quickly. B items fall in the middle: they have a moderate price and move out the door more slowly than C items but quicker than A items.

  1. Monitor all product information.

Keeping track of product information is important for inventory management. Information should include SKUs, barcodes, suppliers, countries of origin, and lot numbers. Consider also tracking the cost of each item over time so you’re aware of factors that may affect the cost, like scarcity and seasonality.

  1. Conduct an inventory audit.

Businesses sometimes conduct a comprehensive count once a year. Other companies spot-check their hottest items monthly, weekly, or even daily. Many do all three. Regularly check your inventory to ensure it matches what you think you have, regardless of how often you do it.

  1. Analyze the performance of suppliers.

Inventory problems can be caused by an unreliable supplier. If your supplier is habitually late with deliveries or frequently shorts your orders, it’s time for you to take action. Discuss the issues with your supplier and figure out what the problem is. As a result, you may need to switch partners, or you may run out of inventory due to uncertain stock levels.

  1. Follow the 80/20 rule when dealing with inventory.

80% of your profits come from 20% of your stocks, as a general rule. For this 20%, prioritize inventory management. You should know how many of these items you sell in a week or a month, and closely monitor them. Don’t neglect the items that make you the most money; manage them properly.

  1. Maintain consistency in how you receive stock.

It may seem obvious to make sure incoming inventory is processed, but do you have a standard process followed by all your employees, or does each employee handle incoming stock differently? The tiniest discrepancy in how new stock is taken in could have you scratching your head at the end of the month or year, wondering why your numbers don’t align with your purchase orders. Check that all staff that receives stock does it the same way and that all boxes are verified, received, and unpacked together, accurately counted, and checked for accuracy.

  1. Monitor sales.

Even though this seems like a no-brainer, it goes beyond simply adding up sales at the end of the day. Keeping track of what you sell and how many items you have in stock should be done daily. In addition, this data needs to be analyzed. Are you aware of when certain items sell faster or drop off? Is it a seasonal thing? Do you sell certain items on a particular day of the week? Are certain items always sold together? Maintaining control of your inventory requires understanding not just your sales totals but how items sell as well.

  1. Place your own orders for restocking.

Vendors sometimes offer to reorder inventory for you. The idea seems beneficial at first glance—allowing someone else to manage the process for some of your items can save you time and staff. However, your vendors may not have the same priorities as you. They want to move their items, while you want to stock items that will be most profitable for your business. Check your inventory and order restocks for all of your items yourself.

  1. Invest in inventory management software.

If your business is small enough, you can manage the first eight items on this list manually with spreadsheets and notebooks. However, as your business grows, you’ll spend more time managing inventory than you do on your business or risk your stock getting out of control. Inventory management software makes all these tasks a lot easier. You should make sure that any software solution you choose meets your needs, offers the analytics your business needs, and is easy to use.

  1. Make use of technology that integrates well.

Stock management doesn’t have to be limited to inventory management software. Mobile scanners and POS systems can help you stay organized. Prioritize systems that work together when investing in technology. Having a POS system that can’t communicate with your inventory management software isn’t the end of the world, but you might spend a lot of time transferring data from one system to another, which can result in inaccurate inventory counts.

Inventory management is a crucial part of the financial management of your business. For more helpful information, contact our accounting firm in Baton Rouge, LA to schedule a consultation.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

How Accounting Helps You With Business Decisions | Best CPA Baton Rouge

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Accounting and financial reports might seem complicated and time-consuming, but they are crucial to the success of your business. When it’s time to make big decisions, accounting data helps you choose the option that’ll help guide your business.

The following are five ways accounting helps you make decisions in your business. 

Loans for small businesses

Businesses, both new and established, may need to consider a business loan. A startup or an expansion of an existing business might require financial backing. So, how do you know if you need a business loan? It’s all about accounting.

Using accounting information, you can determine whether your company has enough money to fund its venture or if you need financing to do so. Lenders need your accounting information to determine whether you’re a good candidate for a loan. They need to know you can pay back what they lent you, plus interest. 

Your financial data enables creditors to make informed decisions about the amount of money you can borrow. A lender may refuse to extend you a loan if your accounting information is poor, if you lack money or collateral, or if you have already accumulated debt. Regardless, they need to look at your accounting records. 

For business loans, you’ll need the following documents:

  • Income statements
  • Statements of cash flow
  • Business tax returns
  • Balance sheets

Operating a business

By using accounting, you can make better decisions about your general day-to-day operations. Taking a look at your accounting information allows you to determine how efficient and effective your current procedures are. 

To check whether your financial statements are up-to-date, you can compare them with industry standards. If not, you can make the necessary changes to make your operations more efficient.

Your accounting information also shows how profitable your business is, meaning how much you make from the effort you put in (your return on investment). Having a lot of sales doesn’t mean your business makes a profit. When you have a ton of debt to pay off, it might cancel out the money you make from sales (your revenue). Accounting lets you know how well you’re using your assets (items of value to your business) to create your products or services. Accounting allows you to compare your cost of sales to your profit margin. 

Capital investments

In a limited company by shares, investors can buy shares of the company and receive a share of its profits (known as dividends). Potential investors use accounting to decide whether or not to invest in your company—or how much to invest. 

What are the ways investors use your accounting information? The purpose of this is to determine your company’s value and to perform a credit analysis to assess your ability to provide a fair return on investment. Accounting assists investors in making decisions by showing them your company’s financial health. 

As an example, an investor might ask to see your income statement to determine where your income comes from and if it’s consistent. Investors may invest in your company if you show a steady income. Accounting serves to show investors the potential profit and risk of investing in your business.

Creating a budget

Any business needs a budget to prevent overspending and wasting money on non-essential expenses. Additionally, you can use your budget to see where you have spent money in the past and determine if those expenses were necessary to provide your products and services.

Accounting data helps you make well-informed decisions about how to spend your money. When writing your budget, you should use accurate, complete, and current financial information. A CPA can assist you and answer questions like these.

What was your profit or loss last year?

Has the cost of sales gone up or down?

Are there any items on your website that don’t sell that you can remove?

Is it possible to replace items with anything that will be more profitable?

Among the documents you need for budgeting are:

  • Accounts receivable
  • Accounts payable
  • Beginning balances
  • Balance sheet
  • Profit and loss statements

Having these documents available will facilitate the decision-making process when writing your budget.

Marketing

To attract more clients or customers, businesses need to spread the word about what they offer. Both marketing and advertising are essential expenses for marketing your business. 

Accounting shows you how much you need to spend on marketing and advertising. It also shows you how much money you made from those campaigns. 

If you spend a certain amount on a paid ad campaign but don’t see a noticeable increase in traffic or sales, you might need to shift your focus. Alternatively, your campaign might have resulted in a big increase in sales, but the campaign cost more than the revenue increase. 

Accounting plays a critical role in helping businesses define and manage their financial health. Accounting is essential to making informed financial decisions about everything from marketing to business loans. Getting it right is essential! We are here to help you. Contact our accounting firm today to learn more.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

Working With a Remote Accountant | CPA Baton Rouge LA

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Before COVID-19, remote accountants might have seemed crazy, but COVID-19 has proven that remote accountants work great and are here to stay. In the last year, several small businesses have had to deal with unforeseen expenses. During various phases of your business’s development and growth, small business accountants can assist.

It is common for small business owners to fall behind in accounting and bookkeeping, but this is the last area where you want to make mistakes. In tough economic times, managing your finances is key to a successful business. Those who work closely with an accountant will tell you that a small business accountant is an absolute necessity. According to a study conducted by Intuit, the maker of QuickBooks, TurboTax, and other financial software packages, 89% of small businesses see more success when they work with an accountant or advisor.

Your company may benefit from hiring an accountant at different stages of its growth. Every step of the way, from a business plan to the formation of a company to a tax audit, an accountant can ease your burden.

Small business owners who want to save money may think they can not afford an accountant. But consider how long it would take you to do certain tasks (such as taxes), and ask yourself, would that be a good use of your time? As a result of the pandemic, especially during uncertain times, it is paramount that you focus on other core areas of your business, such as retaining loyal customers and generating new and creative marketing ideas.

Let’s say it takes you 13 hours to file your taxes and your time is worth $100 per hour. Filing your taxes yourself would cost you $1,300. You always run the risk of making mistakes, especially if you’re multi-tasking like most business owners. Furthermore, there is much more to accounting than just filing your taxes, so the time spent may exceed 13 hours.

In the past few years, remote accounting has become more popular. You must facilitate your remote accountant with the proper records and accounting tools from your side for them to keep your books reconciled and your taxes straight throughout the accounting-from-home landscape. Remote accounting is not only on the rise but is also here to stay.

Consider implementing these trends to ensure your small business’s financial success.

  • Use cloud-based accounting software: Cloud technology has emerged as the most integral component of accounting technology trends. Due to the technology built into cloud-based accounting software, you can share access with your accountant from anywhere.
  • Embrace automated accounting: As a small business owner, you have a lot on your plate. Rather than wasting time on redundant, labor-intensive chores, you can automate them with software and focus on things that matter.
  • Strengthen Your Cyber Security: Hackers target small businesses more often since they are more likely to be at risk. It is important to remind your employees that they are just one click away from a cyber attack. Remind them to use strong passwords and to limit access to networks and buildings.
  • Gain Comfort with Forecasting & Analytics: In today’s business world, small businesses are likely to use forecasting, analytics, and budgeting applications to better understand their cash flow and make better decisions. It will give you better visibility into your business, better operational efficiency, deeper financial insight, and keep you on top of your business.

Although there are many types of virtual accounting services available, there is only one that is right for your business. Choosing a service with experience in your industry will enable them to offer the best advice for your company.

Don’t assume you should do your bookkeeping just because you can. Let us help if financial tasks are taking a lot of your time and are affecting the success of your business. It will free up your time so you can focus on growing and running a successful business. Get in touch with our accounting firm today.

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808

5 Reasons Your Small Business Needs an Accountant | Baton Rouge LA CPA

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It is challenging to run a small business, and there is not always enough time to handle every task effectively. If you are allowing some tasks to slip through the cracks, or if you would like to prevent that from happening, it’s time you considered hiring an accountant. Let’s take a look at the benefits:

It will save you time.

As a small business owner, your most valuable asset is your time. It is possible for business owners to manage and save time by streamlining tasks, assigning the right employee to the job, and working efficiently. If you are responsible for managing all of your company’s accounting and payroll functions, you may be feeling excessive pressure to get everything done. Keeping records may require you to learn a new accounting software program, but you do not have the time to do so. Bookkeeping, payroll, and other general accounting tasks should be performed by a professional to save time and avoid costly errors.

You will save money.

As a business owner, it is understandable that you wish to reduce costs. In the end, that is what intelligent owners do: minimize expenses and maximize profits. However, if you think hiring an accountant will be an unnecessary expense, think again. It may seem as if you are saving money by performing your own accounting, but in the long run, an accountant can save your business a great deal of money. They can reduce the risk of costly tax errors, provide sound advice about business decisions, and help you make the most effective business decisions. 

You will receive valuable advice.

Managing your taxes and payroll is just one aspect of an accountant’s advice. Almost every business decision you make involves financial considerations. Whether you are planning to hire new employees, launch a new product, or expand your operations, you will need to know the projected costs, any additional tax implications, and your potential return on investment. All of these issues can be addressed by your accountant, which puts you in the best position to make the best decision for your business.

Your business plan will be supported.

This is essential for new startups or anyone planning to launch a business. Accounting firms draw upon their experience to assist business owners in understanding how much money their businesses should be generating and projecting out over those first few crucial years so they know what to expect. Information such as this is useful when preparing the financial section of your business plan because it permits you to set realistic goals with respect to expenses and cash flow.

You will benefit from sound financial advice.

An accountant is an expert in financial matters. As long as you are not in the same profession, they are better equipped to make the most of your money than you are. Choose an accountant who has experience working with clients in the same business as yours, so that they will understand what you do and what to expect. This is of particular importance when it comes to making major financial decisions. Using your accountant’s experience, you may be able to minimize risk and achieve a better outcome than if you made uninformed financial decisions.

Remember, you can count on the experts for assistance with the aspects of your business that matter most, such as finance. With the help of a qualified accountant on your team, you will be able to enjoy these benefits and more by freeing up your time to focus on what matters most-running your business-thus reducing your stress levels. Your business will run more smoothly, and there will be a lower probability of errors in critical areas such as taxes and payroll.

Take advantage of the insights we have gained from years of experience working with small business owners. Contact Apple Guerin Company LLC today to schedule a consultation with our Baton Rouge CPA .

Apple Guerin Company LLC
Phone: (255) 767-1020
6421 Perkins Road, Bldg. A, Ste. 1B
Baton Rouge, LA 70808