Accountant - who needs one?

Author: Youth 2 Youth

Finding an accountant that you trust and is reliable is crucial for your businesses continued survival. Even though you may be scared that you can't afford one , a good accountant will save you money in the long term. Many people in business have learnt this the hard way - with big bills coming from the tax office that could have been avoided if they had had an accountant.

It is quite probable that you are already the bookkeeper for your business. This involves entering all of the transactions of the business ( paying bills and depositing revenue etc ) into an accounting package ( eg MYOB, Quicken ). However, it is then your accountant who checks these entries to make sure they balance, have been entered in the correct places and advises of any changes that need to be made. They also can assist with your obligations to the ATO ( Australian Taxation Office ) making sure you are up-to-date with things like your BAS ( Business Activity Statement ) or end of financial year requirements. By being up-to-date and on time with all of your payments and forms required of your business by the ATO and other government business organisations you will avoid hefty penalties which can severely affect your businesses continued operation.

Gaining advice from your accountant is another important role that they fulfill. Anything from where to place entries of transactions on your books, to budget assistance and of course tax advice both for the business and personally.

It is very important for you to keep your accountant in the know about your business and any changes that occur, as they rely solely on the information that you provide. Plus, the more information that you provide the greater their understanding of your business becomes and so can achieve the best results for you. If any of these changes you need to tell your accountant ASAP:

- your address has changed

- you contact details have changed

- your main place of business has changed

- you are no longer trading

- you change your business name

These are just bare essentials. Letting them know about your plans for your business will also be of benefit.

So, now you know that you need an accountant, where do you find one? Check out the Basic Biz Finance Advice article.

'Copyright 2003 Youth 2 Youth'

Disclaimer: This article is for your information, but it may not apply to or be suitable for your situation, so seek professional advice. Youth 2 Youth cannot be held liable for anything resulting from how you use the information provided in this article.