There’s so much to think about when running a PR agency and you can’t do it alone forever. For one thing, managing the financial side of your business can be a full-time job and you really can’t afford to take your foot off the gas for any length of time. Without external help, it’s all too easy to lose control of your finances and this can prove disastrous.
Many small businesses put off hiring an accountant for a later date, but in fact it pays to do this sooner rather than later. An agency is most likely to fail in its early days, and during this time any unnoticed accounting or bookkeeping errors could compound and devastate your budding enterprise.
A good accountant truly is an investment in the financial health of your business, both now and in the future. In addition to helping with day-to-day accounting tasks they can offer valuable business advisory services, acting as your virtual CFO or a ‘critical friend’. Of course, every business owner has a unique set of needs and circumstances, so here’s how to tell if it’s time for you to hire an accountant and get back to doing what you do best.
1. You’ve Made Mistakes Before
It’s no secret that accounting isn’t exactly simple. Innocent oversights and slight miscalculations are all too easy to make, but difficult to undo if they go unnoticed for too long. If you’ve made accounting or bookkeeping errors in the past, then you’ll already know just how much time and effort is required to rectify them. Furthermore, mistakes on your tax return could result in huge fines. If you’re struggling to manage your accounts and keep accurate records, then it’s time to seek help before these mistakes damage the financial health of your business or halt your growth.
2. You’re Short on Time
Running a PR business is time-consuming and there are always a hundred and one issues demanding your attention. With everything else going on, it can be difficult to find time to balance the books and ensure you’re on top of your finances. However, it’s important to do this in order to maintain accurate records for tax returns, financial planning and crucially, cash flow. If you don’t have time to look after your finances, you need to seek the help of a professional accountant who can.
3. Your Business is Growing
It’s never too early to hire the help of a professional accountant. When your business is going rapidly, it’s most definitely time to give up the DIY approach.
Rapid growth means new clients, new hires, more opportunities and many more demands on your time. However, this is certainly not the time to overlook your accounts. Hiring an accountant can help you to plan, manage your cash flow and use your income wisely.
As your business grows, new financial challenges will arise and it’s best to have an expert on hand to deal with them when they do. Growth is fantastic, but it can lead to instability and the right accountant can help to keep your business on the path to financial success.
Summary
If you can tick any of these boxes, it’s time to invest in an accountant to protect and improve the financial health of your business. Chartered accountants train for many years in order to receive their qualifications and have a wealth of knowledge and experience but you should also look for an accountant who has experience working with PR agencies and understands the nuances of PR. Don’t make the mistake of thinking you can manage everything by yourself forever. In order to become and remain a success, you need to take your finances seriously and invest in the financial health of your business.