These five signs could mean it is time to bite the bullet and seek accounting help. The growth of your home building business deserves your full attention.
If you’ve started your own home building business, you’ve already learned to wear many hats. You manage the hiring process, scheduling, vendor relations, client acquisition, and bookkeeping. And maybe you prefer being in control of everything.
But at what point do you need to hire out your bookkeeping tasks? You want to be sure your attention is focused on growing the business, and having someone else worry about the financial details could really benefit you.
Here are five signs it’s time to hire an accountant for your business.
1. Your business has grown substantially
Maybe it was simple for you to do all the accounting at the beginning when you just had a few employees and clients. But how much has that changed? If you’re managing the wages of many employees, pricing, and expenses that are getting to be more and more complex, this is a sign it’s time to hire accounting help.
Cash flow management will only get more complicated from here, as your business continues to grow, and you need to be focused on making sure that happens. Once you see major growth, it’s probably best to bring in a professional to assist you.
2. You’re overworked and distracted
If you take on a large variety of tasks each day, such as creating employee schedules, overseeing construction sites, managing problems, communicating with clients and vendors, and managing the books, you’re probably extremely overworked. Especially around busy financial periods, like the end of the year or tax time, if you find you’re spending too much time on financial details and are getting distracted from these other important tasks, hire an accountant.
Even if you have to hire someone temporarily, just during the busy months, it will take a lot of work off your plate. More and more accountants are doing freelance work, too. An NPR poll showed that one in five jobs in America is held by a contract worker, and it is predicted that within the next ten years, half of the American workers will be freelance.
Small businesses choose to hire freelancers if they can’t afford to take on a full-time salary, so consider going this route if you could really use the help during busy periods throughout the year.
3. You’re going through an audit
Audits happen for several reasons. When you have to deal with an audit, expect a lot of paperwork and processing, not to mention contact and communication with the IRS. This is why hiring an accountant is a good idea. These professionals will handle these tasks for you while still keeping you in the loop of what’s going on. You’ll probably still need to provide records and information, but the accountant can do much of the work for you.
It’s not worth letting the rest of the business fall to the wayside while you’re caught up in a messy audit.
4. You can afford it
Maybe you’ve always wanted to bring on an accountant but have been hesitant to start paying another full-time or part-time salary. Reevaluate this when your business starts to pick up and grow. If you can afford an accountant, bring one on. This is an essential role in any business, and you’ll appreciate the expertise they bring to the table, as well as that extra time you’ll have to worry about solving other issues.
You need help managing your bottom line
If your financial complications reach beyond busy periods during the year, an accountant can help. Say that your cash flow management is off or you’re not bringing in enough profit. A financial professional can evaluate your business plan and your history, and put you in the right direction for the future. Accountants can find the root of the problem and make recommendations and changes that will turn things around.
These professionals can also help you create and maintain financial reports to share with investors regularly. Or, if you need to apply for a loan, they can help you gather the required information and ensure that everything is represented accurately.
When you’re ready to learn more about your support options as a business owner, contact us at No Boundaries Advisors. We provide accounting services and financial review and acquisition services, and we help you build an effective strategic plan. We also provide bi-annual tax services and help you ensure your business is compliant with regulations. Contact us today to learn more about how we help home building businesses succeed.
