When you suddenly take on the responsibility of being a business owner, you acquire staff, property, assets, and funds.
Without knowing how to govern these components, you will likely end up feeling stressed, burnt out, and worried.
This is what business sellers fear, as they would prefer to see you uphold the business’s reputation and make it a success.
Working alongside an accounting firm in Melbourne is one fundamental way to ensure that you are well-equipped once the business is in your hands.
Bruce Edmunds is an accounting firm in Bayside that can assist you with buying and setting up a business, as well as any other phase of business management or ownership you’ll go through.
When should you hire an accountant for a small business?
Small business accountants should be accessible throughout every stage of your business acquisition and growth.
Starting with a big-picture scenario, here are several phases of when having a business accountant is essential:
When you become a big business
If you ever achieve the title of being a nationally recognised, or even an internationally recognised business, you will need accountants to work alongside your:
- Human resources staff
- Area managers
Accountants are essential if you ever reach this status because of the extensive cash flow that can be easily lost or gained that will go unnoticed without professionals.
When you have more than a few staff
When you’re still a small business, it helps to have an accountant who can assist you with tasks like:
- Formulating a business plan
- Tax auditing
- Budgeting and forecasting
- Submitting BAS and IAS lodgements
- Analysing what loans and grants you’re eligible for
- Helping your employees with their tax returns
- Writing group certificates
- Keeping up-to-date with the latest changes to tax codes
When you’re just starting out
If you’re conceiving your business from the ground up, accountants will be helpful in:
- Choosing which tax structure you will benefit from the most
- Setting up your accounts
- Establishing GST
- Complying with tax laws
- Assisting you with tax returns and deductibles
Financial advisors in Beaumaris know what it’s like to start a business, after all, we were once just starting out too (albeit 56 years ago!)
When you purchase a business
There are many reasons why people sell their business, and you should never assume it’s because they are being liquidated.
Accountants can assess current records of the business you’re trying to buy to determine:
- If it’s worth buying
- Why the company is selling
- If there’s potential for you to grow the business
How do I buy a small business?
So you’ve decided to add business investing to your portfolio. Although you don’t need any degree or qualifications to take over a business, you need to do extensive research and be confident that you won’t be wasting your own time or money.
IPA accountants can help with the due diligence in terms of your aptitude to run a particular business.
Before you start looking, consider your current repertoire. If you were to start a business, would you want to sell to someone of your status?
Find a business you are compatible with, whether you plan on business investing or want to exclusively run this business as a full-time job.
How do I find a small business to buy?
When searching for a small business to buy, it helps to uncover as much information as possible about the company, including:
- Roughly what the business is worth
- Who the current owner is
- The detailed history of the business
- The reputation and values the business upholds
But it might help to try and scout business owners yourself who are close to retirement or less enthusiastic about their business than they used to be.
Closing a business is a big task that requires making staff redundant and distributing stock, property, and funds.
Therefore, often if someone is considering closing their business but gets an offer, they may accept it out of convenience and also to save money.
How do I choose the right accountant?
To find the right accountant who can assist you in buying a business, first consider their experience.
There are many different types of small business accounting services, and it’s best you choose an accountant that has experience assisting people to buy small businesses.
During your research, accountants will assist you by:
- Evaluating if you can afford this business
- Determining exactly what is for sale
- Looking at the businesses liabilities
- Analysing the businesses competitors
- Considering the price they are offering
- Uncovering any nasty surprises
Do I need an accountant for my small business?
Yes! Contact Bruce Edmunds & Associates today
Bruce Edmunds are accountants in Melbourne’s South East who have experience helping people at every stage of business ownership, management, and growth.
Our accounting firm values include:
- Personal development
And it’s these values that will carry us through our working relationship with clients, whether they are looking to buy, sell, or improve their business.